Everything is so expensive! (just a vent)

[mrodgers]

I've seen pretty darn good prices here.
Full price has gone up but sale prices haven't.
Chicken breast quarters 99c a pound
Chicken breast boneless skinless 1.49 a pound
Ribeye steak 7.99 a pound.
Pork. Not on sale this week. But that's why God invented freezers. I bet it will be on sale next week and probably chicken legs and thighs. I think next week is also T Bone week for 7.99.

You are about 1/3 to 1/4 of the price of that stuff around me. Then again, the prices haven't gone up much at all. Skinless boneless chicken breast still $3.99-4.99/lb as it has been for a decade or longer. Ribeye steak still $19.95/lb. I can walk across the street and get a 16 oz Ribeye cooked with potato or other side, and salad bar for $2 more.

I haven't seen $1.49/lb chicken breast in 20+ years.

 

[mrodgers]

These conversations about gas prices always make me chuckle. You have no idea how good you have it with your prices.

As with all gas price discussions and people outside of the US commenting as they do, do you have any idea what it's like to drive 50,000+ miles per year (or I should say maintain the 2 vehicles in the household combined driving 50,000+ miles per year?)

 

[dez1978]

As with all gas price discussions and people outside of the US commenting as they do, do you have any idea what it's like to drive 50,000+ miles per year (or I should say maintain the 2 vehicles in the household combined driving 50,000+ miles per year?)

omgoodness. So true. Just before covid I got a job closer to home, but for 18 years prior to that I drove 80 miles a day just back and forth to work. Didn't include any trips to the store or anything kid related. Husband works about 350 miles from home, so is gone 4 days a week, but that alone is 1100 miles a week. That gets expensive quick. And I know we could move but the cost of living near Chicago is significantly higher than where we live, and we have a great group of people here and I don't want to start that all over somewhere else, bc making friends as an adult is hard lol

 

[mom2rtk]

These conversations about gas prices always make me chuckle. You have no idea how good you have it with your prices.

But we pay dearly for other things. Like health insurance.

 

[snappy]

Not to mention the cost of health care.

 

[leahgoogle]

omgoodness. So true. Just before covid I got a job closer to home, but for 18 years prior to that I drove 80 miles a day just back and forth to work. Didn't include any trips to the store or anything kid related. Husband works about 350 miles from home, so is gone 4 days a week, but that alone is 1100 miles a week. That gets expensive quick. And I know we could move but the cost of living near Chicago is significantly higher than where we live, and we have a great group of people here and I don't want to start that all over somewhere else, bc making friends as an adult is hard lol

I can definitely relate! DH drives 100 miles round trip every day for work. Then, with three kids in sports (sometimes travel) year round, the miles and cost adds up!

 

[snappy]

I can definitely relate! DH drives 100 miles round trip every day for work. Then, with three kids in sports (sometimes travel) year round, the miles and cost adds up!

My husband had to commute a similar distance for six years, and further than that for a different company about twenty years ago. Seems like his vehicle drank gas and needed oil changes every couple of months. It was crazy.

 

[mrodgers]

Definitely agree about the gas prices being on par with the season. I'm not sure if/why people didn't expect gas prices to go up for the summer and as more people are travelling after being restricted. Makes sense to me.

I have info from filling the motorcycle so my ability to compare is summer vs. summer. 2019 mid-grade gas was $2.89 at this time of year. Last year it was $2.39 in mid June. Now, it's currently $3.37. Near enough to $0.50 more than pre-pandemic. Near enough to $1 more than during the pandemic.

 

[JimMIA]

I don't think this is going to happen....very doom and gloomy. I do think inflation will be a bit higher than we're used to for the next year or two. We have a lot of money sloshing around and demand is very high....but as supply catches up to the demand in all sectors, we're likely to see things calm down. I do think the Fed will act, maybe sooner than the end of the year.
...
The biggest concern is that the Fed waits too long....right now they're erring on the side of growth as the economy ramps up to full speed after the pandemic.

I agree with you, and the article points out that this negative view by Deutsche Bank is well outside the consensus of most economists.

I agree for two reasons:

• The Fed is already indicating that they will slowly begin to taper off asset purchases by the end of the year, as shown in the following article. They are probably not actually going to start until very late 2021 or early 2022 -- AND, they're going to go slowly and gradually. They have also indicated that they won't begin to raise rates until they are finished with tapering.
• A large part of Deutsche Bank's analysis revolves around continued very large stimulusesof many more trillions of dollars being put INTO the economy. That would require Congressional consensus, passage by both Houses of Congress, signing by the President...and then, implementation.
  • First of all, little of that is likely to actually happen; and secondly even if it did the effects would not be felt for some time. Deutsche Bank is anticipating a perfect storm where the government poured in trillions of dollars of too much stimulus and implementation timing that pushed the actual infusion of stimulus well after the economic need had passed.
  • It's one of those A+B=C theories where A ain't happening in the real world (hopefully).

https://www.cnbc.com/2021/06/07/the...markets-for-tapering-its-asset-purchases.html

 

[dez1978]

But we pay dearly for other things. Like health insurance.

And this right here is why I've kept a job I don't like, and am not paid nearly enough to do. My insurance for me, DH and 2 kids is 350/month. $1500 deductible or $3000 total for the family, 20% coinsurance after deductible and 5k out of pocket max for the year. I could not find anything close to that on my own, or even at a lot of private companies.

 

[wilbret]

The cost of my health care doesn't take me from my current tax bracket to a Euro-tax bracket. Insurance also used to be muuuuuuch cheaper on the open market.

 

[RamblingMad]

I can definitely relate! DH drives 100 miles round trip every day for work. Then, with three kids in sports (sometimes travel) year round, the miles and cost adds up!

My significant other used to drive those miles. She had a Prius. Made perfect sense. And it saved her a lot of money.

 

[RamblingMad]

The cost of my health care doesn't take me from my current tax bracket to a Euro-tax bracket. Insurance also used to be muuuuuuch cheaper on the open market.

I’d say my yearly healthcare costs are equivalent to about another 10% if taxation at current healthcare rates. And it’s much higher for lower income. It’s definitely not cheap.

 

[leahgoogle]

My significant other used to drive those miles. She had a Prius. Made perfect sense. And it saved her a lot of money.

DH has a Camry so pretty good gas mileage for non-electric. DH was actually looking at the Prius for his next "work" car. It would save money for sure.

 

[leahgoogle]

Yes, this is called shrinkflation and I had just read an article on it. The packaging is the same size but the contents are less. Most people will never even realize they aren't getting the same amount. This is something we should all watch over the next few months.


Yes, I'm very worried about inflation. The US is going to be in a bad place in weeks to months.


It doesn't really have to do with wages though. It has to do with all the money that the US has printed. When you have more money chasing the same amount of goods that is when inflation happens. So if we keep printing money then the inflation is just going to get worse. From what I'm hearing we are creating a situation far worse than what happened in the 70s. I just hope that enough people pressure our politicians to not allow this to get any worse and to fix it so that we can reduce the current impact.

I just experienced something similar at Dollar General. I ran in to pick up a few things and grabbed a pack of plastic hangers. The pack used to be 10 for $1.00. Now the pack is 7 for $1.00. I didn't even realize it at first because they are packaged the exact same way.

 

[snappy]

I have noticed that as well. Usually it’s less ounces or count for more $. Although at the Dollar store it’s the same price, lol.

 

[snappy]

To cut back on driving, we have talked about moving to a traditional community development, known as TND’s now that we aren't working. There’s a great one here, but it’s in the early stages of development. Not enough options to walk to. . . yet. I like the concept.

 

[dvcgirl67]

I agree with you, and the article points out that this negative view by Deutsche Bank is well outside the consensus of most economists.

I agree for two reasons:

• The Fed is already indicating that they will slowly begin to taper off asset purchases by the end of the year, as shown in the following article. They are probably not actually going to start until very late 2021 or early 2022 -- AND, they're going to go slowly and gradually. They have also indicated that they won't begin to raise rates until they are finished with tapering.
• A large part of Deutsche Bank's analysis revolves around continued very large stimulusesof many more trillions of dollars being put INTO the economy. That would require Congressional consensus, passage by both Houses of Congress, signing by the President...and then, implementation.
  • First of all, little of that is likely to actually happen; and secondly even if it did the effects would not be felt for some time. Deutsche Bank is anticipating a perfect storm where the government poured in trillions of dollars of too much stimulus and implementation timing that pushed the actual infusion of stimulus well after the economic need had passed.
  • It's one of those A+B=C theories where A ain't happening in the real world (hopefully).

https://www.cnbc.com/2021/06/07/the...markets-for-tapering-its-asset-purchases.html

Totally agree with you JimMIA. I think we're watching the same people and reading similar publications . And completely agree that the stimulus flood is going to slow down. We'll see a deal on infrastructure....but it'll be way less than the initial number floated. Even using reconciliation, every senator needs to be on board, and we're seeing lately that a couple of them aren't always there.

I remember watching the Fed and Treasury during the Great Recession and just being blown away by the volume of interventions they launched. This go round.....the Fed made that look like a garden party. When they say "never bet against the Fed"....they're not kidding.

 

[snappy]

I agree with you, and the article points out that this negative view by Deutsche Bank is well outside the consensus of most economists.

I agree for two reasons:

• The Fed is already indicating that they will slowly begin to taper off asset purchases by the end of the year, as shown in the following article. They are probably not actually going to start until very late 2021 or early 2022 -- AND, they're going to go slowly and gradually. They have also indicated that they won't begin to raise rates until they are finished with tapering.
• A large part of Deutsche Bank's analysis revolves around continued very large stimulusesof many more trillions of dollars being put INTO the economy. That would require Congressional consensus, passage by both Houses of Congress, signing by the President...and then, implementation.
  • First of all, little of that is likely to actually happen; and secondly even if it did the effects would not be felt for some time. Deutsche Bank is anticipating a perfect storm where the government poured in trillions of dollars of too much stimulus and implementation timing that pushed the actual infusion of stimulus well after the economic need had passed.
  • It's one of those A+B=C theories where A ain't happening in the real world (hopefully).

https://www.cnbc.com/2021/06/07/the...markets-for-tapering-its-asset-purchases.html

One can only hope.

 

[RamblingMad]

Another more controversial way to reduce inflation is to raise taxes. It reduces consumer spending pretty quickly.

Totally agree with you JimMIA. I think we're watching the same people and reading similar publications . And completely agree that the stimulus flood is going to slow down. We'll see a deal on infrastructure....but it'll be way less than the initial number floated. Even using reconciliation, every senator needs to be on board, and we're seeing lately that a couple of them aren't always there.

I remember watching the Fed and Treasury during the Great Recession and just being blown away by the volume of interventions they launched. This go round.....the Fed made that look like a garden party. When they say "never bet against the Fed"....they're not kidding.

The child tax credit begins next month and will continue to juice the economy. Once this comes to an end, then I’d expect some of these higher prices to start to come back down unless folks offset the lost of stimulus money with home equity loans, which have cratered since the Great Recession. Lots of untapped equity for additional spending.