Flood economics
The flood waters swamping Iowa, Wisconsin, Illinois and Missouri are doing much more than forcing people out of their homes. Millions of acres of the best farm land are underwater, a catastrophe which will affect consumers all across the country in the coming year.
While major cable news channels obsess over Obama's decision not to take public money for his campaign, the part of the country which will have a lot to do with rising food prices, gas prices etc, slowly drowns.
"You may not load much corn meal or soybean oil into your shopping cart,
but you'll pay more for eggs and meat in coming months. Those flooded
fields mean that food-price inflation, which has been running at more
than 5 percent, will remain a front-burner issue well into next year.
"Corn is the world's most important food crop, and the U.S. is the
world's most important producer and most important exporter," said Bill
Nelson, a commodities analyst at Wachovia Securities. "Nothing else
affects food prices like corn does."
The price of eggs, the price of poultry, the price of beef, the cost of ethanol...all heading up.
















