The National Federation of Independent Business’ (NFIB) Small Business Optimism Index in December remained below the 50-year average of 98 for the 24th consecutive month. According to the index, 23% of small business owners said inflation was their top concern; quality of labor.
NFIB Research Director Holly Wade joins Yahoo Finance to discuss the index’s readings, how small business owners feel about the economy and how it impacts the broader market. Provides insight into what might be possible.
Wade explained that some of the stress that rising inflation is having on small businesses is being felt by consumers, saying: “Our research shows that the first hit to inflationary pressures is on business owners’ incomes. “As a result, income has been deteriorating for a long time.” After a while…the first hit is the business owner’s income, and then he passes on the cost of the goods and services he sells to his customers. However, the process will take some time. ”
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Editor’s note: This article was written by Nicholas Jacobino