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It's not just about 12+ trillion added to spending, real costs of business have increased, driving up prices, such as the need to retrofit work environments and
by ineedasername 6y ago
It's not just about 12+ trillion added to spending, real costs of business have increased, driving up prices, such as the need to retrofit work environments and provide PPE, production slowdowns due to the need to rotate staff or when an outbreak occurs: Meat prices spiked very high when significant portions of of the meat processing industry went offline, and those prices haven't gone down. The entire supply/demand curve for many product classes have changed as a result of people staying home and buying different things.
Yes, Pumping this much money into the economy it's hard to avoid inflation, but there's more factors to it than just that variable.
- klmadfejno 6y agoI was curious about meat prices because this didn't match my personal experience: https://www.ers.usda.gov/data-products/meat-price-spreads/ https://www.ers.usda.gov/data-products/meat-price-spreads/ Looks like meat prices spiked in Q2, peaking around June/July, and have fallen again. They're still elevated from this time two years ago, but they did go down.
- ineedasername 6y agoYep, not long before that it when plants were shutting down temporary or reducing output. Then summer always pushes the prices up a bit too.
- lostapathy 6y agoAs anecdata, I saw several local restaurants raise price a buck or two on burgers last year when supplies were crunched, and they promptly lowered them a handful of months later.
- ineedasername 6y agoThey may have lowered prices back down due to lack of customers with COVID precautions still in place. However beef prices can be somewhat regional. Where I am anything other than ground beef is mostly still at least $2/lb more than usual. Ground beef is it a little more than usual.