Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
I wonder what could have changed in the last 15-16 months to cause all this?
The FedReserve creating money and pumping it into the economy. Takes a while before it hits people in their wallets. And the Fed knew they were doing this and talked about inflation and how they had to reign back all that money last June.
Powell last April 2021..."this time is different"......
Guess who was wrong ? He didn't think inflation would go higher than 2%
In the past, inflationary pressures were feared by financial market participants and this time is no different as some economists are worried that the Fed’s commitment to low rates will foster inflation. However, Powell countered these fears by saying he’s “very mindful” of the lessons from runaway inflation in the 1960s and ‘70s, but believes this situation is different.
The FedReserve creating money and pumping it into the economy. Takes a while before it hits people in their wallets. And the Fed knew they were doing this and talked about inflation and how they had to reign back all that money last June.
Powell last April 2021..."this time is different"......
Guess who was wrong ? He didn't think inflation would go higher than 2%
In the past, inflationary pressures were feared by financial market participants and this time is no different as some economists are worried that the Fed’s commitment to low rates will foster inflation. However, Powell countered these fears by saying he’s “very mindful” of the lessons from runaway inflation in the 1960s and ‘70s, but believes this situation is different.
I didn't read the whole article but I did see that the federal reserve was going to stop buying up as many assets right now, which caused the market to drop. In the long run I think that's a good thing as the fed buying up assets makes the market artificially high. As for inflation, "forgiving" student loan debt is the same as printing money, which Biden is also doing.
I didn't read the whole article but I did see that the federal reserve was going to stop buying up as many assets right now, which caused the market to drop. In the long run I think that's a good thing as the fed buying up assets makes the market artificially high. As for inflation, "forgiving" student loan debt is the same as printing money, which Biden is also doing.
The Fed spent 2 years and over $10 trillion in created money "buying assets".
The last time we had inflation like this was late 70's...Volcker took at tough stand and raised rates..up to near 20% and stood firm and still it took 3 years and 2 recessions before inflation was tamed.
Here comes Powell at .25% rate raise thinking it's going to do something.
That’s not food “inflation.” Maybe you should look up the profits of some of the larger grocery chains and the brands they carry. This is price gouging, as much as anything. Perfect opportunity to do it - when everyone is worried about inflation.
Location: Was Midvalley Oregon; Now Eastside Seattle area
13,080 posts, read 7,523,914 times
Reputation: 9814
^ many areas have labor shortages: washington-oregon apple, cherry growing regions. Lot of apples were left on the trees. Trade restrictions also aren't helping.
Oregon-Washington climate changing. Prolonged multiyear drought growing region, for lentil, dried beans, soft winter wheat (ramen, wheat tortillas, some pastas and cake flour, and protein content modifier to high gluten flour). No amount of inflation will affect the supply.
Likewise for the Colorado and other western flowing rivers will be in strong drought conditions. Look for higher prices. -No water. Western Oregon, Willamette Valley will have adequate water but this valley is a minor producer of garden crops and wheat. Western Washington will also have abundant water but soils and temperatures are very poor for large scale farming.
Last edited by leastprime; 04-06-2022 at 02:05 PM..
I went to the 99 Cent store this morning. Because Trader Joes and Whole foods have gotten too expensive and stopped carrying many items I liked.
Here's what I found. Strawberries went from $1 to $2.49 - a 150% increase, not 6.4%. Most fresh second grade vegetables went from $1 to $1.49, a 50% increase. Portabella mushrooms went from a package of 2 for $1 to ONE for $1.49, a 150% increase, accounting for the shrinkflation. Other vegetables were holding at .99 still. Onions, tomatoes, squash.
The canned shelves were taking a beating, empty spots, one row of cans. Long term items like canned hams, are, gone. Can't find spices like nutmeg and cinnamon.
I hear Dollar Tree has done a blanket increase from .99 to $1.24 - a 24% increase, not 6.4%.
I was at a chain market last week, milk went from $2.59 to $2.99. What's that, about a 20% increase? Eggs from .99 to $1.79 for the cheapest dozen, over a 75% increase.
Yes, I know I'm taking select items. But it doesn't change the fact that as usual the government is fudging the numbers and lying to us.
Just like with the unemployment rate, 4.6% is a lie. More like 25%. Maybe it's where I live (lot of retired folk) but it seems hardly anybody is working, except those with cushy govt jobs. Most are doing gig work, or on the dole, or selling dope or catalytic converters...
Let's compare notes. What's happening where you are?
Should the government enact price controls like in the 70's? If not now, when?
I agree that the number they give us are inaccurate and unrealistic to say the least.
Table-A in the above link says that food prices only increased by about 8%. We all know that the price for chicken, fish, beef and pork have not increased eight percent per pound, they have doubled in cost per pound, and some have almost tripled from where they were in 2020.
Obviously, it's going to get worse since Biden told us there would be food shortages. But hey. Ain't socialism grand?
Global food shortages. That’s 195 countries with tens of thousands of economies within.
The Ukrainian/ Russia conflict will have a huge impact on wheat crops.
The US typically exports about 50% of its wheat production.
Weather in the US is always an issue. Right now it’s drought in California and lack of snowfall in the Midwest.
Last year, persistent heavy rains had a huge impact on certain crops.
Table-A in the above link says that food prices only increased by about 8%. We all know that the price for chicken, fish, beef and pork have not increased eight percent per pound, they have doubled in cost per pound, and some have almost tripled from where they were in 2020.
Again, there are thousands of local economies in the US.
State/ county/ local governments all over the US closed or restricted hours of restaurants. This substantially reduced commercial demand for chicken, fish, beef and pork. To survive, many commercial packers made products available for retail purchase at deep discounts on select weekends. Even deeper discounts were available to those willing and able to commit to volume purchases.
Big box stores also benefitted from discounted wholesale prices.
The global pandemic significantly reduced the demand for oil. Then Saudi and Russia had themselves a price war. When the Saudis should have drastically cut production, it increased production and depressed global prices.
Unemployment in the US peaked at 14.8% at one point in 2020.
Using 2020 as a baseline for anything is unrealistic.
That’s not food “inflation.” Maybe you should look up the profits of some of the larger grocery chains and the brands they carry. This is price gouging, as much as anything. Perfect opportunity to do it - when everyone is worried about inflation.
No question there are elements of price gouging and contrived shortages certainly not limited to food.
I don’t understand the persistent worker shortages, especially in low/ no skills jobs.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
