http://bizopblogs.com/2008/05/22/a-bakers-struggle-with-rising-food-costs/ Small Business Opportunities For Entrepreneurs Fri, 30 Dec 2011 23:58:08 +0000 hourly 1 http://wordpress.org/?v=3.3.1 http://bizopblogs.com/2008/05/22/a-bakers-struggle-with-rising-food-costs/comment-page-1/#comment-392 Andy T Mon, 26 May 2008 05:15:12 +0000 http://bizopblogs.com/2008/05/22/a-bakers-struggle-with-rising-food-costs/#comment-392 High commodity and food prices is the side effect of weak US dollar policy. Weak dollar like a deep discount for buyer oversea, to creat export. So, the large corp will benifit or not affected by the week US dollar policy, especially international corporation. But problem of weak dollar will be suffer by the normal working class. You can see this in China [China hooked to US dollar], high inflation, high food price, high gas price. Even, generated food riot in some third world country. But US government cannot increase interest rate to control inflation due to the asset backed commercial paper problem in financial sector. Low interest rate try to make ABCP soft landing but at the cost of high inflation. High commodity and food prices is the side effect of weak US dollar policy. Weak dollar like a deep discount for buyer oversea, to creat export. So, the large corp will benifit or not affected by the week US dollar policy, especially international corporation.
But problem of weak dollar will be suffer by the normal working class. You can see this in China [China hooked to US dollar], high inflation, high food price, high gas price. Even, generated food riot in some third world country. But US government cannot increase interest rate to control inflation due to the asset backed commercial paper problem in financial sector. Low interest rate try to make ABCP soft landing but at the cost of high inflation.

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