Bush/Obama Inflation Coming?
It certainly will eventually, but it's hard to say how much that's playing a part in what's happening right now. First we have CNN reporting that inflation in developing countries will cause higher prices in the U.S. That also allows companies here some wiggle room to raise their prices.
The New York Daily News is reporting the same thing and adds that, despite the down economy, companies will likely have to raise the costs of nearly everything. So much for the notion that you don't have inflation in down economies.
The scariest part of this to me is that we don't know how much of the inflation in this country is the result of the Kirkian/ Zimbabwe style policy of printing more and more money as we've been doing for some years. To quote that CNN story, "The fall in the dollar and the rising commodity prices are the reason to worry,...".
So, the fall in the dollar? That can happen when you print more and more money. How much of what's happening right now is a result of printing money or are the effects still to be seen?
In California we'll likely take a double whammy, mostly self inflicted, since prices for food and energy were already expected to rise because of Prop 2 (cage free eggs) and Prop 23 (failed to suspend AB32). I was already worried about that. Now it's looking like it's happening sooner and might be worse than expected. I've already been seeing higher prices for food and I'm scared to death.