LU-CAEHS Research Seminar

"Beyond the Pandemic: Uneven Price Pressures and Consumer Spending in Rural and Urban Missouri"

Following the COVID-19 pandemic, unprecedented fiscal stimulus and relaxed monetary policies stabilized households and businesses but also contributed to the highest inflation rates observed in decades. While aggregate indicators suggest broad economic recovery, these measures obscure important spatial disparities in economic well-being. This research examines how post-pandemic inflation and consumer spending dynamics diverged between rural and urban areas in Missouri. Using data from secondary sources, we analyze trends in inflation, personal income, consumer spending, and total sales revenue from 2015 through 2024. Our findings reveal that although rural Missouri experienced a temporary surge in real personal income during the early pandemic period largely driven by federal relief programs, these gains were quickly eroded as inflation accelerated. Rising prices for essential goods disproportionately reduced rural purchasing power, causing consumer spending to outpace income growth. In contrast, urban areas benefited from stronger labor market recovery and higher-wage employment allowing incomes to better absorb rising prices through much of the post-pandemic period. Overall, the analysis highlights how inflation-driven nominal growth can conceal widening rural urban disparities in real economic well-being.

Presented by Dr. Damilola Giwa-Daramola, Postdoctoral Research Associate at Lincoln University

Dr. Damilola received her PhD in Agricultural and Applied Economics from the University of Missouri, Columbia. Her research focuses on examining the effects of inflation and interest rate fluctuations on Missouri’s rural, post-pandemic economy. Her work employs mixed-methods approaches and empirical modeling to assess economic impacts and adaptive responses among rural households and businesses in Missouri.