|
E.Central MN | There are at least two factors at work. The low US$ makes our products cheaper for foreign buyers which increases foreign demand. That increased demand reduces our supply and domestic prices increase. The same thing occurs when you have weather problems which decrease world supply which also drives up prices here. The rising grain prices aren't caused by inflation unless you look at commodities as a hedge against inflation. But the rise in food prices and oil prices can be a cause of inflation.
| |
|
Don't be afraid of $11 beans
