by Jeff Davis
Food prices aren’t just rising in the grocery stores. One of the most traditional sources of hot and cheap, if not necessarily super-healthy nourishment for poor working class Whites, is now becoming the victim of government-inspired inflation. The famous McDonalds dollar menu, the source of quick and inexpensive nourishment for millions, now may become a thing of the past.
Zerohedge reports: “As the fallacy that an economy is improving if the stock market is higher percolates, accompanied by the all too real surge in input costs (yes, oil really is on the verge of breaking $100), the margin contraction we have been discussing for over 2 months is becoming increasingly acute…Yet what is true for manufactured products, is far more applicable for food products, whose input costs are determined by the daily vagaries of millions of speculators. Which means that as the catch 22 of an ‘improvement’ for some courtesy of 3 year highs in the Nasdaq is perceived by the speculators as an actual improvement for all (which would be the case if stocks were owned uniformly by every layer of society, which is certainly not the case), prices will eventually hit the tipping point where retailers will be forced to start passing on cost increases to consumers.”
Inflation is one of the biggest disasters for ordinary working people. It causes buying power and retirements to shrink. Big corporations simply jack up their prices to match the inflation rate, but the wage slaves get one or two percent raises -if any, typically falling behind the much higher inflation rate.
Zerohedge goes on: “Enter McDonalds whos executives according to AGWeb, were quoted as saying that menu prices could rise if the economy improves. And since after listening to the endless barrage of brainwashing from the mainstream media, one can’t not be left with the impression that the economy is doing anything but improving, conveniently ignoring the fact that the Fed is stimulating it coincidentally via QE2, the next step for the broad part of the US population for whom there is no improvement in anything, which would be the majority of America, is about to get its next whopper (pun intended) of a Bernanke side effect, namely inflation in the most affordable of food product categories: fast food. Restaurants are not the only companies weighing whether passing along higher prices risks alienating customers. Big food brands such as Dean Foods, Del Monte, Dole and Chiquita Brands are among those at the greatest risk from coming price increases, according to Consumer Edge Research. With agricultural commodities up about 50 percent in the six months leading to November, price increases or smaller profits seem inevitable, according to the Connecticut-based research group. What this means specifically is that pretty soon America can kiss the various iterations of the dollar menu goodbye. Executives at McDonald’s said menu prices could rise if the economy improves …Elsewhere, fast food price hikes have already taken place…. even with 9.8% unemployment…Some Wendy’s franchisees bumped the Junior Bacon Cheeseburger to $1.29 after the company switched to a more expensive type of bacon. Wendy’s/Arby’s, one of the largest fast-food chains in the country, said its commodity costs are 2 to 3 percent higher this year than in 2009. The first half of 2011 is not expected to bring much relief from high beef and pork costs.”
In other words, the Obama regime is printing money so they won’t have to cut spending and now inflation is setting in, as any Economics 101 student could have told them it would.
What this means in the practical world is that the very lowest people on the bottom of America’s economic rung, which now includes countless millions of White workers who have been downsized and foreclosed, are going to start getting squeezed for their morning breakfast of a cup of coffee which, although watery, is at least hot, and an Egg McMuffin which, although not the best nutrition in the world, is at least something filling in their stomach as they begin one more long day in the desperate search for work.
If Mickey D’s and Burger King and Jack in the Box prices go up, that’s going to be a lot more missed lunches as well as the frantic, job-barren day moves on until the sun sets, the freezing non-globally warmed winter darkness sets in, and one has to trudge back to whatever temporary shelter one has been able to find before rising in the pre-dawn darkness to do it all again. (Can you tell I’ve been there?)
The extra couple of dollars one must now fork over for that Egg McMuffin, and the knowledge that in Obama’s America a man with a White skin is nothing but financial livestock, is one of those things that will stick in people’s memories long after the Obama Depression has given way to whatever frightful socialist tyranny or mad chaos that awaits.