How Fiat Money Made Beef More Expensive

“If you can’t feed a hundred people, then feed just one.” — Mother Teresa

How Fiat Money Made Beef More Expensive

In 1909, there were 51.1 pounds of beef, 41.2 pounds of pork, and 10.4 pounds of chicken available per capita, for a total of 102.7 pounds of all meats per capita. In 2019 the figures were, respectively, 55.4, 48.8, and 67.0 per capita, for a total of 171.2 pounds of all meats per capita. While meat consumption had gone up, the composition of the diet had changed drastically. If we add the fact that veal and delicious lamb, minor components in 1909 at 5 and 4.4 pounds per capita, respectively, had virtually disappeared from the diet in 2019, the change becomes even more noticeable……….

………….Since investment has flown into the production of grains, pork, and poultry, productivity in these fields has increased more than in beef production, and the supply of these foodstuffs has risen while their prices have fallen relative to the supply and price of beef.

People’s food budgets are generally pretty fixed, meaning that even though incomes rise the extra income goes to the purchase of other consumer goods, not food, a generalization known as Engel’s law. Beef therefore increasingly becomes a luxury, something only regularly consumed by the well-to-do, which working-class and lower middle-class people only enjoy on special occasions. 

Read entire article here: 

 

Leave a Reply

Your email address will not be published. Required fields are marked *