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Archive for April 23rd, 2008

Prices: Gas Up, Food Up, Non-Local Up

Wednesday, April 23rd, 2008

It all makes sense. As the price of gas rises, the price of transporting goods from one place to another rises.

The Lays Potato Chip truck requires more money in order to pay for the fuel that powers the truck that moves the chips from factories to stores.

The Lays factory requires more money in order to pay for the fuel that powers the machines that make the chips.

So Lays charges more for chips in order to meet the new financial demands, created by rising oil prices.

So everything that requires machines to be either made or transported should increase in price.

But there's also the issue of the weather.

I saw on the news this morning that California was going through a cold snap, and that some crops were dying.

I also heard that riots have already begun breaking out worldwide, due to food shortages.

So gas isn't the only issue here. As the food supply decreases, demand will increase, and prices will increase accordingly.

But who needs food? Who needs gas? And if you really need both, just buy a lot of beans.