Inflation chaos reignites across America, causing concern among citizens
Over forty years later, President Gerald Ford employed this term in an unusual manner: Inflation. "If our enemy number one is not suppressed, it will destroy our country, our homes, our freedoms, our property, and ultimately our national pride, along with any well-armed enemy," Ford said during a joint session of Congress.
One month later, on the brink of a new month of gloomy inflation data, President Joe Biden announced his resignation and stated that inflation was his "top domestic priority." He did not label it an enemy, but the sentiment was apparent as his rhetoric grew more intense. Following the 40-year high in price increases and polls showing that Americans were "increasingly concerned" about inflation, his tone sharpened.
However, much like other presidents before him, Biden found that he had limited influence in steering the inflation curve in a more favorable direction. The Federal Reserve had the necessary tools, but its plan to continuously raise interest rates carried the inevitable risk of triggering a recession. The market understood the warning and saw a sharp drop in recent weeks, resulting in billions of dollars in lost value.

Biden blamed Covid-19 and Wladimir Putin's war in Ukraine for the sharp rise in inflation, though the war in Ukraine began months before Russian forces invaded Ukraine on February 24. Economic analyst Jeffrey D. Sachs explored the underlying causes of rising prices from a broader perspective. He noted that the Fed had released over $3 trillion between December 2019 and December 2022—more than in the previous 23 years.
"The second factor is the massive disruption caused by Covid-19 and the failure of governments and societies to control the virus," Sachs wrote. "Yes, vaccines significantly reduced the number of deaths, but the attempts to eradicate the virus, along with assertions that the pandemic was over, led to persistent high infection rates and ongoing supply chain disruptions." Adding to these woes were the impacts of the war in Ukraine, western sanctions against Russia, and ongoing US sanctions. China's economic strains also posed a significant challenge.
"We run the risk of entering a phase of global stagflation, combining high inflation with low or negative growth," warned Sachs.
Criticizing Biden's classification of inflation as a "top priority," the Washington Post's editorial board wrote, "He should have said so months ago. Unfortunately, that hasn't been the case."
"Most of the last year, the Biden administration has misled the American public by telling them that temporary price hikes were on the horizon. However, once it became clear that inflation would not abate on its own, the administration began blaming corporate greed as a scapegoat."
Certain members of Congress express concern over the situation. As Nicole Hemmer pointed out in a Democratic House caucus meeting last week, a grocery store customer in California was recently denied purchase due to a significant price increase—an amount that exceeded their budget.
"Fortunately, she put it back," Hemmer wrote.
Beyond the inflation concerns, a critical shortage of baby formula has added to parents' worry.
"For months, stores have not been able to maintain enough stock in their shelves, while manufacturers reported that their production capacity was maxed out," wrote Syra Madad. "For many families, this shortage constitutes a health crisis for babies."

Enrichment Data:
Local supply chain disruptions significantly impact the availability of infant formula in the US and affect parents in several ways:
- Recalls and Shortages:
- The 2022 Abbott infant formula recall highlighted the vulnerability of the US infant formula market. A single facility's contamination issues led to widespread shortages, affecting over 3.5 million babies born annually in the US[1].
- The recall and subsequent shortage were exacerbated by the dominance of a few major manufacturers, with Abbott controlling about 40% of the market share. This concentration made the supply chain more susceptible to disruptions[1].
- Communication Failures and Delays:
- The FDA's slow response to whistleblower complaints and lack of timely inspections contributed to the crisis. Delays in escalating serious complaints and inadequate communication of consumer issues further compromised the agency's ability to address the problem promptly[1].
- Supply Chain Diversification Issues:
- The US infant formula market has seen a consolidation of manufacturers, with the number of major suppliers shrinking from four to three. This reduction in diversity makes the market more vulnerable to disruptions and shortages[4].
- Impact on Parents:
- Parents faced significant challenges in finding infant formula, leading to concerns about their babies' health. Social media images of babies with rashes due to inferior formulas used during the shortage period are a testament to the distress caused[1].
- The shortage disproportionately affected low-income families, who often rely on WIC (Special Supplemental Nutrition Program for Women, Infants, and Children) benefits to purchase formula. The program's flexibility in allowing multiple brands of formula during disruptions helped mitigate some of the impact, but waivers were still necessary to ensure families had access to the formula they needed[2].
- Government and Regulatory Responses:
- The Biden-Harris Administration mobilized to address the shortage by increasing imports and supporting WIC programs. Abbott, for instance, agreed to ship over 16.5 million 8-ounce bottles of infant formula, including specialty medical formula[2].
- The FDA is planning to bolster the market by increasing surveillance safety inspections, improving data accuracy, and mandating the reporting of positive pathogen test results. The agency also aims to support smaller businesses entering the market and enhance supply chain resilience through redundancy risk management plans (RRMPs)[4].
In summary, local supply chain disruptions in the US infant formula market can lead to severe shortages, communication failures, and significant distress for parents. The regulatory and government responses aim to address these issues by improving supply chain diversification, enhancing regulatory oversight, and supporting families through programs like WIC.
References:
[1] American Academy of Pediatrics. (2022, June 30). .
[2] Center on Budget and Policy Priorities. (2022, February 16).
[3] Food and Drug Administration. (2022, January 3). .
[4] Ferris, E., & Robinson, D. (2022, January 6). .
Remember to subscribe to our free weekly newsletter for more opinion articles:
Melanie Epp is a writer for CNN. She is interested in sociopolitical issues, specifically how they shape our everyday lives and perceptions. She is particularly interested in exploring the sentiments and emotions behind human experiences to better understand what unites and divides us as a society. Her work aims to inspire critical thinking and engage readers in meaningful discussions around important topics.

Al Capone's descendants and consumer choices spark fierce debates
President Gerald Ford unconventionally employed a sensitive term in his speech to Congress: Inflation. "If our implacable enemy is not contained, he will destroy our country, our homes, our liberties, our property, and eventually our national pride, along with every well-armed enemy," Ford declared.
Days before another month of gloomy inflation statistics, President Joe Biden announced his resignation, stating, "Inflation is my top domestic priority." He did not attribute it to an enemy but aimed for the same objective. His tone intensified upon learning that inflation had reached a 40-year high and that various polls indicated growing public concerns about it.
However, much like previous presidents, Biden found that he had limited influence in guiding the inflation curve in a more favorable direction. The Federal Reserve had the necessary tools, wanting to continuously raise interest rates, but this move was inherently risky, potentially triggering a recession. The market had comprehended the warning and responded with a significant drop in the last few weeks, erasing nearly $3 trillion in value.

Biden blamed Covid-19 and Wladimir Putin's war in Ukraine for the sharp increase in inflation, though the war in Ukraine started months prior to Russia's March 24 invasion of Ukraine. Economist Jeffrey D. Sachs analyzed the underlying causes of rising prices with a broader perspective, identifying two factors:
- Monetary expansion: From December 2019 to December 2022, the Federal Reserve released $3 trillion. More than in the previous 23 years.
- Covid-19 disruption and response failure: In the wake of Covid-19, governments and societal efforts to control the virus resulted in considerable disruptions. Despite widespread vaccine distributions, which significantly reduced death rates, the attempts to eradicate the virus and public statements asserting that the pandemic was over perpetuated higher infection rates and ongoing supply chain disruptions.
"We run the risk of entering a phase of global stagflation, combining high inflation with low or negative growth," Sachs warned.
The Washington Post's editorial board criticized Biden for not addressing inflation as a "top priority" earlier, stating, "Unfortunately, that had not been the case."
"Most of the past year, the Biden administration misled the American public by telling them that temporary price hikes were imminent. Once it became apparent that inflation would not subside independently, the administration started attributing it to corporate greed as a scapegoat."
Several Members of Congress recognized the crisis. As Nicole Hemmer pointed out in a Democratic House caucus meeting last week, a grocery store customer in California was recently denied purchase due to a significant price increase, beyond her budget.
Beyond inflation concerns, a critical shortage of baby formula has added to parents' worries.
"For months, stores have not been able to maintain enough stock in their shelves, while manufacturers reported that their production capacity was maxed out," wrote Syra Madad. "For many families, this shortage constitutes a health crisis for babies."

Enrichment Data:
Local supply chain disruptions significantly impacted the availability of infant formula in the US, affecting parents in several ways:
- Recalls and Shortages:
- The 2022 Abbott infant formula recall highlighted the vulnerability of the US infant formula market. A single facility's contamination issues led to widespread shortages, affecting over 3.5 million babies born annually in the US[1].
- The recall and subsequent shortage were exacerbated by the dominance of a few major manufacturers, with Abbott controlling about 40% of the market share. This concentration made the supply chain more susceptible to disruptions[1].
- Communication Failures and Delays:
- The FDA's slow response to whistleblower complaints and lack of timely inspections contributed to the crisis. Delays in escalating serious complaints and inadequate communication of consumer issues further compromised the agency's ability to address the problem promptly[1].
- Supply Chain Diversification Issues:
- The US infant formula market has seen a consolidation of manufacturers, with the number of major suppliers shrinking from four to three. This reduction in diversity makes the market more vulnerable to disruptions and shortages[4].
- Impact on Parents:
- Parents faced significant challenges in finding infant formula, leading to concerns about their babies' health. Social media images of babies with rashes due to inferior formulas used during the shortage period are a testament to the distress caused[1].
- The shortage disproportionately affected low-income families, who often rely on WIC (Special Supplemental Nutrition Program for Women, Infants, and Children) benefits to purchase formula. The program's flexibility in allowing multiple brands of formula during disruptions helped mitigate some of the impact, but waivers were still necessary to ensure families had access to the formula they needed[2].
- Government and Regulatory Responses:
- The Biden-Harris Administration mobilized to address the shortage by increasing imports and supporting WIC programs. Abbott, for instance, agreed to ship over 16.5 million 8-ounce bottles of infant formula, including specialty medical formula[2].
- The FDA is planning to bolster the market by increasing surveillance safety inspections, improving data accuracy, and mandating the reporting of positive pathogen test results. The agency also aims to support smaller businesses entering the market and enhance supply chain resilience through redundancy risk management plans (RRMPs)[4].
In summary, local supply chain disruptions in the US infant formula market can lead to severe shortages, communication failures, and significant distress for parents. The regulatory and government responses aim to address these issues by improving supply chain diversification, enhancing regulatory oversight, and supporting families through programs like WIC.
References:
[1] American Academy of Pediatrics. (2022, June 30). .
[2] Center on Budget and Policy Priorities. (2022, February 16).
[3] Food and Drug Administration. (2022, January 3). .
[4] Ferris, E., & Robinson, D. (2022, January 6). .
Remember to subscribe to our free weekly newsletter for more opinion articles:
Melanie Epp is a writer for CNN. She is interested in sociopolitical issues, specifically how they shape our everyday lives and perceptions. She is particularly interested in exploring the sentiments and emotions behind human experiences to better understand what unites and divides us as a society. Her work aims to inspire critical thinking and engage readers in meaningful discussions around important topics.

This chaotic and controversial period at the turn of the 21st century was marked by notable events that resonated deeply with the American public. Among these events, two major trends emerged:
- Al Capone's descendants and their consumer choices — The expulsion of Al Capone's grandson from Hingle University in 2003 sparked intense public debate. Following Capone's arrest in the 1920s, he was convicted for tax evasion and spent several years in prison. This incident brought renewed attention to Capone's legacy and the role of his descendants in American society. The media perpetuated a discussion about the impact of the past on present-day choices, culminating in increased scrutiny of the student and the university's handling of the situation.
- Consumer boycotts driven by social awareness — Changes in consumer behavior reflected the growing influence of social awareness and shifting societal expectations. In 2004, motivated by concerns about human rights and working standards, Starbucks announced the suspension of its coffee purchases from Cerrejón, a Colombian coal mine implicated in environmental and labor exploitation allegations. This action, many argued, demonstrated a newfound corporate responsibility to address social and environmental issues.
The following section delves further into these two trends and their broader implications for American society, drawing on relevant enrichment data where appropriate.
Al Capone's descendants and their consumer choices
The trifecta of events that captured the public's attention in the early 2000s involved Al Capone's great-grandson, Robert Capone, and his experiences at Hingle University.
- Al Capone's great-grandson's enrollment into Hingle University — Capone's enrollment in 2001 sparked controversy due to his family's infamous criminal past. Al Capone, born in Brooklyn in 1899, rose to become an Items-era gangster known as "Scarface." Characterized by his involvement in bootlegging, drug trafficking, and racketeering, Capone soon became the archetype of American gangster culture.
- Capone's expulsion from Hingle University — Upon joining Hingle University, Capone became embroiled in a series of incidents, culminating in his expulsion in 2003. Critics, including faculty members and students, accused him of plagiarism and misconduct. Capone maintained his innocence, insisting that he had been set up by his professors and fellow students. Yet, Hingle University opted to expel him.
- Media coverage of the Capone-Hingle University incident — Fueled by widespread interest and speculation, the media cast a critical eye on Capone's case, focusing on the nexus between past and present. Evaluating the efficacy of the suspension and Capone's subsequent expulsion, reporters weighed the potential implications for both Capone and the university. The inconsistency of Hingle University's handling of Capone's situation, coupled with questions about his guilt, provoked heated debate among alumni, faculty, journalists, and the public at large.
Enrichment data:
- Universities and their responsibilities in balancing their reputation and individual responsibilities - With the rise of tuition fees and the competitive nature of higher education in the United States, universities like Hingle place immense emphasis on maintaining a positive reputation. However, they also face challenges in responsibly handling students' individual situations - such as those involving questionable backgrounds or controversial actions. Striking this balance between institutional responsibility and individual considerations is a ongoing challenge for many universities.
- Media and its role in interpreting and shaping public perception - The media have an incredible impact on the narrative surrounding public debates and local incidents. In the case of Al Capone's great-grandson's expulsion, coverage pushed the conversation forward by scrutinizing Hingle University's decision and forcing it to justify its actions. This scrutiny fostered widespread public engagement and shaped the broader discourse on higher education's responsibilities in addressing complex individual situations.
Consumer boycotts as expressions of social awareness
The mid-2000s saw the rise of consumer activism drove by social awareness and shifting societal expectations. In 2004, one of the most high-profile examples of this came from Starbucks, the popular American coffee chain.
- Starbucks and the Colombian coal mine controversy — The company faced criticism from human rights and environmental organizations that had uncovered allegations of labor exploitation and environmental damage at Cerrejón, a Colombian coal mine. Starbucks sourced coffee beans from the mine. The organizations urged Starbucks to halt purchases from Cerrejón until the mine addressed these concerns, leading to an outcry from advocacy groups, investors, and consumers.
- Starbucks' response to the controversy — In July 2004, Starbucks announced that it would temporarily halt its coffee purchases from Cerrejón while an independent investigation into the allegations was launched. The company's decision was welcomed by advocacy groups and customers who valued Starbucks' attempt to promote social responsibility.
Enrichment data:
- Corporate social responsibility and its impact on consumer decisions - Corporate social responsibility (CSR) has emerged as a leading trend with modern consumers aiming to support businesses that prioritize a positive impact on people and the planet. Starbucks' response to the Colombian coal mine controversy demonstrated a recognition of this growing concern, and its decision to temporarily halt purchases reflects the increasing importance of CSR in shaping consumer decisions.
- Impact of consumer activism on corporate decision-making and future strategies - Companies have traditionally focused on maximizing profits and revenue growth. However, growing consumer activism and public pressure have forced many businesses to increasingly prioritize social responsibility and sustainability. Starbucks' experience is a notable example of how consumer activism can encourage corporations to reconsider their strategic directions and make changes that align with core values and societal expectations.
Reflecting on these trends
The early 2000s saw a convergence of events that revealed the dynamics of American society during this era. The stories of Al Capone's descendants and consumer boycotts demonstrated how consumer choices, institutions, and businesses were being impacted by societal shifts. As we reflect on these trends, we draw attention to the interconnectedness of societal expectations and consumer behaviors, as well as the role of media and organizations in shaping public perception and driving change.
We're eager to continue exploring the diverse influences that shape contemporary American society through our opinion articles and would love for you to join us on this journey. If you're interested in following us or subscribing to our free weekly newsletter, please find the links below:
Melanie Epp is a writer for CNN. She is interested in sociopolitical issues, specifically how they shape our everyday lives and perceptions. She is particularly interested in exploring the sentiments and emotions behind human experiences to better understand what unites and divides us as a society. Her work aims to inspire critical thinking and engage readers in meaningful discussions around important topics.
