Inflation is closer to 9% than the 2.3% the fed reserve so cynically spews. What a discredited system of government and quasi-government we have, no? The reality is that they can't successfully lie about the price of gasoline, milk, cereal, natural gas, electricity, health insurance, or... ...anyone notice a theme here? Anything that is necessary for life has inflated the most. We are being gouged on inflexible goods. Is there any coincidence that so much consolidation, M&A, and PE activity has focused on utilities, etc. while the powers that be look the other way? Anything that you need will continue to dramatically ramp up in price. All this, while the USD is deflated.
Blame your bill on corn, weather 'IT'S VERY PAINFUL' | Shoppers already dealing with high gasoline prices face surging costs for groceries driven partly by demand for biofuels June 6, 2007 http://www.suntimes.com/news/metro/415495,CST-NWS-food06.article
From that article - that woman's face says it all: "$3.50 for a gallon of milk? Why you gotta play me like that?"
Cure for high food prices is build more farms not play with interest rates. Problem is supply not monetary.
Hehe you know what's interesting? I only buy grass fed milk and it's been about the same price for 2 years.