What do you think will happen to the economy? Food prices?

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frugalmom
Posts: 1328
Joined: Fri Aug 28, 2015 10:52 pm

What do you think will happen to the economy? Food prices?

Post by frugalmom »

I think before the coronavirus events, that the economy although doing well it seemed, it had cracks in it. Just because the sheer amount of debt citizens have accumulated as individuals/families in general and also the government itself. While I do not know the answer, and we do need to help those out of a job, this stimulus package also makes me think how in the world are we going to pay that back if ever or is it going to break us or maybe higher taxes from now on?

As for food prices, also this was suggested to be going up because of the floods in other states wiping out farmland, animals, and beef and pigs and chickens had their own problems too which was predicted to lead to higher prices along with tariffs, farmers struggling, and it takes at least 3 years to build up the cattle again and it affects associated dairy products as well.

So maybe some of you who live near these farmlands,cattle rances or knows someone who farms,etc maybe you have better insight and what do you think will happen? I think food prices will be MUCH higher as I see it right now even,but maybe that is because of the coronavirus? I do not think we are headed to Venezuela's 150.00 for a dozen eggs type scenario, but a few dollars more each item. In other words, enough to hurt our pocketbook and that we won't have the cheap deals we can get before. It is going to hurt more! How are you planning to offset this or deal with this? What do you think will happen? How about the housing market? What do you think will happen there? Do I dare say do you think we are headed to a recession or a greater depression?

BTW, this event has made me realize on how much we have given so much to China to produce esp medications and important stuff like that! I do not think it is a wise idea at all, to have our economy or citizens to be so reliant and dependent on China or any other country!? That is too much power given away! WE need to start bringing essential items back home to produce on US soil especially medications-I mean how do you know it does not contain some dangerous ingredient on purpose!? And why are we training people overseas to take jobs here and come over on H1 Visas when we have people here who need job training and jobs? Yes it is cheaper for the companies to hire these people from another country, but give our children the education, internships and the shot to learn first! I really believed in Perot and what he said that NAFTA would suck jobs out of this country. And cheaper I know to manufacture overseas, but they pay these workers so little money and it is the people in charge that profit from this, nit the workers who face dangerous conditions, exploitation, etc. So what favors are we really doing for them!? Think important things like medicine should be brought back here to the US to produce! Giving our workers a chance and a future and they can pay bills and debts back! I think as an individual we need to be more self-reliant and as a nation too without being isolationist! My two cents anyway!

Dgflorida
Posts: 4248
Joined: Wed Oct 07, 2015 8:10 pm

Re: What do you think will happen to the economy? Food prices?

Post by Dgflorida »

A good post and a good question. At the moment, there are 2 opposing economic theories at work. Hard to say which one will win. One theory is that the government with its huge debt and recent spending will trigger an increase in inflation. The job of the Federal reserve is to manage inflation. However, they may not be able to manage this "beast". After the recession of 2008, new rules were imposed on the banking industry. They were imposed because the banks lent out a lot of money to marginal clients leading to the recession. These rules limit how banks can respond. So those small business loans promised may hit a wall with the new banking rules. Small business is a huge employer in the US. If they can't get loans, they can't hire. If they can't hire, people are unemployed. When too many people are unemployed, another theory suggests we go into a deflation cycle and a scarcity of finished products because no one is building anything. A good read is the economic impact of the 1918 Spanish flu on world economy. I am still studying it for any information.

LogicsHere
Posts: 810
Joined: Sat Aug 29, 2015 9:49 am

Re: What do you think will happen to the economy? Food prices?

Post by LogicsHere »

All I'm going to say on this subject is that food prices have definitely started to go up, right now I am allowing for 10% extra. The problem with this, however, is that once prices go up, they rarely if ever come back down making it even harder to live than before.

rinty
Posts: 1686
Joined: Fri Aug 28, 2015 3:54 am

Re: What do you think will happen to the economy? Food prices?

Post by rinty »

frugalmom wrote:
Sat Apr 04, 2020 3:14 am
I think before the coronavirus events, that the economy although doing well it seemed, it had cracks in it. Just because the sheer amount of debt citizens have accumulated as individuals/families in general and also the government itself. While I do not know the answer, and we do need to help those out of a job, this stimulus package also makes me think how in the world are we going to pay that back if ever or is it going to break us or maybe higher taxes from now on?

As for food prices, also this was suggested to be going up because of the floods in other states wiping out farmland, animals, and beef and pigs and chickens had their own problems too which was predicted to lead to higher prices along with tariffs, farmers struggling, and it takes at least 3 years to build up the cattle again and it affects associated dairy products as well.

So maybe some of you who live near these farmlands,cattle rances or knows someone who farms,etc maybe you have better insight and what do you think will happen? I think food prices will be MUCH higher as I see it right now even,but maybe that is because of the coronavirus? I do not think we are headed to Venezuela's 150.00 for a dozen eggs type scenario, but a few dollars more each item. In other words, enough to hurt our pocketbook and that we won't have the cheap deals we can get before. It is going to hurt more! How are you planning to offset this or deal with this? What do you think will happen? How about the housing market? What do you think will happen there? Do I dare say do you think we are headed to a recession or a greater depression?

BTW, this event has made me realize on how much we have given so much to China to produce esp medications and important stuff like that! I do not think it is a wise idea at all, to have our economy or citizens to be so reliant and dependent on China or any other country!? That is too much power given away! WE need to start bringing essential items back home to produce on US soil especially medications-I mean how do you know it does not contain some dangerous ingredient on purpose!? And why are we training people overseas to take jobs here and come over on H1 Visas when we have people here who need job training and jobs? Yes it is cheaper for the companies to hire these people from another country, but give our children the education, internships and the shot to learn first! I really believed in Perot and what he said that NAFTA would suck jobs out of this country. And cheaper I know to manufacture overseas, but they pay these workers so little money and it is the people in charge that profit from this, nit the workers who face dangerous conditions, exploitation, etc. So what favors are we really doing for them!? Think important things like medicine should be brought back here to the US to produce! Giving our workers a chance and a future and they can pay bills and debts back! I think as an individual we need to be more self-reliant and as a nation too without being isolationist! My two cents anyway!
I am not even thinking about future economy problems, its an emergency so trusting the government ( UK right now. Takes up too much headspace, I am parking those thoughts.

Re food, well, that is something we are thinking about. Look at the foodmiles on food. Blueberries from Morocco, tomato from Spain etc etc. And if we in UK are worried about food crops not being able to be harvested/sown or processed its a fair bet in Countries like Spain, Italy etc ( who sell their veg here for me to buy cheaply ) won't have it at the quatities we are used to.

So, see my reply to your gardening thread. Grow your own if you can. We are going to have to eat more seasonally. Saw a good piece in the Gaurdian newspaper about " eternal summer in the supermarket ) where we go and buy WHATEVER, in season or not cos its being grown SOMEWHERE and flown in for me to buy as an ALDI SUPERDEAL or whatever

As it stand they only thing we are self sufficient in all year is onions, well we need to ramp that up with other veg, not bad on potatoes, and heaven knows I probably am slef suffient in courgettes as theya re so prolific ( AND DELICIOUS )

We are also glad we have lots of SUPPORTIVE help from other allotmenteers. Advice, grunt work digging, the lot. DH went over ( allotments are allowed exercise say government ) with some sturgeon variety large onion sets which he had over and above what we needed to share .

DH is saying we also have access to apples there and we grow basil too x

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Jackielou
Posts: 7128
Joined: Tue Aug 25, 2015 7:51 pm

Re: What do you think will happen to the economy? Food prices?

Post by Jackielou »

I think we will all wake up to a totally different world when this is over. One where we learn what countries are our friends and which are not. Right now I am pretty bitter, so perhaps by the time this is over things will have changed.

The problem with manufacturing everything on your own is that most countries do not have the wherewithal to do so. Countries need to have items that other countries produce in order to produce what they do.

Take for instant, oh, uranium. Canada has the largest amount of uranium in the world. Now of course the United States has some, but they need more than they have, so they buy it from Canada to make their nuclear power stations (we will not sell to make weapons...so that is where most of the US uranium goes when necessary).

Economies are very intertwined and people need to realize just that.

BevMoore
Posts: 860
Joined: Thu Aug 27, 2015 11:04 pm

Re: What do you think will happen to the economy? Food prices?

Post by BevMoore »

I have no problem with other countries producing some of our goods but things like medicine need to be produced here! Not only so its available and affordable but also for controls on what goes in it and how it is made.

I have been reading a book called the Food Revolution by John Robbins. His dad and uncle started the Baskin-Robbins ice cream chain but he chose to go in a different direction. I have learned from following books and podcasts and documentaries on whole food plant based eating is how dairy and animal factor farming is not only inhumane but actually uses a lot more resources than growing plant based food. So we in turn buy and eat what is produced under these conditions, its expensive and it is not good for us! It's scary to think that this pandemic and others before started when infected animals transmitted these viruses to human. I can only assume this is caused by tainted meat and dairy products.

So my take-away is try to stay away from these expensive and unhealthy animal products. If you do want to use some as condiments to enhance some food dishes that may work as long as it comes from an acceptable source. Eliminating or cutting back on these would hopefully encourage more farms to produce more plant based foods for us and those who continue to do meat and dairy would go back to the old days when conditions for this were safe and sanitary.

I just know that personally eating this way has kept my weight stable and I can finally start seeing s weight loss happening. A beans and rice diet has always been considered a poor man's diet but it's actually inexpensive and healthy! It is also very filling due to the high fiber which is filling and helps to stop the overeating.

Bev

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