Core Insights - Inflation has been lower in conservative-led states compared to liberal-led states, averaging 2.5% versus 3% respectively [1] - The analysis indicates significant differences in energy and transportation costs contributing to the inflation gap [1][4] Inflation Analysis - The White House Council of Economic Advisers (CEA) utilized regional inflation data adjusted for state populations due to the absence of official state-level Consumer Price Index (CPI) [2] - Metro areas in conservative states experienced a year-over-year inflation rate of 1.9%, while those in liberal states saw a rate of 3% [3] Energy and Transportation Costs - Energy inflation is a major factor driving higher overall inflation in liberal-run cities, with cities like Baltimore, Chicago, Los Angeles, and New York experiencing rapid increases in energy prices compared to conservative states [3] - Energy and transportation costs are significant contributors to the inflation gap, affecting household expenses quickly even with slight price increases [4] Housing Affordability - Housing inflation remains high nationwide, with prices rising faster in liberal-led states than in conservative-led states [5] - The Trump administration is actively working on proposals to address housing affordability, with a comprehensive plan expected to be announced early in the new year [8][6] Voter Concerns - The findings from the CEA come at a time when inflation is a primary concern for voters, influencing discussions on energy, housing, and transportation policies that impact the cost of living [9]
Conservative states see lower inflation than liberal ones nationwide, White House data shows
Fox Business·2025-12-23 23:10