Shortages and Prices
Kerby Anderson
It should be obvious by now that shortages from supply chain disruptions will be affecting Americans and the rest of the world for the near future. Whether the war continues or ends tomorrow, the blockage of the Strait of Hormuz will continue to affect supplies and prices.
At the top of the list is energy. Usually approximately 14 million barrels of oil flow through the Strait of Hormuz every day. That has not happened for months creating the largest oil shock the world has ever experienced. Gas prices nationwide are four dollars and prices in California are now at six dollars. Diesel is even higher, and that affects the cost of transporting everything on land.
Fertilizer is another important commodity that travels through the Strait of Hormuz. Approximately one third of the world’s fertilizer is not making it to farmers who need it. They should be putting a Spring application on their land. If they cannot do so, they might not even plant their crops.
Even if it was available, farmers might not be able to pay the skyrocketing fertilizer prices. According to the American Farm Bureau, seventy percent of U.S. farmers said they could not afford fertilizer. Add to this, the significant drought that have affected farmland this year in the lower 48 states. We may not have so many amber waves of grain or products from our fruited plain.
The CPI inflation rate just hit 3.8 percent year over year. But that is lagging indicator of what consumers spent. The Producer Price Index (PPI) increased by 6 percent. That suggests that the inflation costs will be going up in the future.
Politicians may not want to talk about this, especially in an election year. But a wise and discerning Christian would take note and make appropriate plans.
Listen to this Viewpoint
Viewpoints
View All
AI’s Boom and Doom
Perhaps you have noticed AI’s boom and doom. One minute, investors were talking about the wonderful benefits of artificial intelligence and encouraging potential investors to throw their money at AI d...
Place For Prayer
Some people might wonder why we need a law that protects the right of houses of worship to use their facilities for religious purposes. But we do. And we have one: RLUIPA, the Religious Land Use and I...
Social Security
Most federal reports are unfortunately greeted with a yawn. But the report from the trustees who oversee Social Security deserved more attention than it received.
Take Action
View All
Protect Privacy Against Flock Cameras
Flock cameras are everywhere. While one camera is a tool, the more than 100,000 AI-powered cameras now posted around our nation are a new layer of dig...
Support the Safeguarding Women from Chemical Abortion Act
The abortion pill harms women and kills unborn children. Congress must act.