All I keep hearing about is how great the economy would be going if housing would pick up and we didn’t have the sub-prime debacle. As if housing didn’t carry the economy for a number of years while Greenspan buried his head in his hands pretending not to notice.
Well I have a question for you: Has anyone purchased a gallon of milk lately?
Confession time. I will occasionally help out around the house by purchasing the groceries. But I never pay attention to the prices I just get what I’m told to get and run it through the cash card.
Well Saturday I decided to pay attention and I’m sorry I did. Milk was/is $3.55 a gallon! Now this may not sound like a big deal but my kids drink about 6 gallons a week.
When did milk get so expensive? Heck, when did groceries get so expensive? Maybe it’s not just the ARMs adjusting up. Maybe, because of the cost of our precious oil, everything is shooting up?
Kansas City Investment Property and Property Management 
Inflation. Basic economics… the more money we print, the less spending power for our dollars. The Fed’s printing presses are working overtime right now. You can measure inflation by commodity prices like gold, oil, and yes… milk.
Calculating the Inflation Tax
Cost of milk in Austin 10/01/07- $4.97
Cost of a gallon of gas in Austin 10/02/07- $2.79
Watching tycoons delight as the little guy is forced to eat spam and ramen- priceless.