Thursday, July 10, 2008

Inflation

I think the official inflation rate is currently around 4%, but somehow I find that number hard to believe. I'm not sure exactly what is in the government's basket of goods used to calculate the official numbers, but here are a few examples of staples from my basket.

Beer: Last year a six-pack of my favorite microbrew cost about $7.50. Due to a world-wide shortage of hops, that same six-pack now costs me $9.50.
One year price increase - 27%


Gasoline: The price a year ago was $3.00. Now the price is $4.40.
One year price increase - 46%

Steaks: Costco charged $6.00/lb for my favorite New York strip steaks a year ago. Today they sell for $10.00.
One year price increase - 67%

Health Care: A year ago, my minimal-coverage-catastrophic health insurance plan cost $182/month. In July, the rate went up to $269/month.
One year price increase - 48%

If this keeps up, I may have to dust off my resume and get that job as a greeter at Wal-Mart that I've been eyeing.

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