Re: Bananas: At Any Cost
Ultimately it's the consumer. Produce is a funny commodity that defies standard macroeconomic theory. Since I know sweet corn, I'll use it as an example. When sweet corn is selling for $8/crate all the ears are big and might find at most 2% off grade ears. When sweet corn is selling for $35/crate, you will likely find 15% off grade ears. Of course I've noticed over the years that store prices are far stickier than producer prices. I've seen green beans being sold for $2/lb while the farmer was getting 25 cents/lb, and I see it at $2/lb when the farmer is getting $1/lb.
__________________
Some people go bananas, I went plantains.
|