Businesses Feel Pressure of Rising Costs, Survey Says

Rising costs for materials and labor appear to be putting pressure on businesses, according to a quarterly survey by the National Association for Business Economics. During the first quarter, 31 percent of businesses surveyed reported higher material costs, more than double the 15 percent that said costs rose in the previous survey. In addition, 35 percent reported rising wages and salaries at their businesses in the last three months, up from 23 percent in the fourth-quarter survey. Yet those who said they raised their prices in the last three months remained unchanged at 20 percent, according to the survey, which was conducted from March 18 through April 1.