Fed Policy, Govt. Policy, Egypt Burns

Here’s a little ditty that the mainstream media won’t touch with a ten foot pole. That’s because the Obama administration, environmentists, and the Federal Reserve are not insignificant players in the rioting and unrest we are seeing in the Middle East, and in the rise in prices of foodstuffs around the world. WHAT you say?

For years now, the United Nations has been complaining that they can’t continue to feed all they need to for a lack of money caused by the rising food cost. This is a direct consequence of bio-fuel nonsense where the United States is using food (corn) to put in our gas tank. This causes all kinds of food to be more expensive. Not just for foodstuffs made from corn, but meat and poultry products because it is also food for the livestock.

Compounding that is the enormous spending of the Federal Reserve. The effect of that has contributed to the increase in food prices not only here but everywhere else in the world.

Chriss W. Street at Big Government writes . . .

QE2 money quickly drove up commodity food prices around the world. This price rise is barely noticeable to Americans who only spend 10% of their personal income on food for three meals a day; but the impact of food inflation is devastating the over half the world that spends approximately 50% of personal income on food for two meals a day. The 15% QE2 induced commodity food price increase has reduced the amount of food poor people can purchase by almost 1/3.

The riots and revolutionary activity burning down Tunisia, Yemen, and Egypt are about gut-level economics. Do you think Americans would riot and throwing out our government if we were forced to cut back to eating 1 1/3 meals a day? Once riots start people in cities hoard food to survive and becomes dangerous for farmers to transport food. This is exacerbates food shortages and drives prices even higher.

When you consider how lucky we are to live in the United States, where 10% of our income goes for food for three meals a day,  a rise in food prices is not as much of an issue as it is in other parts of the world like Egypt, where food consumes 50% of their income for two meals a day. Couple that with outrageously high unemployment while the ruling class lives the high life, and you have a powder keg in the making.

UPDATE 06:50:

As if there isn’t enough evidence of how government policies were accomplices in Egypt’s revolution, new evidence points to the role of labor unions and the American Left in orchestrating it:

For all the lack of clarity on where the Obama administration stands, one thing is becoming more and more clear: Signs are beginning to point more toward the likelihood that President Obama’s State Department, unions, as well as Left-leaning media corporations are more directly involved in helping to ignite the Mid-East turmoil than they are publicly admitting.

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