Want evidence of inflation and how it affects our everyday lives? Just takes a step into your local grocery store.
That’s what ABC News did for a consumer report, which Peter Schiff shared and discussed on his show:
The news report reveals how many store items carry less of the same product than they originally did, despite being sold at the same price.
For example, one box of crackers had 20 fewer crackers than an older box, one juice box had 10 percent less juice than an older box, and one package of diapers had 92 pairs of diapers when it originally carried 100.
If you’re the type to squeeze the Charmin when Mr. Whipple’s not around, you’ll be squeezing 70 percent less tissue paper than was being sold 20 years ago.
The kicker was that both the old and new items were sold at the exact same price, even though the newer items had less of the product. Even more of a kick, many of the older products were being sold right next to the new ones on the shelf!
So what gives? Why are food companies becoming such cheapskates and selling less items for the same price? Don’t blame them. Blame inflation! Inflation forces them to make one of two tough decisions: either raise prices, or maintain the same price by selling less.
Speaking of price increases, the Bureau of Labor Statistics reports that the price index for meats, poultry, fish, and eggs has risen to an all-time high. So unless you don’t mind spending more to quell your carnivorous appetite, now is probably the best time to become a vegan.
Either way, when inflation forces companies to raise their prices or sell less of their product, the end result is us paying more and receiving less, which is especially painful if you’re poor.
But pay no attention to this inflation! It’s no big deal! Paul Krugman said so, and he’s an economics professor with a shiny medal. If he says inflation is no big deal, then it isn’t, and anyone who thinks otherwise is an “inflation obsessive.”