{"id":214310,"date":"2024-03-17T18:27:22","date_gmt":"2024-03-17T18:27:22","guid":{"rendered":"https:\/\/michigandigitalnews.com\/index.php\/2024\/03\/17\/grocery-prices-have-soared-thats-spoiling-bidens-economic-pitch\/"},"modified":"2025-06-25T17:20:28","modified_gmt":"2025-06-25T17:20:28","slug":"grocery-prices-have-soared-thats-spoiling-bidens-economic-pitch","status":"publish","type":"post","link":"https:\/\/michigandigitalnews.com\/index.php\/2024\/03\/17\/grocery-prices-have-soared-thats-spoiling-bidens-economic-pitch\/","title":{"rendered":"\u201cGrocery Prices Have Soared. That\u2019s Spoiling Biden\u2019s Economic Pitch\u201d"},"content":{"rendered":"

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That\u2019s the title of an article in Bloomberg<\/a> today.<\/p>\n

Here\u2019s a picture of headline CPI and the \u201cfood at home\u201d category.<\/p>\n

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Figure 1:<\/strong> Headline CPI (blue), and food at home (chartreuse), both in logs 2021M01=0. NBER defined peak-to-trough recession dates shaded gray. Source: BLS via FRED, NBER, and author\u2019s calculations.<\/em><\/p>\n

The article is correct insofar as it uses the past tense \u2013 prices of groceries have<\/em> rise. However, as Figure shows, food at home inflation has declined recently. Figure 2 depicts instantaneous inflation (per Eeckhout (2023), a=4, T-12).<\/p>\n

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Figure 2: <\/strong>\u00a0Headline CPI instantaneous inflation (blue), and food at home (chartreuse). NBER defined peak-to-trough recession dates shaded gray. Source: BLS via FRED, NBER, and author\u2019s calculations.<\/em><\/p>\n

In fact, month-on-month food-at-home inflation was zero in February.<\/p>\n

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