SamSpade
Well-Known Member
The question however was if both are primarily influenced by transportation costs for their corresponding increase in price, why aren’t the percentage increases the same?
Janet Yellen blames Americans' 'splurging' for record-high inflation
- Thread starter Kyle
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LightRoasted
If I may ...
For your consideration ...
I am not sure that it is the case at all, that both are primarily influenced by transportation costs. Bakeries are usually centrally located within, or very near, major metro areas, making delivery costs to stores less energy use intensive. Cucumbers can be shipped by the trailer load from farms to metro/sub-metro produce distribution centers where they are bought by local stores and merchants, again with lower overall delivery energy costs.
I would say that the price differential is from the added labor costs, in addition to, for bread making, the physical infrastructure that is needed; large real estate holdings, huge buildings, lots of ovens using either electricity or natural gas, conditioners, mixing, fermentation, makeup, proofing, baking, cooling, slicing and packaging. Uses more labor, has higher operating costs, more regulatory hurdles, higher taxation costs due to real estate valuations, etc.. Add, that bread's ingredients costs are raising, flour, dairy, etc.. With each ingredient itself needing processing, to some degree, into a final product before being used as an ingredient to make bread.
With cucumbers, mechanically picked, after harvest, place a certain number in a produce box, fill a trailer, and ship off to the commercial produce market, where orders are placed by local area stores which is then delivered by produce refrigerated trucks.
Both are delivered from a given central location, so delivery costs, fuel required, should be somewhat equal.
I am not sure that it is the case at all, that both are primarily influenced by transportation costs. Bakeries are usually centrally located within, or very near, major metro areas, making delivery costs to stores less energy use intensive. Cucumbers can be shipped by the trailer load from farms to metro/sub-metro produce distribution centers where they are bought by local stores and merchants, again with lower overall delivery energy costs.
I would say that the price differential is from the added labor costs, in addition to, for bread making, the physical infrastructure that is needed; large real estate holdings, huge buildings, lots of ovens using either electricity or natural gas, conditioners, mixing, fermentation, makeup, proofing, baking, cooling, slicing and packaging. Uses more labor, has higher operating costs, more regulatory hurdles, higher taxation costs due to real estate valuations, etc.. Add, that bread's ingredients costs are raising, flour, dairy, etc.. With each ingredient itself needing processing, to some degree, into a final product before being used as an ingredient to make bread.
With cucumbers, mechanically picked, after harvest, place a certain number in a produce box, fill a trailer, and ship off to the commercial produce market, where orders are placed by local area stores which is then delivered by produce refrigerated trucks.
Both are delivered from a given central location, so delivery costs, fuel required, should be somewhat equal.
SamSpade
Well-Known Member
Dunno. I just took an example of two things I bought last week - one has almost doubled in price, the other - not as much. Just a bit.
I'm sure that if I traced every increased cost along the line from beginning to end - that the cost of fuel is - forgive the pun - "baked in".
As in, every cost along the line is affected - it's just that some things, like fresh produce, aren't affected as much.
I mean, for one thing - I think this is always the case, the increased costs ripple through the economy and bump some things up a lot, others, not so much, a FEW things, not very much. For example, I'd wager that the cost of extreme luxury items like yachts and fine art and expensive jewelry aren't affected MUCH by inflation, because their costs aren't tightly tied to the price of oil.
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LightRoasted
If I may ...
For your consideration ...
Well I'm just using my logic here. But one item is grown, en masse, then harvested en masse, then transported en masse, ready to eat as is.
The other, (breads ingredients), requires en masse harvesting as well, in addition to en masse processing of each ingredient before use. Each ingredient being processed at different location prior to delivery to a bakery. Each has their cost with energy usage built in their wholesale cost. Then add in the bakery's cost to produce a bread product. Bread being more price sensitive to ingredient costs, and operating costs, than growing and getting cucumbers to market.
That's what I believe is the difference in price increases, or lack of, for these two items.
Well I'm just using my logic here. But one item is grown, en masse, then harvested en masse, then transported en masse, ready to eat as is.
The other, (breads ingredients), requires en masse harvesting as well, in addition to en masse processing of each ingredient before use. Each ingredient being processed at different location prior to delivery to a bakery. Each has their cost with energy usage built in their wholesale cost. Then add in the bakery's cost to produce a bread product. Bread being more price sensitive to ingredient costs, and operating costs, than growing and getting cucumbers to market.
That's what I believe is the difference in price increases, or lack of, for these two items.
Sneakers
Just sneakin' around....
For the past few weeks, eggs at Aldis were $2.12. Today they were $3.59. Milk is still cheaper, $1.89/half gallon vs Giant at $2.39. And until Hellman's Mayo comes down in price, the Aldi brand is close enough at less than half the cost.
Noticing a LOT of shelves bare in various stores. Bed Bath and Beyond have the appearance of going out of business, the shelves were so understocked. Same in Belk's, which is normally overflowing with Christmas stuff. Giant is still short on a lot of dairy items with little placards talking about supply issues. I'm thinking it's just Giant, because no one else seems to have problems getting dairy.
I think Wal-Mart is hoarding all the merchandise in the sea containers in the parking lot.
OccamsRazor
Well-Known Member
It's your contention that the spending from 1% of the entire country is what is keeping the prices of everything inflated?
Interested in hearing your reasoning about it.
To be technically correct...its more like 1.32577%. She just rounded down.
This is why it's pointless to engage with you - you don't follow the conversation and just start blurting out random crap. I even quote you to try and keep you on track, and STILL you toss out non sequiturs.
OccamsRazor
Well-Known Member
My contention is that prices are still high because people are still paying the inflated costs.
This is why it's pointless to engage with you - you don't follow the conversation and just start blurting out random crap. I even quote you to try and keep you on track, and STILL you toss out non sequiturs.
At least twice, YOU have said "Well, what is 1% of 335,000,000."
Am I interpreting this incorrectly? Were you NOT saying that 1% is still buying? Explain....
If you think I'm going to waste my time walking you through the thread you are high on drugs.
LightRoasted
If I may ...
For your consideration ...
She's referring, I believe, to the 1%'ers of the country that have more money than they know what to do with, which to them, inflation doesn't really matter. Not that their spending is contributing to inflation. Inflation is always a monetary phenomenon. Too much money being created and in circulation.
She's referring, I believe, to the 1%'ers of the country that have more money than they know what to do with, which to them, inflation doesn't really matter. Not that their spending is contributing to inflation. Inflation is always a monetary phenomenon. Too much money being created and in circulation.
OccamsRazor
Well-Known Member
I'm not asking for a walk-through. I am asking for you to explain your 1% statement and why you keep throwing it out there.
OccamsRazor
Well-Known Member
I can understand that however, what does that have to do with being a response to my statement?
When someone asks why there is so much gun crime, answering with "There are a lot of people who don't own guns." isn't a logical response to the question.
OccamsRazor
Well-Known Member
I can't explain YOUR response. I can only explain how I interpret it. Basic communications. It is up to the respondent to explain their response in a conversation. Replying with insults just shows me that you can't logically participate in the discussion.
You are gorilla glued to stupid.
What's that saying? "I can explain it to you but I can't understand it for you."
And even if I do go over it again, you'll just ignore it and toss out some other blurt that has nothing to do with what we're talking about, AND you'll insist I said it when I said nothing of the kind.
No thanks.