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flag Consumer refusal of higher prices contributes to US inflation decline, approaching the 2% target.

flag The decline in US inflation may be attributed to consumers refusing to pay higher prices, leading them to seek cheaper alternatives, bargains, or avoid expensive products, according to economists. flag A shift toward pre-pandemic norms, when price increases were less frequent, has resulted in a steady fall in inflation towards the Federal Reserve's 2% target. flag However, the concern remains whether shoppers will cut back too much and negatively impact the economy, as consumer spending accounts for more than two-thirds of economic activity.

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