WILL wastes a great deal of air time on the commodity markets, and even though I mostly ignore it, some of what they're saying sticks. My impression is that you're overestimating the damage to the wheat crop and also how much effect it will have on the economy. So far, it's nowhere near as much of a disruption as what we've seen in the last few years with the increased demand for corn for ethanol. Of course, if the weather in Asia stays terrible for a few years, and that gets combined with the emerging outbreak of wheat rust, it could become more extreme. It still won't make much difference in how much Americans pay for food; grain prices are a very small part of the total cost of what we eat. Globally, it will mean things are a lot worse for some poor countries and somewhat worse for all poor countries. The food aid programs that depend on that wheat are already scrambling. But it won't affect Wall Street or Main Street USA much.
It is one more straw on the camel's back. But it's only a straw.
![[personal profile]](https://www.dreamwidth.org/img/silk/identity/user.png)
branchandroot
(no subject)
Date: 2010-08-10 03:09 pm (UTC)It is one more straw on the camel's back. But it's only a straw.