Business and Finance
Economics expert explains how consumer price reports show ‘inflation is not done yet’
The statistics from these reports have economists predicting that the Federal Reserve will continue to raise interest rates to get inflation under control.
Expectations that inflation has eased fueled recent stock market gains, but results from two major price-tracking indexes came in higher than expected, dousing that optimism with cold water. The statistics from these reports have economists predicting that the Federal Reserve will continue to raise interest rates to get inflation under control.
“The latest figures underscore the risks of persistently high inflation. Much of the easing that was celebrated at the end of last year has been erased,” said David Bieri, an economics professor for Virginia Tech’s School of Public and International Affairs. He answered a few questions about the persistence of inflation and the Federal Reserve’s efforts to reverse it.
Q: What is the difference between the Consumer Price Index (CPI) and the Personal Consumption Expenditures Price Index (PCE)?
“The CPI is a measure of the average change over time in the prices paid by urban consumers for a basket of goods and services. This basket includes commonly purchased items such as food, housing, clothing, transportation, and medical care. The rate of inflation (or deflation) is then inferred by comparing the price of this basket to a base period. The PCE is the one used by the Federal Reserve. Unlike the CPI, the PCE measures not just goods and services for urban consumers, but the prices of all goods and services purchased by households. While the CPI uses a fixed basket of goods and services, the PCE uses a changing basket of goods and services that reflects consumers’ evolving spending patterns. Also, the PCE incorporates data on the quality of goods and services.”
Q: What can be deduced about inflation and the economy from these new statistics?
“Different components of the indexes react to different influences of the economic process, and they also do so at different speeds, or as economists like to say, with different lags. For example, fuel and gas prices react with very little delay and if the price of crude oil goes up, it does not take long for these effects to show up. But this is not the case for other important components. Quite a bit of the recent uptick in inflation has to do with the fact that it has taken so long for the post-COVID related upswing in housing to show up in the data. As for the most recent PCE numbers, these were unexpected and point in the direction of more entrenched inflation. In other words, inflation is not done yet.”
Q: What do these results indicate about the Federal Reserve’s efforts to curb inflation?
“The Fed has to be patient. If we take the image of interest rates working like a brake pedal, the Fed is driving a car on a windy road with a blacked-out windscreen and when it brakes, it can only guess how soon the car — that is, the economy — will slow down, let alone by how much and when the next bend will be. However, the Fed has one key trick up its sleeve: unlike the hapless driver of our car, the Fed can influence how many bends in the road might show up in the future. It does this by something that we call ‘forward guidance,’ which is a wonky term for how the Fed’s attempts influence consumer and market expectations of consumers and market participants. Essentially the Fed is saying that if we stop believing there will be inflation in the future, there actually won’t be any.”
About Bieri
David Bieri is an associate professor of urban affairs in the School of Public and International Affairs and an associate professor of economics. He also holds an appointment in the Global Forum on Urban and Regional Resilience. His teaching interests are at the intersection of public finance, monetary theory, and history of economic thought. He has held various senior positions at the Bank for International Settlements in Basel, Switzerland. Prior to his work in central banking, he worked in investment banking in London and Zurich. View Bieri’s full bio.
Source: Virginia Tech
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Lifestyle
5 Tips to Upgrade Your Home Office
Consider these ideas to blend function, comfort and style, and create a home office that inspires creativity and makes you want to sit down and get things done.
Last Updated on January 26, 2026 by Daily News Staff
5 Tips to Upgrade Your Home Office
(Family Features) Hybrid schedules and remote work have become the norm for many people, which means a functional and inspiring workspace is more necessity than luxury. With the right setup – be it a dedicated room or a cozy corner – your space can boost productivity, spark creativity and make your workday more enjoyable. Consider these ideas to blend function, comfort and style, and create a home office that inspires creativity and makes you want to sit down and get things done. Focus on Comfort The desk and chair are the foundation of any home office. Be sure to build a setup that matches your work style by picking the right height desk (with the proper amount of storage and workspace to complete your tasks) and an adjustable chair with good lumbar support. If you’re at your computer most of the time during the day, an ergonomic keyboard and monitor stand can also make a comfortable difference. Create a Clutter-Free Work Zone Incorporating smart storage solutions like shelves, filing cabinets or baskets can help keep your workspace tidy and free of distracting clutter. Desk trays can keep small office supplies organized and within easy reach while maintaining a clean aesthetic. Add Personality with Decor Much like the rest of your home, your workspace should reflect your personality and style. Add artwork, decorative accents, plants or a photo wall to bring inspiration and freshness to your office and choose a color palette that promotes positivity and focus, such as soft blues, greens or neutrals. Layer Functional Lighting For optimal productivity, combine natural light with task and ambient lighting. If possible, position your desk near a window to capture natural light then supplement your space with a desk lamp for focused illumination and floor lamps, under-shelf lighting or wall sconces to add warmth and depth. Don’t Forget Acoustics Distracting noises can negatively impact focus. To absorb sound, use soft furnishings like rugs, upholstered chairs or curtains and consider a white noise machine if you need a more soothing work environment. Find more ideas to update every room in your house at eLivingtoday.com. Photo courtesy of ShutterstockDiscover more from Daily News
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small business
When TV Talks About Gentrification and Shopping Local — and Where It Gets It Right (and Wrong)
A closer look at how the TV show The Neighborhood tackles gentrification and shopping local—and where the reality of online sales and small business survival is more complex.
In our continuing look at how entertainment—television, movies, and streaming shows—grapples with real-world issues, this time we turn our attention to gentrification and the often-repeated call to “shop local.” Once again, we examine how popular culture frames these conversations, this time through the CBS sitcom The Neighborhood and the episode “Welcome Back to What Used to Be the Neighborhood.”
A Familiar Story: When the Neighborhood Changes
In the episode, Calvin’s favorite longtime restaurant closes its doors and is replaced by a flashy new pet spa. To Calvin, the change symbolizes something much bigger than a single business closing—it represents the slow erosion of the neighborhood he knows and loves. In response, he launches a campaign urging friends and neighbors to buy local in order to protect small businesses from disappearing.
Emotionally, the episode hits home. Many communities across the country have watched beloved neighborhood institutions vanish, replaced by businesses that feel disconnected from the area’s history and culture. In that sense, The Neighborhood gets something very right: gentrification often shows up one storefront at a time.
Where Television Simplifies a Complicated Reality
But, as is often the case with television, the episode also simplifies a much more complex economic reality.
The show frames “shopping local” as a direct alternative to shopping online, subtly suggesting that online platforms are inherently harmful to small businesses. In real life, however, the line between “local” and “online” is no longer so clear.
Many local and small businesses now survive precisely because they sell online—through their own websites, through Amazon, or through other platforms that support independent sellers. For some, online sales are not a threat to local commerce; they are a lifeline.
Why Brick-and-Mortar Isn’t Always Sustainable
Rising costs are a major factor driving these changes. Commercial leases, insurance premiums, utilities, staffing costs, and local fees have all increased dramatically in many cities. For small business owners, keeping a physical storefront open can become financially impossible—even when customer support remains strong.
As a result, some businesses choose to close their brick-and-mortar locations while continuing to operate online. Others scale back to pop-ups, shared spaces, or hybrid models. These businesses may no longer have a traditional storefront, but they are still local—employing local workers, paying local taxes, and serving their communities in new ways.
The Real Issue Behind “Shop Local”
Where The Neighborhood succeeds is in capturing the emotional truth of gentrification: the sense of loss, displacement, and cultural change that comes with rising rents and shifting demographics.
Where it misses the mark is in suggesting that consumer choices alone—simply avoiding online shopping—can solve the problem.
The real challenges facing local and small businesses go far beyond individual buying habits. They include zoning policies, commercial rent practices, corporate consolidation, and economic systems that increasingly favor scale over community presence.
A Conversation Worth Having—Even If TV Can’t Finish It
The Neighborhood deserves credit for bringing these issues into mainstream conversation. It sparks discussion, even if it wraps a complicated topic in a sitcom-friendly moral lesson.
The reality is messier. Supporting local businesses today often means rethinking what “local” looks like in a digital economy—and recognizing that survival sometimes requires adaptation, not nostalgia.
Further Reading & External Resources
- U.S. Small Business Administration: Marketing & Online Sales for Small Businesses
Explains how small businesses use websites, marketplaces, and digital tools to survive and grow. - Brookings Institution: Understanding Gentrification
A research-based overview of gentrification, its causes, and its impact on local communities. - National Main Street Center: Supporting Local Small Businesses
Resources focused on preserving local businesses while adapting to economic change. - SCORE: Why Going Online Is Critical for Small Business Survival
Mentorship-backed guidance on how digital sales help small businesses remain competitive. - Harvard Business Review: How Small Businesses Can Compete in an Online Economy
An analysis of how independent businesses adapt to large online platforms without losing identity.
At STM Daily News, our Local and Small Business coverage continues to explore these real-world dynamics beyond the TV screen, highlighting the challenges, innovations, and resilience of the businesses that keep communities alive—whether their doors are on Main Street or their storefronts live online.
📍 Read more Local and Small Business coverage at: STM Daily News
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Lifestyle
Preparing Students for What’s Next in Work
Preparing Students: Automation, AI and societal economic changes are affecting the workforce and making a significant impact on the employment prospects of future generations. Consider this guidance to put students on the path toward greater earning potential and economic mobility in a rapidly changing economy.
Preparing Students for What’s Next in Work
(Family Features) Automation, AI and societal economic changes are affecting the workforce and making a significant impact on the employment prospects of future generations. More than one-third of today’s college graduates are “underemployed,” meaning they work jobs that don’t require a college degree and may pay less than a living wage, according to data from the Federal Reserve Bank of New York. At the same time, a World Economic Forum report explored how advances in AI are threatening to negatively impact access to entry-level and even mid-level jobs for millions of Americans. Looking ahead, research by Georgetown University indicates that by 2031, 70% of jobs will require education or training beyond high school. However, data from the National Center for Education Statistics indicate only one-third of high school graduates go on to complete a college degree with many of those being in fields that are not in high-earning, high-growth professions. These challenges are not lost on today’s students. In a survey by Junior Achievement and Citizens, 57% of teens reported AI has negatively impacted their career outlook, raising concerns about job replacement and the need for new skills. What’s more, a strong majority (87%) expect to earn extra income through side hustles, gig work or social media content creation. “To put students on the path toward greater earning potential and economic mobility in a rapidly changing economy, students need proactive education and exposure to transferable skills and competencies, such as creative and critical thinking, financial literacy, problem-solving, collaboration and career planning,” said Jack Harris, CEO, Junior Achievement. This assertion is consistent with findings from the Camber Collective. This social impact consulting group identified four key life experiences students can consider and explore that positively affect lifetime earnings, including:- Completing secondary education
- Graduating with a degree in a high-paying field of study
- Receiving mentorship during adolescence
- Obtaining a first full-time job with opportunity for advancement
- Learning opportunities that are designed with the future in mind. For example, learning experiences offered through Junior Achievement reflect the skills and competencies needed to promote economic mobility.
- Internships or apprenticeships that provide hands-on experience and exposure to a career field that can’t be found in a textbook.
- Volunteer or extracurricular roles that develop communication and leadership skills. Virtually every career field requires these soft skills for growth and greater earning potential.
- Relationships that provide insight and connection. Networking with individuals who are already excelling in a chosen field, as well as peers who share similar aspirations, offers perspective from those who are where you wish to be and potentially opens future doors for employment.
- Courses that offer introductory insight into a chosen career path. Local trade or technical schools and other training organizations may even offer certifications that align with a student’s area of interest.
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