by Claudio Grass, Mises Institute:

As the citizens of the European Union and the United Kingdom are increasingly struggling to make ends meet due to record levels of inflation, and as the winter draws closer, a serious cost of living crisis is set to spiral out of control. Skyrocketing energy costs, combined with galloping prices for food and other essential goods and services are bound to erase whatever was left of the “middle class.”

Households that were once comfortable, and even had some savings aside, have been placed under severe financial duress already during the summer, and, unfortunately, the worst is yet to come. In what has been dubbed the “eat or heat” crisis, we can expect to see the situation deteriorate even further in the coming months, a development that could have critical and far-reaching implications beyond economics.