Inflation

[Cumberland]

So everywhere I read, there is something about rising prices. Wheat has tripled in price due to farmers switching to corn for ethanol, and the weak dollar has made foreign countries buy up more wheat than usual. The cost of rice is rising rapidly, according to the NYT, due to decreased output in Australia (?) and rising urbanization. Gas prices are shooting through the roof while OPEC is maintaining the supply at current levels.

I am trying to understand how inflation works. It just seems to me like the producers jack up the price then get rich while those in need of the product suffer the high cost.

[GrayMatterWife]

Re: Inflation

I am trying to understand how inflation works. It just seems to me like the producers jack up the price then get rich while those in need of the product suffer the high cost.

[Edited: I removed my pseudo-dissertation. Total waste of space. Tara's idea much smarter!]

[GrayMatterWife]

Re: Inflation

Check this out:

http://www.investopedia.com/university/ ... efault.asp

HAHAHAHAHAHAHAHA!!!

Much wiser advice that my blathering. You could probably get a ton of info on Wikipedia, too!