Economics
Price Hikes Crush Philippine Family Budgets
- Economists see inflation at 6.8% in Sept., versus 6.4% in Aug.
- Higher taxes, oil price hikes, rice shortage boost prices
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As prices of everything from oil to rice soar in the Philippines, Maria De Guzman has scrambled to adjust. Her food bill has jumped 60 percent over the last year and now represents about half of monthly living expenses, prompting her family to scrimp on movies and even drive their car less.
“We don’t go out anymore,” said De Guzman, a 32-year-old university teacher in Manila. “These are things that we want to do, but we cannot. Even if it’s pay day, you don’t have money. It’s already spent or budgeted.”