Why do the “official” numbers on food inflation state it’s gone up by tiny amounts like 8%, 19%, 11%, etc. but most of the foods I see has gone up by a minimum of 50%, 100%, 80%?
In: Economics
Annual inflation rates are annual.
You’re probably comparing a new versus old price that is over several years. There are also fluctuations that happen that are not related to inflation overall (egg prices for example, olive oil has been high recently).
If inflation for something was 100% for 2 years, it would literally quadruple in price. 2 years of 100% inflation would turn a $5 item in to a $20 item.
If something became 10% more expensive per year for 3 years, that’s a bit over a 33% increase, which can easily feel like 50%. You’re also cherry picking items. Prices do not uniformly increase across the board. Milk has barely gone up. I think Red Bull is about 50 cents more for a 4 pack than it was 5 years ago. Eggs were all over the place for a while. Steak has been higher, the veggies I tend to eat have gone up more in line with general inflation levels than anything obscene; something that was maybe $1.50/lb 5 years ago is usually $2/lb now.
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