Food Prices Remain Stuck at High Levels
Food Prices Remain Stuck at High Levels
http://www.news8.net/news/stories/1008/562791.html
"Washington - Even though gas prices are falling, the price of food remains artificially high, sticking at the high point established during the summer's months of inflated fuel costs.
The American Farm Bureau's quarterly survey of grocery prices found that on basic items for the last quarter, prices were up an average of 10.5 percent. Potatoes, apples, and cheddar cheese were up the most, they found, while bread and eggs went down over the past three months.
The industry initially raised prices when fuel costs went through the roof over the summer, but now gas prices are plummeting. Grocery prices remain stuck at their summer highs, however.
Experts call the phenomenon"sticky prices": companies raise prices and keep them there even when the rationale for raising them ends, since their customers are still prepared to pay.
In response, families have been forced to tighten their belts. One shopper said, "Outrageous, you barely can eat...we don't go to movies like we used to, we don't go out sightseeing like we used to, we just cut it all out.""
Comment
Congress should hold hearings on food prices.
I talked to my baker a few months ago. He was happy to vent that when prices rose in the past he usually had a substitute to buy that was cheaper so that he did not have to raise his prices. He said the market was crazy because all nuts went up in price, for example. He could not substitute walnuts for peanuts or anything. All flours went up too. Cocoa went through the roof...there is not much to substitute with that one.
World food prices fell with the lowering of oil prices but the consumer prices are still very high and have not gone down from their highs in the supermarket.
Congress should hold hearings on food prices that the consumer has to pay currently.
Write your congress representative complaining about the high food prices and demand they hold hearings. America cannot be hostage to over greedy price manipulators.
http://www.news8.net/news/stories/1008/562791.html
"Washington - Even though gas prices are falling, the price of food remains artificially high, sticking at the high point established during the summer's months of inflated fuel costs.
The American Farm Bureau's quarterly survey of grocery prices found that on basic items for the last quarter, prices were up an average of 10.5 percent. Potatoes, apples, and cheddar cheese were up the most, they found, while bread and eggs went down over the past three months.
The industry initially raised prices when fuel costs went through the roof over the summer, but now gas prices are plummeting. Grocery prices remain stuck at their summer highs, however.
Experts call the phenomenon"sticky prices": companies raise prices and keep them there even when the rationale for raising them ends, since their customers are still prepared to pay.
In response, families have been forced to tighten their belts. One shopper said, "Outrageous, you barely can eat...we don't go to movies like we used to, we don't go out sightseeing like we used to, we just cut it all out.""
Comment
Congress should hold hearings on food prices.
I talked to my baker a few months ago. He was happy to vent that when prices rose in the past he usually had a substitute to buy that was cheaper so that he did not have to raise his prices. He said the market was crazy because all nuts went up in price, for example. He could not substitute walnuts for peanuts or anything. All flours went up too. Cocoa went through the roof...there is not much to substitute with that one.
World food prices fell with the lowering of oil prices but the consumer prices are still very high and have not gone down from their highs in the supermarket.
Congress should hold hearings on food prices that the consumer has to pay currently.
Write your congress representative complaining about the high food prices and demand they hold hearings. America cannot be hostage to over greedy price manipulators.
posted by God Bless America - Bob at 11:39 AM
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