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The Federal Reserve has raised its targeted federal funds rate by 75 basis points, Chair Jerome Powell announced at a news conference on July 27. July’s tightening is the latest aggressive action the Fed has taken as part of its “war on inflation” this year. The Fed aims to reduce inflation to 2 percent from its June level of 9.1 percent. Powell stated that economic growth must be slower in the coming years for the economy to reach that target. Powell’s remarks made it clear that the Fed believes inflation is the biggest problem facing the U.S. economy. However, the rate hike comes at a time when many Americans fear a coming recession or believe the economy is already in one. The day after Powell’s news ...

Aaron N. Gruen, principal of the urban-economics, market-research, land-use policy, and pre-development services firm Gruen Gruen + Associates, shares his thoughts on how to combat skyrocketing gas and housing costs.