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Financial Advisor, GTA, Ontario, Canada
Investment, Insurance, Tax & Estate Planning

Wednesday, January 26, 2011

The downsizing of America – Oil production off 1980s peak and manufactures learn creative methods of repackaging inflation.

There is a slow burn going on and it is happening in your wallet and also in the gas tank of your car. The US Treasury and Federal Reserve have made it their mission to slowly cut the value of each one of those green dollars you have. Since many Americans are struggling to make the monthly bills, many producers realize that they cannot up the price on regularly bought consumption products. Places like Target have long learned to add a large section of produce and perishables in their stores since people have shifted from buying wants (HDTVs) to needs (bread and butter). What is interesting though is how the big jump in commodity prices was hidden for consumer goods. You may have noticed this merely by your own observation but creative packaging has hidden a large part of this inflation.