Video: Food inflation far outstrips gov’t calculations

posted at 1:41 pm on February 17, 2014 by Ed Morrissey

If you’ve noticed a higher grocery bill in this era of supposedly low inflation, you’re not imagining things. Despite Washington estimates of low consumer inflation over the last few years, the prices of goods at the market are rising rapidly — especially for meat items, which have risen by double digits since 2011. Jen Singer celebrates in this CBS News profile when she spots bacon on sale for three dollars a pound, when bacon prices have shot up 22% over the last three years:

The adage “An apple a day keeps the doctor away” is impossible thanks to apple prices, she said.

“We go through one of these every few days,” she said, holding a loaf of bread. “It’s a big part of my take home pay.”

It’s is not her imagination. While the government says prices are up 6.4 percent since 2011, chicken is up 18.4 percent, ground beef is up 16.8 percent and bacon has skyrocketed up 22.8 percent, making it a holiday when it’s on sale.

“Oh my god!” Singer said as she spied bacon for $3.

The real problem, though, is that wages aren’t keeping pace with food inflation. They’re not even coming close, despite all of the talk about the recovering economy:

But the big problem for families:  Wages are not budging. …

Median income is up only 1 percent a year.  For Singer, that makes it hard to save for college tuition – which has been rising 6 percent to 8 percent every year for five decades.

Forget college; how is an average family supposed to keep up with inflation on the essentials? Singer’s turning down the heat in the house to save money for groceries, but the real problem is that the family’s buying power in wages is steadily and quickly eroding. Wage growth isn’t even keeping up with the government’s projected inflation, let alone the food inflation at the grocery store.

That won’t change until two pressures on the economy are reversed: rising costs on business and improvement of chronic joblessness. The latter keeps wages depressed by providing a large labor pool for a relatively small number of net jobs created over the last five years since the beginning of the recovery in June 2009. On average since then, we have created significantly fewer jobs each month than necessary to keep pace with population growth. In large part, the job-creation market has been stifled by extra costs and disincentives to investors and businesses in job-creating expansion and risk-taking. Those same costs, along with relatively high energy costs, get passed along to consumers in higher prices, putting them in the economic vise described in this CBS report.

Today’s the 5th anniversary of Barack Obama’s stimulus bill, as the Boss Emeritus notes. Where did the recovery go?


Related Posts:

Breaking on Hot Air

Blowback

Note from Hot Air management: This section is for comments from Hot Air's community of registered readers. Please don't assume that Hot Air management agrees with or otherwise endorses any particular comment just because we let it stand. A reminder: Anyone who fails to comply with our terms of use may lose their posting privilege.

Trackbacks/Pings

Trackback URL

Comments

Comment pages: 1 2

All these people are just Food Locked.

Obama is liberating them.

gwelf on February 17, 2014 at 1:45 PM

This has been happening since obama took office but no one gives a crap.

Blake on February 17, 2014 at 1:45 PM

Spend the time you would be eating following your dreams.

Hening on February 17, 2014 at 1:46 PM

Coke used to be on sale for $5 for two twelve backs. Now at best that’s $5. Can’t get tun at $0.50 anymore. Ditto with Campbell’s tomato or chicken soup.

Does anyone trust any statistic coming from this regime? It’s as bad as the Soviet Union.

rbj on February 17, 2014 at 1:47 PM

Bishop!

sgpi on February 17, 2014 at 1:47 PM

Jack in the Crack and Chick-Fil-A just raised their prices. A meal at the former that cost me $3.89 is now $3.99. That may not seem like much to the elitist snobs inside the Capitol of Panem(aka DC), but out here in the real world, that’s a 2.5% increase in cost. Imagine paying that much more for all of your food and prorate that over an entire year.

Doughboy on February 17, 2014 at 1:48 PM

Peasants complaining about bread when there is so much cake.

Do I need a /?

battalion on February 17, 2014 at 1:49 PM

Meat prices are easy to fix –> get rid of the ethanol mandate for gas, watch corn prices fall, then meat and other foods will follow.

KenInIL on February 17, 2014 at 1:50 PM

… and the Stupid Party’s answer is to cut food stamps instead of farm subsidies ..

corona79 on February 17, 2014 at 1:50 PM

That won’t change until two pressures on the economy are reversed: rising costs on business and improvement of chronic joblessness. The latter keeps wages depressed by providing a large labor pool for a relatively small number of net jobs created over the last five years since the beginning of the recovery in June 2009. On average since then, we have created significantly fewer jobs each month than necessary to keep pace with population growth. In large part, the job-creation market has been stifled by extra costs and disincentives to investors and businesses in job-creating expansion and risk-taking. Those same costs, along with relatively high energy costs, get passed along to consumers in higher prices, putting them in the economic vise described in this CBS report.

“Fundamental Change” = Alinsky + Cloward & Piven = ‘Intended Consequences’

Athos on February 17, 2014 at 1:52 PM

No, no, no. There’s no food inflation. There’s food deflation. Food providers are reducing the quantity of food, but they’re keeping the prices the same.

Ruckus_Tom on February 17, 2014 at 1:53 PM

http://www.politifact.com/truth-o-meter/statements/2010/nov/10/sarah-palin/whos-right-food-inflation-sarah-palin-or-wall-stre/

“All this pump priming (by the Fed) will come at a serious price. And I mean that literally: Everyone who ever goes out shopping for groceries knows that prices have risen significantly over the past year or so. Pump priming would push them even higher.”

-Sarah Palin, 2010.

portlandon on February 17, 2014 at 1:53 PM

Incomes are stagnant if not falling, energy prices and food prices(energy) are increasing.

Lean Forward.

Murphy9 on February 17, 2014 at 1:54 PM

This is also a good time to remember that liberal policies coupled the food market with the energy market subsidies – making it more profitable to grow corn to put in our fuel tank than on your table.

And liberal policies also created an artificial drought in one of the most agriculturally productive areas on the world – California’s central valley.

gwelf on February 17, 2014 at 1:54 PM

“Oh my god!” Singer said as she spied bacon for $3.

$3??

I can’t find bacon for less than $6.99

portlandon on February 17, 2014 at 1:55 PM

No, no, no. There’s no food inflation. There’s food deflation. Food providers are reducing the quantity of food, but they’re keeping the prices the same.

Ruckus_Tom on February 17, 2014 at 1:53 PM

Heh. Is that you Krugman?

tetriskid on February 17, 2014 at 1:55 PM

Energy prices are not helping. Growing corn for fuel instead of food and animal feed is wasteful and drives up prices.

It’s downright depressing to go grocery shopping nowadays.

rockmom on February 17, 2014 at 1:56 PM

Meat prices are easy to fix –> get rid of the ethanol mandate for gas, watch corn prices fall, then meat and other foods will follow.

KenInIL on February 17, 2014 at 1:50 PM

Spot on.

And increased drilling that would result in more oil on the market would help too as ALL food must be transported.

Stopping the EPA’s war on coal would also help because ALL grocery stores have to pay electric bills.

Charlemagne on February 17, 2014 at 1:56 PM

OT – why Will is a traitor, like all the others.

Schadenfreude on February 17, 2014 at 1:58 PM

Sarah Palin is SO stupid. She warned everybody this was happening and they told her “No it isn’t.”

Well open wide and eat it you slimes.

portlandon on February 17, 2014 at 1:58 PM

Beef is almost prohibitively expensive…

OmahaConservative on February 17, 2014 at 2:00 PM

How many smart phones are in her household? DishNet, DirecTV, or just basic cable (or, shocker, no cable!). New cars or used cars? Stagnant wages and a crap economy are a serious problem, but so are the spending habits of an embarrassing chunk of this country – if food costs are a worry for you, then forget about paying for your kids’ college, cuz it’s not going to happen. As more and more people go on food stamps and other government programs, I have less and less sympathy for people struggling with inflation, even those not on government assistance. Sad, I know.

King B on February 17, 2014 at 2:04 PM

If the government elitists had to go out and buy food they would realize inflation exists. Time to start growing our own food as some did during the Carter debacle.

crankyoldlady on February 17, 2014 at 2:05 PM

New meat labels tell consumers more, but at what cost?

“Companies now have to segregate animals and their meat all along the supply chain from birth to packinghouse. They have to keep track of details about each animal — and print new labels.

A key issue is that the new rules prohibit commingling – or combining cuts of meat from more than one animal in a single package.”

The American Meat Institute, a national trade group representing meat processors and packers, estimates the new labeling rules will cost the industry between $300 million and $500 million. The U.S. Department of Agriculture puts the figure at around $120 million. Some of that cost may get passed onto consumers.

“The bottom line is it’s going to make the price of meat go up,” said Mark Dopp, the institute’s general counsel. “The price of meat will go up at a time when the price of meat is already at record highs because of the limited supply, given the small herd” and other issues.”

http://www.kansascity.com/2013/12/16/4697240/new-meat-labels-tell-consumers.html

Viator on February 17, 2014 at 2:05 PM

Beef is almost prohibitively expensive…

OmahaConservative

Who eats beef?

crankyoldlady on February 17, 2014 at 2:06 PM

No, no, no. There’s no food inflation. There’s food deflation. Food providers are reducing the quantity of food, but they’re keeping the prices the same.

Ruckus_Tom on February 17, 2014 at 1:53 PM

That’s happening with some food items. The honey wheat loaf of bread and turkey cold cuts I always buy shrank in quantity a few years ago, but the price remained the same. I heard people say the same has happened with some condiments.

Doughboy on February 17, 2014 at 2:06 PM

So they jump right in there with the unsupported assertion that “extreme weather” is driving up food prices. Might be true for some items, but more likely Obama’s debasing of the currency and Obama’s doubling gasoline prices are more to blame.

forest on February 17, 2014 at 2:08 PM

And the absurd cutoff of water to the Central Valley too, shouldn’t forget that man made disaster.

forest on February 17, 2014 at 2:10 PM

Was this the kind of “change” the starry-eyed lambs who voted for Obama were hoping for?

Hope and change. HOPE AND CHANGE!!!

And the fools bought it…TWICE!!! They walk among us…

otlset on February 17, 2014 at 2:12 PM

The adage “An apple a day keeps the doctor away” is impossible thanks to apple prices, she said.

Who needs apples? BarkyCare keeps the doctor away, whether you need him or not.

ThePrimordialOrderedPair on February 17, 2014 at 2:12 PM

And the poor victim wants the Gov’t to do something about it.

mjbrooks3 on February 17, 2014 at 2:13 PM

Who eats beef?

crankyoldlady on February 17, 2014 at 2:06 PM

http://www.youtube.com/watch?v=Ug75diEyiA0

lorien1973 on February 17, 2014 at 2:15 PM

Just bought Oscar Mayer Beef Bologna yesterday at Walmart.

Last week 16 oz for $3.98 / This week 12 oz for $3.48.

12% drop in price but 25% drop in quantity?

Another_Concerned_American on February 17, 2014 at 2:16 PM

The Obama Maladministration has been lying about inflation by removing food, clothing, and shelter from all inflation indicator calculations.

This is similar to the way they lie about unemployment by removing long-term unemployed from the unemployment indicator.

landlines on February 17, 2014 at 2:16 PM

Where did the recovery go?

Into the pockets of Obama cronies.

(gwelf ++ LOL)

PattyJ on February 17, 2014 at 2:16 PM

Social engineering continues apace.

Murphy9 on February 17, 2014 at 2:16 PM

$3??

I can’t find bacon for less than $6.99

portlandon on February 17, 2014 at 1:55 PM

Yeah, best price we find for bacon is maybe $5 on sale. Good quality bacon is going for $8-$9 per lb.

forest on February 17, 2014 at 2:16 PM

Who eats beef?

crankyoldlady on February 17, 2014 at 2:06 PM

Beef. It’s whats for dinner…

OmahaConservative on February 17, 2014 at 2:17 PM

Food and fuel aren’t included in inflation reports because they are too volatile. If they were included (and they probably should) then I wonder whether we would have reached the inflation rate that would convince the Fed to stop creating money.

Surellin on February 17, 2014 at 2:18 PM

I see fights over road kill coming to an area near you.

docflash on February 17, 2014 at 2:18 PM

then I wonder whether we would have reached the inflation rate that would convince the Fed to stop creating money.

Surellin on February 17, 2014 at 2:18 PM

LOL

ZIRP is Yellen’s Herp Derp.

Watch for NEGATIVE rates.

China may be the only country in a position to deleverage without catastrophic results. The USA, notsomuch.

Murphy9 on February 17, 2014 at 2:21 PM

Expect an executve order to further expand Food Stamp elegibility and increase individual payments.

Or expect new USDA Farm Bill regulation to do the same.

Can’t have the proletariot going hungry before the 2014 elections.

Another_Concerned_American on February 17, 2014 at 2:23 PM

Argued with a lib online for the better part of a day about this. He kept telling me that there was no inflation because the Fed and Paul Krugman said so. I repeated the exact same stats that are in this story. He kept saying that because computers and Iphones are cheaper, then there is no inflation. Libs really can’t handle arguments when you start shooting actual facts their way.

Bitter Republican in PA on February 17, 2014 at 2:25 PM

That won’t change until two pressures on the economy are reversed: rising costs on business and improvement of chronic joblessness. The latter keeps wages depressed by providing a large labor pool for a relatively small number of net jobs created over the last five years since the beginning of the recovery in June 2009. On average since then, we have created significantly fewer jobs each month than necessary to keep pace with population growth. In large part, the job-creation market has been stifled by extra costs and disincentives to investors and businesses in job-creating expansion and risk-taking. Those same costs, along with relatively high energy costs, get passed along to consumers in higher prices, putting them in the economic vise described in this CBS report.

This is all 100% government policy.

trigon on February 17, 2014 at 2:26 PM

This has been happening since obama took office but no one gives a crap.

Blake on February 17, 2014 at 1:45 PM

I don’t know what you’re complaining about. This is what food stamps are for. Now, one in six people are getting help via food stamps. More people will be getting help in the future. If you can’t afford to buy food, there’s help for you.

\

Meat, smaller package sizes (which is so lame, isn’t it?), you name it, food prices are going up. I rely heavily on discounts, especially meat and produce about to expire, and sales, and coupons.

LashRambo on February 17, 2014 at 2:26 PM

If you think food is expensive now wait till you can only buy Obamafood. Coming soon:

On-Farm Produce Standards Rule: Creates requirements for every aspect of growing and harvesting fruits, vegetables, and nuts –
144 pages of regulations.

http://farmandranchfreedom.org/wp-content/uploads/2013/10/FDA-produce-safety-rule-fed-reg-version-2013.pdf

Preventative Controls / HARPC Rule: Requires businesses (including farms) that pack, store, or process foods to do hazard analysis and risk-based preventative control (HARPC) plan. 680 pages of regulation.

http://farmandranchfreedom.org/wp-content/uploads/2013/10/FDA-HARPC-proposed-rule-2013.pdf

Viator on February 17, 2014 at 2:28 PM

There’s also that hidden inflation, when you start seeing a half-gallon of ice cream is now 1.5 quarts. Orange Juice is in 59 ounce cartons instead of half-gallon ones. Crackers are in 13 oz boxes instead of 1 lb. Coffee is sold in 13 oz cans instead of 1 lb cans. Yet the prices remain the same or are even higher. The list goes on and on with examples of this.

TrubadorMike on February 17, 2014 at 2:29 PM

pool for a relatively small number of net jobs created over the last five years since the beginning of the recovery in June 2009

Huh?

Recovery? You’re talking about the USA?

Lance Corvette on February 17, 2014 at 2:29 PM

If you’ve noticed a higher grocery bill in this era of supposedly low inflation, you’re not imagining things. Despite Washington estimates of low consumer inflation over the last few years, the prices of goods at the market are rising rapidly — especially for meat items, which have risen by double digits since 2011. – Ed Morrissey.

Ed, you’re not supposed to believe anything other than what this administration tells you. And, if you speak up too loudly you are called all sorts of names by Obama’s followers. Sadly, usually the first thing you are called is a racist.

SC.Charlie on February 17, 2014 at 2:29 PM

Viator on February 17, 2014 at 2:28 PM

Regulations are for the regulators who can say “it’s not my fault” when problems occur. Even if the regulations are impossible to follow. It’s “Atlas Shrugged” all over again.

LashRambo on February 17, 2014 at 2:30 PM

Who eats beef?

crankyoldlady on February 17, 2014 at 2:06 PM

For some odd reason, the local Supermercado Monterrey down in Tyler regularly has marinated beefsteak for $2.39 a pound. It’s not only good with eggs for breakfast, it’ll work for dinner, too. I also grill it and use it to make my own frozen burritos. They’re better and cheaper than any of the brand-name ones.

trigon on February 17, 2014 at 2:31 PM

Ya mean da gubRmint lies to us… no…. say it ain’t so.

Bwahahahahahahahahahahahahahahaha

roflmmfao

donabernathy on February 17, 2014 at 2:33 PM

I don’t even look at prices anymore, except I notice the price for a gallon of fresh milk because it’s the first think in the cart. After than I just get my regular stuff, flour, beans, rice, cheap hot dogs, and canned goods.

Joseph OHenry on February 17, 2014 at 2:38 PM

A short history of the CPI and a comparison of the current CPI measure calculated the new Orwellian way and the old way before the politicians got a hold of it. From Shadowstats who carefully keeps track of these shenanigans.

“In the early-1990s, political Washington moved to change the nature of the CPI. The contention was that the CPI overstated inflation (it did not allow substitution of less-expensive hamburger for more-expensive steak). Both sides of the aisle and the financial media touted the benefits of a “more-accurate” CPI, one that would allow the substitution of goods and services.

The plan was to reduce cost of living adjustments for government payments to Social Security recipients, etc. The cuts in reported inflation were an effort to reduce the federal deficit without anyone in Congress having to do the politically impossible: to vote against Social Security.”

http://www.shadowstats.com/article/no-438-public-comment-on-inflation-measurement

Viator on February 17, 2014 at 2:38 PM

Wait a minute. Chuck Shumer is telling us Obamacare will free us from being job locked. We can buy cheap insurance and not have to have a job. Oh wait, that means we won’t have money for food and living expenses. Well Chuck says there are food stamps and welfare for those people. Gee just more people dependent on the government. Wonder if Chuck was lying to us.

regmgr on February 17, 2014 at 2:39 PM

Obama’s government lies.
Obama’s media hides the lies.

albill on February 17, 2014 at 2:40 PM

No Kidding!!!

“Have you seen the price of arugula at Whole Foods lately?”

LegendHasIt on February 17, 2014 at 2:40 PM

Ed, what about reforming the Fed?

bcm4134 on February 17, 2014 at 2:45 PM

I am the primary grocery shopper in my family. There are items I buy regularly each week & each month. I definitely have noticed the prices rise over the past 2 years.

Bacon? Crazy price increases. Sorry, family, but I don’t buy it regularly. Milk? I suck it up and see who puts it on sale. Bread? Ditto. Meats? What I cook depends upon what is on sale.

When our betters in gov’t tell us there is no inflation, it makes my head want to explode. YES! There is inflation in food prices. I see it every time I am in the store.

ConservativeMom on February 17, 2014 at 2:55 PM

Meat prices are easy to fix –> get rid of the ethanol mandate for gas, watch corn prices fall, then meat and other foods will follow.

KenInIL on February 17, 2014 at 1:50 PM

You beat me to it, Ken!

Livestock get fat more quickly eating corn than grass…

Steve Z on February 17, 2014 at 2:57 PM

If you do any food shopping you’ve observed these price increases for over THREE YEARS now.
Eventually the media will get around to reporting this.
(I know, I’m an optimist.)
When they stop reporting on ‘Climate Change’ and ‘Who’s on the Red Carpet’ and ‘Tea Baggers’ and … you get the idea.
Mean while King Putt putt’s and says ‘Everything is Good’ and the Manure Spreading Media all nod in agreement.

Missilengr on February 17, 2014 at 2:58 PM

I can’t find bacon for less than $6.99

portlandon on February 17, 2014 at 1:55 PM

Neither can I. Even in places like Save-a-Lot or Walmart, it’s $5.39. If you want totally flavorless bacon, Save-a-Lot has some anonymous brand for $2.99. However, it tastes like cardboard.

The best I can hope for is that some grocery store has it on sale.

PatriotGal2257 on February 17, 2014 at 3:00 PM

Food and fuel aren’t included in inflation reports because they are too volatile. If they were included (and they probably should) then I wonder whether we would have reached the inflation rate that would convince the Fed to stop creating money.

Surellin on February 17, 2014 at 2:18 PM

The excuses for NOT including these critical factors in the “official” inflation number is belied by the fact that actual costs of consumer items WERE included in inflation numbers for many decades…until someone decided that the real rate needed to be hidden.

The publishing of incremental monthly changes in the CPI coupled with the hiding of the associated raw data only serves to further hide the ugly truth that real inflation actually experienced by consumers is FAR ABOVE the “official” number.

I suspect the true inflation number is at or near double digits, propelled by misguided government policy which makes all forms of energy MUCH MORE expensive and devalues our currency with wasteful spending.

Look up the interest rate on your best credit card and subtract two points: this is close to the TRUE inflation rate ordinary citizens actually experience.

landlines on February 17, 2014 at 3:01 PM

Meat prices are easy to fix –> get rid of the ethanol mandate for gas, watch corn prices fall, then meat and other foods will follow.

KenInIL on February 17, 2014 at 1:50 PM

That is part of the problem, but, with beef, increased prices are also caused by ranchers having to downsize herds due to drought’s effect on grasslands. The ethanol connection comes in the feedyard fattening process plus transportation costs. Cow-calf herd numbers are way down due to brownout of forage. Pork, dairy, and poultry are directly impacted by feed costs, not just corn, but soybean oilmeal which is a major protein supplement.

butch on February 17, 2014 at 3:01 PM

It could be worse. You could live in a food desert.

Whocares on February 17, 2014 at 3:04 PM

“Unexpected.” To the morons in DC. For everyone else, this is not news and no surprise. We live higher food prices every single day.

ClownsToTheLeftOfMe on February 17, 2014 at 3:04 PM

Neither can I. Even in places like Save-a-Lot or Walmart, it’s $5.39. If you want totally flavorless bacon, Save-a-Lot has some anonymous brand for $2.99. However, it tastes like cardboard.

The best I can hope for is that some grocery store has it on sale.

PatriotGal2257 on February 17, 2014 at 3:00 PM

Make your own. It isn’t hard and is much tastier. Want some links?

butch on February 17, 2014 at 3:06 PM

Meat Stimulus Anyone? It did such a great job saving the economy, right?

Bmore on February 17, 2014 at 3:07 PM

These people are a bunch of whiners, if they want more money for food then try working a little bit harder or better yet become an entrepreneur and create your own wealth.

Complaining and bellyaching to a lame stream reporter isn’t gonna fill anyone’s tummy.

Pablo Honey on February 17, 2014 at 3:07 PM

Hey! I’ve got a GREAT idea! Let’s turn basic food stocks in FUEL for our cars!

GarandFan on February 17, 2014 at 3:10 PM

Pablo Honey on February 17, 2014 at 3:07 PM

I see your techniques haven’t improved much. Keep tryin’.

butch on February 17, 2014 at 3:11 PM

There’s also that hidden inflation, when you start seeing a half-gallon of ice cream is now 1.5 quarts. Orange Juice is in 59 ounce cartons instead of half-gallon ones. Crackers are in 13 oz boxes instead of 1 lb. Coffee is sold in 13 oz cans instead of 1 lb cans. Yet the prices remain the same or are even higher. The list goes on and on with examples of this.

TrubadorMike on February 17, 2014 at 2:29 PM

Yep, I was just going to say …

We’re very big coffee drinkers in our household and it hasn’t escaped my notice that even a basic coffee brand such as Maxwell House has shrunk their cans to 1 lb., 13.3 oz. while the price (depending on whether one shops at a UFCW union grocery or not) is something like $12.99 regular price. When it’s on sale, the price comes down to something like $5.99, which is what I remember paying for a bigger can of coffee 10 years ago.

PatriotGal2257 on February 17, 2014 at 3:16 PM

Make your own. It isn’t hard and is much tastier. Want some links?

butch on February 17, 2014 at 3:06 PM

I’d like the links, TIA…

OmahaConservative on February 17, 2014 at 3:17 PM

Make your own. It isn’t hard and is much tastier. Want some links?

butch on February 17, 2014 at 3:06 PM

Cool! Yeah, send me some links.

PatriotGal2257 on February 17, 2014 at 3:18 PM

TrubadorMike on February 17, 2014 at 2:29 PM

PatriotGal2257 on February 17, 2014 at 3:16 PM

I hate the downsized products. I miss my half gallon ice cream boxes…

OmahaConservative on February 17, 2014 at 3:21 PM

OmahaConservative on February 17, 2014 at 3:17 PM

PatriotGal2257 on February 17, 2014 at 3:18 PM

http://www.finecooking.com/articles/how-to-make-diy-bacon.aspx

I’ve got some more someplace. I’ll go look. I’ve also got a handy dandy link for transforming a corned beef brisket into some nice pastrami, if you guys want.

butch on February 17, 2014 at 3:27 PM

Meat prices are easy to fix –> get rid of the ethanol mandate for gas, watch corn prices fall, then meat and other foods will follow.

KenInIL on February 17, 2014 at 1:50 PM

Sure, that didn’t help. But prices won’t come down proportionately. It’s called the Ratchet Effect.

In the ’80s, beef prices took a major jump because of a crop failure. They never went back down, so I assume crops have been failing ever since…

Had my first Ribeye this past weekend. Has been a while. I used to have them every Saturday night.

Tsar of Earth on February 17, 2014 at 3:28 PM

OmahaConservative on February 17, 2014 at 3:21 PM

Yep, me, too. Hubby is the main buyer and consumer of ice cream, but even I’ve noticed the shrunken cartons.

Irritates me. Do the food manufacturers think we don’t notice? I have a pretty long memory for prices and sizes.

PatriotGal2257 on February 17, 2014 at 3:28 PM

butch on February 17, 2014 at 3:27 PM

Wow, thanks! Yeah, if you can find your brisket-to-pastrami link also, that would be great.

Thanks so much!

PatriotGal2257 on February 17, 2014 at 3:31 PM

butch on February 17, 2014 at 3:27 PM

Yeah I’d like that also…

Irritates me. Do the food manufacturers think we don’t notice? I have a pretty long memory for prices and sizes.

PatriotGal2257 on February 17, 2014 at 3:28 PM

Yeah, that just plain pisses me off…

OmahaConservative on February 17, 2014 at 3:31 PM

Ethanol subsidies and increased fuel prices are the roots of the problem as they affect production and transport costs. Basically every facet of the meat industry has gone up in price, so is this really a surprise to anyone outside DC?

SLMeyer on February 17, 2014 at 3:34 PM

Had my first Ribeye this past weekend. Has been a while. I used to have them every Saturday night.

Tsar of Earth on February 17, 2014 at 3:28 PM

I had T Bones Saturday, but only because a friend had to clean out their freezer since they just slaughtered a steer, so I got the leftovers from last year. I used to always have steak every Saturday as well, but not at these prices…

OmahaConservative on February 17, 2014 at 3:35 PM

The ‘real problem’ is that the fed reserve has CRUSHED the value of the US Dollar.

Deliberately.

Team Obama told Kyle Bass their big ‘plan’ for the economy was to boost exports

He asked how they planned to do that

They said ‘crush the US Dollar of course!’

Reagan & Clinton supported a strong US Dollar and the middle class thrived

ginaswo on February 17, 2014 at 3:35 PM

Another bacon link.
http://coolmaterial.com/roundup/how-to-make-bacon-from-scratch/

butch on February 17, 2014 at 3:37 PM

While I agree that food prices are often overlooked in consideration and coverage of inflation, two countervailing points:

(1) There’s more to life than apples and bacon. Because of supply and demand, we can always pick and choose to find items that are dramatically outpacing food inflation. Food inflation was most dramatic around 2008; grain prices (e.g., wheat) are down from that peak, not up. Those have a lot more impact than bacon and apples (due both to sheer consumption levels and the Giffen good effect). In order words, this “news” is about six years late (or three years if you count the more recent mini-spike).

(2) The important question is what percentage of our spending — or the spelling of the people of interest — is spent on food. If it’s 6% (and it is, on average), a 50% spike only adds 3% to our spending — small but manageable instead of huge and crushing.

calbear on February 17, 2014 at 3:40 PM

butch on February 17, 2014 at 3:37 PM

Thanks buddy. This one looks really good…

OmahaConservative on February 17, 2014 at 3:41 PM

Corned beef to pastrami(without a smoker), but, lots of aluminum foil:)
http://video.about.com/americanfood/Homemade-Pastrami.htm

butch on February 17, 2014 at 3:45 PM

Meat prices are easy to fix –> get rid of the ethanol mandate for gas, watch corn prices fall, then meat and other foods will follow.

KenInIL on February 17, 2014 at 1:50 PM

That is part of the problem, but, with beef, increased prices are also caused by ranchers having to downsize herds due to drought’s effect on grasslands. The ethanol connection comes in the feedyard fattening process plus transportation costs. Cow-calf herd numbers are way down due to brownout of forage. Pork, dairy, and poultry are directly impacted by feed costs, not just corn, but soybean oilmeal which is a major protein supplement.

butch on February 17, 2014 at 3:01 PM

What you’re all missing is that The One and his crowd don’t want you eating meat, period. It’s oppressing animals, and evil, and genocide, according to PETA and their own dogmas.

The ethanol mandate was as much about reducing feedstock for cattle, etc., as it was about fuel. It was and is a nasty one-two sucker punch against two things the left hates; automobiles and non-Vegen eating.

You see the natural conse

eon on February 17, 2014 at 3:45 PM

The real problem, though, is that wages aren’t keeping pace with food inflation

Oh, for cripes sakes. I’ve been listening to complaints in the news about high inflation for going on 50 years, and read about those same complaints going back decades more. Do you know why it’s always an issue? Because wages don’t keep up with it.

If wages kept up with inflation there would be no news about it and no one would care and, if anything we’d be talking about wages stagnating in relation to prices.

Dusty on February 17, 2014 at 3:47 PM

Meat prices are easy to fix –> get rid of the ethanol mandate for gas, watch corn prices fall, then meat and other foods will follow.

KenInIL on February 17, 2014 at 1:50 PM

That is part of the problem, but, with beef, increased prices are also caused by ranchers having to downsize herds due to drought’s effect on grasslands. The ethanol connection comes in the feedyard fattening process plus transportation costs. Cow-calf herd numbers are way down due to brownout of forage. Pork, dairy, and poultry are directly impacted by feed costs, not just corn, but soybean oilmeal which is a major protein supplement.

butch on February 17, 2014 at 3:01 PM

What you’re all missing is that The One and his crowd don’t want you eating meat, period. It’s oppressing animals, and evil, and genocide, according to PETA and their own dogmas.

The ethanol mandate was as much about reducing feedstock for cattle, etc., as it was about fuel. It was and is a nasty one-two sucker punch against two things the left hates; automobiles and non-Vegen eating. (For anyone but themselves in their chauffeured limos and state dinners.)

You see the natural consequences of these policies as problems. They see them as “incentives” for you to behave as good proletarian citizens of the Brave New World. Walk, bicycle, take the bus, and eat tofu.

As to their eating Wagyu beef, hey, RHIP.

They don’t really give a sh!t what you think. About that, your food bill, or anything else.

I thought everyone had figured this out by now.

clear ether

eon

eon on February 17, 2014 at 3:52 PM

This is just the beginning. Wait until the socialist utopia goes into full affect. Bacon, hah! You will be happy if you get a sack of lentils.

bitsy on February 17, 2014 at 3:53 PM

pambi has the right idea. She gets meat on sale and cans it…

OmahaConservative on February 17, 2014 at 4:01 PM

Just picked up a six pack of Michelob lite at the store this weekend – its up 30% in the last couple of years, too.

Midas on February 17, 2014 at 4:07 PM

butch, those links are great, thanks.

did a lot of smoking last year, haven’t yet this year – need to get back to it.

Midas on February 17, 2014 at 4:12 PM

People confuse rising prices with inflation. They are not the same. They can be one sign of inflation.

In the case of food, the price hikes have been going on for some time and are not directly related to inflation, a measure of the money supply only. One key sign of this is that not everything is going up. If there were real inflation, the increases would be more broad based and also affect wages (albeit usually in a slightly delayed form).

Food prices are up for several reasons which can be summed up in one phrase: “federal policies.” Corn is diverted from food stocks to ethanol production because that earns a huge subsidy. Corn is the primary feed for poultry and livestock to be brought to market, so their prices rise. Demand also rises for alternatives and their costs go up in turn. And environmental nonsense has diverted water from the Central Valley of California, reducing its production, as well as overregulation that affects AG output nationwide.

Don’t blame “inflation,” which is only the measure of how much the money supply increase exceeds the total increase in production, and remains rather low. Blame Obama.

Adjoran on February 17, 2014 at 4:21 PM

$3??

I can’t find bacon for less than $6.99

portlandon on February 17, 2014 at 1:55 PM

$3 is the great news, she probably has trouble finding it for less than $5 herself…

astonerii on February 17, 2014 at 4:22 PM

Midas, indeed they are great links. I am so going to make my own bacon, and with my meat slicer I get to control the thickness of the slices…

OmahaConservative on February 17, 2014 at 4:25 PM

Food inflation far outstrips gov’t calculations

Oh, noooo that’s simply not true. Just heard the guy on the Triple A gas price spot on the radio saying gas is going up because folks are driving more because the economy is improving!

Of course, it couldn’t be that the Dollar is getting weaker, therefore it takes more of them to buy a barrel of oil now, could it.

Dr. ZhivBlago on February 17, 2014 at 4:31 PM

Comment pages: 1 2