Higher Labor Costs
Another reason food prices remain elevated is the higher cost of labor. According to
The Wall Street Journal, 22 Democrat-run states lifted the minimum wage for hourly workers in January. Rep. Barbara Lee, D-Calif.,
vowed in a recent debate that she wanted to raise the federal minimum wage to $50 an hour. American companies, such as fast-food restaurants, have already indicated that they would have no choice but to pass on some of the higher labor costs to consumers by raising food prices.
Thanks to Democrats’ destructive economic policies at the federal and state level, a
2022 survey by FreshNLean.com found 9 out of 10 Americans were struggling with high food prices, which “has consequences on the health of around 50 percent of the population,” and nearly 75 percent of the population wants to eat healthier but can’t because of finances.
In another
study, 63.2 percent of adults reported that household grocery costs increased significantly as of December 2022. To cope with skyrocketing food prices, many Americans either reduced the amount of food they bought or did not buy the kinds of food they wanted. Some relied on charitable organizations, such as food banks, to make ends meet. The rising cost of food is one of the reasons why
1 in 8 retirees plans to return to work in 2024.
Expensive Energy Policy
Earlier this month, researchers at the Buckeye Institute
warned that Americans’ grocery bills will go even higher if a Democrat wins the White House this November because of the Democrats’ almost religious fervor in pursuing “net-zero” emissions policies. Biden rejoined the Paris Climate Accords when he became president and has since pursued “an activist environmental agenda that imposes expensive regulatory requirements to meet aggressive emissions-reduction targets,” including restricting oil and natural gas supplies, the report says. The Inflation Reduction Act (a misleading name) was a climate bill aimed to reduce greenhouse gas emissions by 40 percent below their 2005 level by the end of this decade. These climate policies have already increased the cost of energy in the United States, as another chart by
E.J. Antoni shows.
If Democrats (Biden or otherwise) win the White House this year, they undoubtedly will continue to push the same “net-zero” climate policy with renewed enthusiasm. Energy will become more expensive in America, and higher energy costs mean higher fuel and fertilizer costs for farmers.
Based on Europe’s
disastrous experience with a similar climate policy, researchers at the Buckeye Institute
estimate that American farmers will see their operation costs rise by at least 34 percent. Farmers will have to pass on their cost increases to consumers by raising food prices. Under this scenario, the grocery bills of an American family of four (with an average $70,000 annual income) will increase 15 percent, or $1,300 per year, from $8,320 to $9,650. Prices of some so-called carbon emission-intensive foods such as cheese and beef could increase by more than 70 percent per pound.
Food will become even more unaffordable if a Democrat wins the White House this November, due to destructive climate policies, says a report.
thefederalist.com