[NC28203]

>>>Uh, wasn't Palin's quote: "everyone who ever goes out shopping for groceries knows that prices have risen significantly over the past year or so..."

>>>The response by the WSJ reporter was that the increase was not actually significant. Who is misquoting?

The article Palin cites to back her up actually states that last year was "the tamest year of food pricing in nearly two decades."

If you pick a single snapshot — say, September’s year-over-year increase in prices — that was just 1.4%, far better than the 6% annual increase for food prices recorded in September 2008.

The run up in commodity prices is not the result of too much money chasing too few goods (quantitative easing), but is instead a result of fundamentals. Supplies of many commodities are down due to increased demand globally as a result of the global economic recovery and output issues in key producing countries (eg wheat in Russia). This is what is driving food prices higher.

[editor-surveyor]

Hi Ariana!

How’s your toenail fungus doing?

You shouldn’t waste your time reading the economics comics; the real world is a better guide.