From @balajis:
This is the single best long run measure of food inflation. And it’s gone vertical.
The original post lays out the logic.
Campbell’s No. 1 can hasn’t changed.
For more than 100 years, same thing.
Same ingredients, same volume.
So it’s a great benchmark.
And it reveals rapid inflation.
Especially since 2020.
https://politicalcalculations.blogspot.com/2024/01/the-price-history-of-campbells-tomato.html?m=1
Counterarguments:
- Real prices should be flat or declining due to tech progress. Not increasing.
- Flat for a year after rising so fast isn’t a great victory.
Also: the rate hikes that arguably flattened prices inarguably boosted debt payments. Which is partly why rates just got cut.
So let’s see what happens to prices next.