Article Updated: [1-2-15]
If you didn’t know, Drug Cartels are causing Lime Prices to go up because they are interfering with production. The next time you hit the grocery stores be ready to pay more than twice what you’ve been paying to get it on the shelves. On top of all that, Farmers in California are struggling to make ends meet as well because their crops are drying up because there is not enough water to go around to water the crops.
The economy is struggling with not enough jobs to go around so in order to deal with many of these conditions that keep keeping up, it’s important to find more ways to make money, including multiple sources of income from different areas.
The economy just dropped now that the holiday shopping season is over, which means that thousands of people who were employed during the season (seasonal jobs) will be unemployed again. This means that less people will be pumping money into the economy, but that doesn’t mean food prices need to change to match demand, infact it is quite the opposite now that beef is hitting an all-time high with no end in sight as to when it will stop.
Many restaurants that focus on meat items are feeling the pinch in consumer demand. They know that when they raise their prices, on consumers that already have too little to spend, they will lose business. This means that for consumers who can afford to continue eating BBQ they will be getting smaller portions just because the amount of meat available is limited. Of course this does not mean for the big spenders that they will get smaller portions; as long as your ok with spending more than $50 dollars on meat then you can have all you want, just don’t complain when you see the bill.
Protein is a source of nutrients that all people need so that means for many they will need to change their eating habits. For some that means buying less meat from grocery stores and relying more on dollar store canned meat items, dollar menus at fast-food restaurants, and attending food bank openings more regularly. The last part is something more and more American’s are starting to use more. Many food bank directors say that they have seen more and more types of people they never would have thought to see before, working-class families. This puts a strain on food bank resources more because most of the time they provide the basic nutritional need for families, so looking for your favorite box of sweets is out of the question. So what is the question then?
When will food prices start falling?
The answer to that is probably never. The economy works on many different levels, and when it comes to basic needs that no person can avoid or get around (i.e., you need gas to get around (including the public transportation), you need food to live, and you need housing) you start to see that these are costs that will not slide backwards, unless rain in severe drought areas becomes consistent, harvesting food becomes easy, land value goes down, and oil stays low, there is no way that prices for basic needs will ever drop.
As I always tell people, “the more people that get born everyday, the more stress that gets applied to the food supply.” The big question asked, just recently in the news was, “How do we plan to feed billions of people in 2050?” Yes, how do you plan to feed that many people, when right now people are struggling to meet their basic needs as it is already. If you haven’t already noticed, there are more and more people making six-figure salaries now, which means that the cost of living is going up because of it. The more people there are with money, the more it drives up prices where they live because they can afford it, otherwise, San Francisco and New York has been ripping people off for decades with their high-cost-of-living index. This makes it harder for everyone else to keep up and manage.
The short simple answer to the question is, never. Prices for our basic needs will only go up, not down. ISo imagine living in this world in the year 2150, paying $1k for a burger, ok, yes, I’m probably way off, sorry. $10k. If you want to upsize you can for a cheap $7k.
So how does one survive?
You need an education that is constantly evolving and you need skills that are always in demand. You need to be learning all the time in order to stay marketable because the second you lose your job the harder it will be to catch up with your bills, and find another job. Employers don’t want someone who has been out of work for more than 6 months because that means you are not current on what is happening in the industry you want to work in.
This is why fast-food employees are trying to get higher wages but that doesn’t solve anything. Anytime you raise minimum wage you create more problems than fixing them. 29 states just raised minimum wage for the year 2015 so that means more people will become unemployed and unable to find a job, because if one of those employees now tries to apply for a $15 dollar an hour job, does that mean their skills match that level? Probably not so they will get passed over more, than someone who has say, a college degree to work in a fast-food place.
Here is how you survive if you want to get out of the rut you are in.
1. Get an Education!
There is no way around this one. You either have the skills employers want, or you will be spending your life jumping from job to job looking around for one that pays you something until you find something better. MIT, Yale, Stanford, Harvard, Brown – all major universities offer free education now so there is no reason to say you can not afford to get an education. This guy showed how he got a complete MIT computer science education for free, all he did was pay for the books, in his TED talk.
It just requires discipline and support to complete the whole program. Each course you complete at any university you can apply for a certificate of completion. This does not count as credit but just shows that you passed the course. This kind of effort shows employers that you are not just sitting at home applying for jobs all day but that you are staying current, learning new skills, and applying yourself.
Sites like KhanAcademy, CodeAcademy, and Duolingo are all great places to be improving your education with. Just an hour on each one a day will have a huge impact on your life in three months, or even one month. The best part is that they are free. If you want to learn more about getting an education in the palm of your hand, read my article.
2. Quit if you haven’t gotten a raise in two year
I have written about this issue many times, if you are working at a job where raises are rare then it is time to start looking for a job that will pay you more. In the article I wrote, Wages falling back, I explained how consumer inflation eats aware at raises that are only 1 to 2% because rate of inflation eats away at your raise meaning that your raise is only meant to cover basic needs of inflation, not performance.
There are people who have been working in jobs for thirty years at an hourly rate of less than $12 dollars an hour. In the meantime there are kids who have grown up and started making 6-figures right out of college, and some making half a million a year during college. You have to take control of your education to be able to enable you to give yourself a better life. If you do not have the negotiating skills to handle this than you will always be at the mercy of your employer who will threaten to let you go if you don’t follow their rules.
Bottom line, if you are struggling to pay the bills, it is time to start looking for another job or create your own, like so many are doing today.
3. You Need Food to Live
Everyone knows this but it is not until you realize that you can not live off of ramen noodles and ketchup packets from fast-food places that you must act to change this. Your body needs quality foods in order to maintain a healthy body weight and healthy state of mind. Eating out all the time is never good for your body, regardless of how fancy the place is. When you do not eat right your life turns into a mess and you spiral out of control, making it harder to come back to a place of healthy normal living.
The grocery store then becomes a mental exercise of knowing that you can not shop in certain areas because you cannot afford certain items. The social stigma of being caught in a food bank pantry or dollar store buying your food can have a huge impact on one’s social standing in life. It can make a person feel worthless and unsuccessful. In order to keep that from happening you need to take control of how you spend your time outside of work in order to keep, or get, a job that you know will benefit what you want out of life.
Bottom line, You need food to healthy food to live a balanced life so you need a quality job that will support that, which comes from having a quality education.
4. Jobs will come and Go
Don’t ever think that you do your job better than anyone else because once you are gone there will always be someone else there to replace you. The work on your desk will go on to someone else and life will move on. If you think back to all the people who made JP Morgan great in the beginning, or the famous Newspapers, that no longer exist, that had staff members who worked their butt off to get great stories in the 50s and 60s, you realize, no one cares about that today. It’s history and life has moved on.
Be aware that you don’t need to chain yourself to any one job because it will always change based on need. Think about all the people who are being fired today from a job they love and thought was a job the company needed, and you begin to see that jobs will come and go. Make sure to mentally understand what your job is all about and why it is there.
Bottom line, your job is meant to fill a need your employer has so make sure to set boundaries on how much your job means to you.
5. Your wages should be double in ten years
You read that correctly. The rate at which this world is moving is causing many industries to price out many consumers. The reason the rich get richer every year is because they are invested in markets that increase in value every year. This is why they are ahead of everyone and why they are rich in the first place. People who complain about prices going up all the time are those that live on the line of the economy. They barely make enough to afford that grocery bill every friday after they cash their paycheck and still leave enough to do at least one fun thing on the weekend.
If you do not want to be caught living a life like that in ten years, when prices for most major things will be even higher, then you will need to make sure you get an education that will afford you the luxury of making you more money in ten years. As I’ve written in many of my past articles, there are many industries that are growing and will need more people, and there are also industries that are consistent but their wages are falling backwards.
The reality though is that more people, especially kids who are in elementary school right now, will be making six-figures easily in high-school, college, and afterwards. Don’t think that they will be getting an easy ride, the work they will be doing is hard but requires the discipline to get there first. That means +100k salaries will be the norm, and anything below that will be treated as middle class living, meaning that 50k salaries will be barely enough to pay the bills.
The price of food is going up, so if you want to continue eating healthy and being able to pick up anything you want in the store, or for that matter, eat in any BBQ restaurant you want, then you need to find a way to get yourself a quality education, improve your skills, and learn to make yourself marketable for the future. The second there is trouble with food, prices spike right away, but when conditions improve it is a long time before consumers will see prices drop, which almost never happens. Just the way of the world. If you want to learn more about how farmers work, read my article.