Gas Less Than $2 A Gallon In 13 states

usmarin3 wrote: »

Gas prices going down but food prices remain the same. smh There is some trickeration going on here people. The reason why food is so expensive is because the cost of gas to transport ? and our dependence on corn to produce gas/food. If gas price is going down so should food prices.

Unlike Oil, the demand for food is not decreasing while at the same time the global supply of food is increasing.

This is econ 101.

The price of oil is set by a cartel ( Opec ) and there is one player in that cartel who holds all of the card..saudia arabia and for a multitude of reasons, they are keeping it VERY low right now.

The price of food has way many more variables than transportation costs, look at what is going to happen to Olive oil prices next year because of a blight.

http://www.theguardian.com/lifeandstyle/2015/jan/03/olive-oil-price-rise-feared

Price of olive oil soaring after worst harvest in over a decade

Wholesale costs double following ‘black year’ for farms in southern Europe and north Africa

Forget scouring the January sales for clothes and electrical goods and cheap Christmas wrapping paper for next year – the thing to be stocking up on this month is olive oil.

A dreadful 12 months for olives in several major producing countries has led to 2014 being labelled the “black year” for the industry and to the doubling of the bulk cost of olive oil in some areas.

Unusual weather and a proliferation of insects and bacterial blight have devastated the harvest in several countries. Analysts have been predicting a bad year for olive oil since the summer, after it became clear that hot late spring weather in Spain – the world’s largest producer of olives – was going to have a key impact on autumn harvests. Other producers have been coming in with equally poor results, adding to the woes of the industry Europe-wide.