Besides The Gas Pump, Where Else Can I Expect To Pay More?
Fuel is what gets everything we buy at the market to the market. Something to think about; fuel is a cost in everything we buy.
Therefore, everyday consumable items are going up in price. Everything from paper towels to toothpaste. Clothes will be more expensive as well. You name it, it's probably going up in price.
Apparently parents will spend more for little Johnny. Kimberly-Clarke has been able to increase prices in a highly competitive market on items such as Huggies diapers, which is a premium product. Consumers haven't switched to lower-priced brands because they believe those pricier products are more comfortable for their toddlers and better for their development.
Fuel Prices Are Just The Start To Higher Prices
Raw materials, which are the things that go into making the products are going up in price. This has actually been happening for several months now and manufacturers are now passing those costs on to the consumer.
Besides commodities, another factor going into the price of the things we buy is labor. It's unfortunate that our unemployment rate is so high; however, because of that, employees cannot push for higher wages, which is keeping a lid on further increases in the products we purchase. Otherwise, we'd see more than a 5 to 10% increase in prices.
Price Increases To Last
Unlike recent price increases, which have been temporary, today's price increases may be here to stay. The difference is that those temporary price increases of the past were due to a temporary disruption in the supply. Today's price increases are due to a substantial increase in demand for the commodities we use in emerging markets such as China and India. Commodities from wheat to cotton are getting more expensive as populations in emerging markets are moving into the middle class.
What frequenly bought item have you found that has increased in price?