And Josh Bivens at the Economic Policy Institute said there seems to be more of a connection again between how people are feeling and behaving this year.
“Sentiment was pretty bad, and you saw a noticeable deceleration in actual spending. So I would say, historically, they’re pretty linked. They became delinked for a while. 2025, I think they started to come back together,” he said.
And that’s probably largely because the labor market and wage growth are slowing.
Marketplace
January 5, 2026
More than 30 states and municipalities have implemented minimum wage increases above the federal pay rate, which has not budged since 2009. More than 8.3 million workers are expected to benefit, which collectively will add up to an estimated $5 billion in earnings nationwide, according to a report by the Economic Policy Institute.
MaineBiz
January 5, 2026
Increases range from 28 cents in Minnesota to $2 in Hawaii, with an average hike of 67 cents across all 19 states. More than 8.3 million workers will benefit from the increases, according to the Economic Policy Institute (EPI). The mean minimum wage in those 19 states will rise to $14.57 in 2026, up from $13.90 this year.
Common Dreams
January 5, 2026
The average adult in Northwest Arkansas spends $340 a month on groceries for themselves, according to the Economic Policy Institute. Eliminating the state grocery tax will save them 42 cents a month.
4029 News
January 5, 2026
However, some economists disagree, and some studies have shown that these effects are generally small and localized. A blog post written by Economist Josh Bivens for the Economic Policy Institute and the W.E. Upjohn Institute for Employment Research has found that modest minimum-wage increases only raise prices marginally. Many businesses absorb wage increases through productivity improvements, slower hiring, or reduced turnover, rather than significant price hikes
KRCU Public Radio (Missouri)
January 5, 2026
Nineteen states, including Michigan, have increased their minimum wage, impacting over 8.3 million workers nationwide, according to the Economic Policy Institute. In Michigan, the minimum wage rose to $13.73 per hour, marking a 10% increase.
Mid-Michigan Now
January 5, 2026
Nineteen states will see a wage bump on Jan. 1, 2026. And, for the first time, there will be more states with a minimum wage at or above $15 per hour than states adhering to the federal minimum of $7.25, according to the liberal-leaning Economic Policy Institute.
Restaurant Business Magazine
January 5, 2026
The surge in wage is “critical for improving affordability,” according to the Economic Policy Institute. This increase, which went into effect on Jan. 1, will aid 8.3 million workers, the progressive think tank said. The economic impact will total $5 billion in increased wages.
San Antonio Express-News
January 5, 2026
A July 2025 report from the Economic Policy Institute by Ben Zipperer finds that, if the Trump administration follows through on its goals of deporting 4 million people over four years, there will be 3.3 million fewer employed immigrants and 2.6 million fewer employed U.S.-born workers at the end of that period.
It sounds counter-intuitive, but the research is solid, says Zipperer. For example, aggressive deportations can cause a sharp and abrupt enough fall in labor supply that some employers will respond by shutting down operations entirely.
Supply Chain Brain
January 5, 2026
Every city was selected based on its cost of living, health care, community, and climate—factors important to retirees. Every city was evaluated using a combination of state, county, and city-level data. We gathered data on these factors and criteria from the U.S. Census Bureau, the Economic Policy Institute (EPI), the Bureau of Labor Statistics (BLS), and the Center for Medicare and Medicaid Services (CMS).
Investopedia
January 5, 2026