2012-03-15mybudget360.com

"The cost of inflation is being muted by economic sleight of hand. The Fed has crushed the dollar by 50 percent since the recent peak in 1985. Since household wages have been stagnant for well over a decade, any higher cost on items is felt directly in the bottom line. Creative packaging seems to be the cure at the grocery store. For example, Saltines's offers 15% less crackers than their old package for the same price. Chicken of the Sea comes in 5-ounce cans instead of 6-ounce cans (a 16% decline in product for the same price). Of course the BLS measures a basket of goods only so these impacts don't show up"



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