by Sundance at The Conservative Treehouse
If there is one economic dynamic we have talked about on these pages more than the rest, its inflation. {Background}
The root causes of inflation are two-fold, monetary policy and energy policy. However, when combined they represent a predictable outcome. Specifically predictable, when it comes to highly consumable goods that require a lot of industrial effort, labor, distribution and warehousing processes. Thus, food inflation was/is worst.
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Within all of the sectors most vulnerable to upward price pressure as a result of policy (monetary and energy), the main industry impacted by immediate and severe inflation is food, farming and agriculture. Food, a highly consumable product with a thin supply chain, sees the results of inflation first and fastest. Durable good inflation lags behind high-velocity consumable goods.
It was with this understanding CTH first warned in 2020 of what would happen coming out of the COVID Pandemic economic crisis. We predicted and watched in 2020 as one-third of all food supplies were destroyed because 50% of the food supply chain (restaurants, cafeterias, schools, food trucks, essentially food away from home) was shuttered.
In the middle and latter part of 2020…
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