In 2005, during a class in my masters program, I referred to the rising cost of dairy and the effect on my friend’s cheese costs for his pizza shop. The randomness of this caused most in the class to laugh over what was admittedly, a funny thing at the time.
But no one is laughing now. With the ridiculous ethanol policy, the falling dollar and rising global food demand, food costs are soaring – and people can’t afford it. Look at this article from CNBC.com:
This can not end in a good way – inflation is killing us, but according to the government, there is no inflation, so I won’t worry…
Look at this chart of an exchange traded fund representing agriculture commodities: