Wednesday, March 25, 2009

Food Challenges

With peak oil slowly over time - long term - food will become more expensive. The financial crisis has made it harder for farmer to create and deliver their goods, forming another reason for prices to go up, this time short term. Look at this article predicting a food catastrophe. The climate is also against us, another reason for food prices to go up.

Discussing this with a friend he mentioned that a Peruvian friend of his is moving back from the US to Peru. He spend 3 years in California. He reports that things have become rough, prices are going up and mobile homes have gone from $15,000 to $42,000 in just a year because there is such a high demand. People can't afford homes anymore and want to opt for a more flexible and affordable solution. The most surprise comment he made is that there is food rationing in California where he lived until recently. Meat is limited to 5 pounds per person. The days when the US was number 1 have long gone. To be precise the US has moved from spot 2 to 15 in the last decade. Soon, food stamps for everybody.

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