Food Inflation or Fiat Currency Inflation?

As expected with ever expanding the volume of Fiat Currencies, like the Dollar, Euro and Yen, prices are rising on commodities very quickly.  Of course, as Reuters reports below, the reason for rising prices is blamed on other commodities instead of the money supply.
I believe that before anyone should be allowed to report on economics or inflationary results, they should be required to read Von Mises, Rothbard and Friedman, to name a few.

By Svetlana Kovalyova
MILAN, April 5 (Reuters) - World food prices are likely to rise for a third successive month in March, and could gain further beyond that, with expensive oil and chronically low stocks of some key grains putting food inflation firmly back on the economic agenda.
Food prices grabbed world policy makers' attention after hitting record highs in February 2011 and stoking protests connected to the Arab Spring wave of civil unrest in some north Africa and middle eastern countries.
Prices later receded, but an upturn which began in January, initally seen as a pause in the overall downtrend, has persisted.
The United Nations Food and Agriculture Organisation (FAO) will update its monthly Food Price Index on Thursday and the organisation says prices could rise more in the short and medium term as grain supply tightens and energy prices stay high.
"You can see prices in the near term rising even further," FAO's senior economist and grain analyst Abdolreza Abbassian told Reuters ahead of the index update.
High crude oil prices have fuelled the upward pressure on inflation since the start of this year. Consumer prices in the 17 nations sharing the euro were up 2.6 percent in March from a year ago, despite stumbling economy.
"The food price index has an extremely high correlation to oil prices and with oil prices up it's going to be difficult for food prices not to follow suit," said Nick Higgins, commodity analyst at Rabobank International.
Energy prices affect the production of fertilizers as well as costs related to food distribution and farm machinery use.
"We really saw the (food index) declines in Q4 2011 as being anomalous and related more to sell offs from the threats posed by the European macroeconomic situation rather than agricultural fundamentals," he added.
The FAO index - which measures price changes for a basket of cereals, oilseeds, dairy products, meat and sugar - rose in February and January.
A U.S. government report last Friday with its lower than expected estimates of grain stocks and falls in soybean and wheat plantings, added to concerns about global grain supplies and fuelled a rally in U.S. and European grain futures.
Corn and soybeans are set to be the major drivers on world grain markets until new crops are harvested with strong price swings prompted by weather changes in major producing countries, Abbassian said.
More price volatility could come if U.S. farmers decide to plant more soybeans lured by high prices, he added.
U.S. soybean futures rose about 7 percent in March and gained about 17 percent in the first quarter of this year spurred by concerns about tight supplies as drought hit South America and smaller U.S. plantings were expected.
On the physical markets, whose prices FAO uses to calculate its food index, the average monthly price of U.S. soybeans jumped to $519.43 a tonne in March from $487.31 a tonne in February, the FAO's database showed.
But FAO's Abbassian said prices could still fall in the second half of this year with new crops easing market tension and driving full-year average prices below record levels of 2011.
The FAO is also expected to update its world crops view on Thursday

Supply and Demand, Airfare Is Skyrocketing

June 10, 2011 by Douglas French
Jad Houawad reports for the New York Times that airlines have been able to continue filling their planes while still increasing prices. However, the airlines are worried, having
failed to raise fares in six of their seven efforts since March, suggesting that some passengers may be balking at the higher ticket prices. “Airlines have overreached,” said George Hobica, the founder of AirFareWatchdog.com.
Packed planes are a way of life for anyone who travels regularly. And for anyone who understands economics, fewer flights (less supply) and more demand (full planes) mean higher ticket prices.
But Teamsters union representative Kevin Currie, who occasionally flies to Florida to see relatives, never received the supply and demand memo.
“It’s getting ridiculously expensive,” said Currie. “There are more people flying right now, so shouldn’t their prices go down?”

Reporter Houawad then writes, “Of course, the airlines do not think that way. Since more passengers are vying for every available seat, they can keep raising fares and still fill their planes.”
Of course, no one thinks that way.

Some people, like Kevin Currie, just don't get it. The other issue is the airlines have cut back on the number of flights per day, due to operating expense, so they have partially created their own shortage of supply.
Years ago, when I first started traveling, (60 countries in 25 years) most aircraft were 30-50% filled to capacity, for every flight. No wonder airlines were losing their asses. Either way, the prices will rise due to demand.

Ludwig von Mises - Need I say more?

The Wars That Broke The Piggy Bank, or not?

I'm so sick and tired of the rants from the left that the wars in Afghanistan and Iraq, Bush's wars, are what have put us all in the poor house. Now don't get me wrong, they didn't help us financially speaking, but that's not the reason we are where we are.
Our Federal Government has spent the majority of our accumulated borrowed money on other things, besides the wars.

The big bump in 2008 was of course the TARP bailouts, but Jeezus Freakin Keyreist, look at Obama's spending in 2009 and 2010. Are you kidding me?
By the way, these figures come from the CBO (That's the Congressional Budget Office for those of you that not only have no math skills, but also don't know what CBO stands for)
Spending us into oblivion and while Rome is burning, the liberals are fiddling, or diddling each other, not sure which.
From the Ludwig von Mises Institute: