Inflation for low-income families is higher in the North and Northeast

This was also the only region where inflation for those with the lowest income exceeded the rise in prices for those with the highest income (that is, with income greater than 11.5 minimum wages), which had an inflation of 4.14% .

In the Northeast, low-income inflation was 4.57%, slightly below the high-income 4.70%. Even so, the rise in prices of those with the lowest income in the Northeast was above the rates observed for the low income in the Southeast (3.03%), South (3.12%) and Midwest (2.24%).

In these regions, high income had the following rates: Southeast (4.05%), South (4.41%) and Midwest (3.23%).

Accumulated in 3 years

The survey, which was released for the first time this Tuesday (9), by FGV, brings the products that most contributed to low and high income inflation, in the accumulated period from January 2020 to March of this year.

According to the FGV, in the Northeast, the products that most drove the price increase in this period of three years and three months were bottled gas, residential electricity tariff, French bread and residential rent. Other food items also appear on the list, such as whole chicken, rice, onions and tomatoes.

For the high-income group, the items that weighed most were new cars, gasoline, airline tickets and health insurance. “It is very different with the inflation of the last three years, which has affected rich and poor families in the Northeast”, says the coordinator of price indices at the FGV, André Braz.

In the North, low-income inflation was more impacted by increases in bottled gas, whole chicken, residential electricity and cassava flour. Food items such as fruit pulp, ground meat, sandwiches and French bread also appear. On the other hand, high income had more impact from new cars, material for home repairs and IPVA licensing.

In the other regions, foodstuffs also appear as highlights for the lowest income, as well as items such as bottled gas, electricity and rent. Among the richest, items such as a new car, health insurance, gasoline, food away from home and IPVA are common across regions.