Surging prices for gas, food and rent have pushed the U.S. into the worst inflation in 40 years. That's according to new numbers released from the federal government on Wednesday.

Consumer prices soared 9.1% compared with a year earlier. That's the biggest jump since 1981.

What You Need To Know

  • Financial professionals fear an increase in interest rates to manage inflation will trigger a recession, if we aren't already in a recession.

  • Families are being forced to make major adjustments in their budgets to simply put dinner on the table

  • Predictions show the economy getting worse before it gets better after consumer prices soar 9.1%, the biggest jump since 1981

Many blame the dramatic increase in the cost of fuel. 

“A big cause is fuel costs,” said economy and finance professional and chairman of Brighton Securities George Conboy. “But that's not the only cause. If we look at the classic definition of inflation, it's too much money chasing too few goods.”

Conboy recognizes that many people across the state and around the country are feeling the effects of the worsening economy on a daily basis.

Families are being forced to make major adjustments in their budgets to simply put dinner on the table.

“Forty years ago, we had this kind of surging inflation and it was difficult for families all across the country,” Conboy said. “How we as an economy solved inflation last time was to raise interest rates. But mortgage rates went to double-digit rates, car loans went to double-digit rates, and we ended up in a recession in the early 80s because of the higher interest rates that were needed to damp down inflation. That's a real concern that if we raise interest rates to quell inflation, we may see the economy slip into recession. It's possible. We're already in recession. But I certainly think the possibility of a recession in the next six-to-nine months is increased greatly.”

While a decrease in prices at the pump seems to be a good sign, gas prices are still far higher than they were a year ago. Conboy says the decrease is not enough to make an impact on the economy.

Lower-income and Black and Hispanic Americans have been hit especially hard because a disproportionate share of their income goes toward such essentials as housing, transportation and food. It’s a big problem for everyone, but for those in poor communities – it’s even worse.

Generally, those lower-income communities are already living at the bare minimum and don’t have a cushion or areas in their budget they can cut. They also can’t afford the kind of price increases that are taking place.

While Conboy said there are many very important issues, abortion, guns, violence, he believes inflation will be, by far, the single largest factor at the polls in November.

In a June Poll led by The Associated Press and NORC, 40% of Americans say tackling the high cost of living and inflation should be top priorities this year.

Only 14% of people thought that in December.

Conboy says he does not expect things to turn around any time soon.