As rumors continue to swirl that the Biden administration is fantasizing about unleashing a new wave of pandemic related lockdowns on Americans – economists are warning that could have a truly catastrophic effect on life as we know it.
Agricultural economist Damian Mason warned that renewed shutdowns will cause higher food prices and a wave of shortages.
“The food processing facilities will really be pushing it because they are already under capacity because they can’t get workers,” Mason, who also owns a farm in Indiana, said.
“Omicron implications will limit capacity that is already limited and will increase prices due to curtailing supply and may even put a fear jolt into grocery availability (again). The worst thing would be government imposed shutdowns of the facilities because it would spike shortages.”
Mason discussed the threat of “Regu-flation” — defined as “when increased operational and production costs, imposed by expanded government regulation, combine with already rampant inflation in the marketplace.”
“The same government that told you food inflation was a mere 5.4% despite evidence to the contrary also told you the pain you’re feeling at the grocery checkout is ‘transitory,’ or temporary,” Mason added.
“It’s not. Food prices will continue to accelerate and are likely to outpace the rate of overall inflation due to the reasons I’ve outlined above, none of which are going away. Welcome to the era of ‘Regu-flation,’ where rules and policy make it more expensive to eat.”
Earlier this month, the Bureau of Labor Statistics revealed that consumer price inflation in the United States has reached a rate of 6.8% — the largest year-over-year increase since June 1982, as well as the sixth straight month in which inflation remained above 5%. Prices for meat, poultry, and fish have risen by 13.1%, while fruit and vegetable prices have risen by 4%.
Democrats have proven just how clueless they are, with responses to the price increases like that of Sen. Elizabeth Warren who blamed the large grocery store companies for prioritizing profit – instead of focusing on the Federal Reserve’s dangerous fiscal policy which has driven inflation.
“Giant grocery store chains force high food prices onto American families while rewarding executives & investors with lavish bonuses and stock buybacks. I’m demanding they answer for putting corporate profits over consumers and workers during the pandemic,” the lawmaker tweeted on Monday.
Days earlier, Warren shared a similar claim that “corporate greed” is responsible for a surge in car prices.
“This market concentration has reduced competition, allowing giant corporations to deliver massive returns for shareholders,” Warren wrote in a letter to Commerce Secretary Gina Raimondo. “But it has harmed consumers by enabling these dominant companies to increase prices and underinvest in key capabilities, which has the effect of also reducing product innovation and product quality.”
Just before Thanksgiving, Warren accused Tyson and other poultry companies of “price fixing,” “excessive consolidation,” and “plain-old corporate greed” as meat prices reached record highs.
Its unclear as to whether Warren is actually foolish enough to believe these claims are the truth, or if she is simply trying to convince the American public of them in an effort to distract from the reality that the Democrats in charge, in conjunction with the Federal Reserve, have sent inflation to dangerous new levels and would continue to do so to an even greater extent should we see another wave of lockdowns.
Author: Max Lorence