Only four percent say they’re not paying more for groceries now compared to a year ago. Prior to the latest results, the number that said they are paying more for groceries ranged from low of 75% in April 2010 to a high of 91% in May of this year.
The survey of 1,000 Adults was conducted on August 8-9, 2011 by Rasmussen Reports. The margin of sampling error is +/- 3 percentage points with a 95% level of confidence. Field work for all Rasmussen Reports surveys is conducted by Pulse Opinion Research, LLC. See methodology.
The Rasmussen report claims seventy-nine percent of adults now expect the amount of money they spend on groceries to be higher a year from now, up five points from last month and just a point below the highest level measured. This number stayed in the low to mid-60s throughout 2009 and 2010.
Only three percent think they’ll be spending less on groceries in a year’s time, while 15% expect to pay about the same amount.
Additionally, Rasmussen reports their findings add to a string of survey findings showing very negative perceptions of the economy among Americans. Confidence among Americans in the stability of the nation’s banking industry has hit rock bottom.
Overall consumer confidence as measured in the Rasmussen Consumer Index is now hovering above the lowest levels of the post-9/11 era.
Food Product Design, specializing in food market intelligence and analysis of industry news, reports U.S. consumers can expect to see food prices continue to rise in the next few months as a result of this summer’s extreme mixture of heat, drought and flooding affecting corn, soybean and wheat production.
Futures prices soared last week for those commodities after the USDA’s National Agricultural Statistics Service (NASS) released its Crop Production report on Aug. 11.
Soybean production is forecast at 3.06 billion bushels, down 8% from last year. All wheat production, at 2.08 billion bushels, is down 1% from the July forecast and down 6% from last year.
Durum wheat production is forecast at 57.1 million bushels, down 10% from July and down 47% from 2010. Other spring wheat is forecast at 522 million bushels, down 5% from last month and down 15% from last year.
And finally, Wired’s Brandon Keim warns food prices could hit a tipping point for global unrest. When food shortages and rising prices drive people to desperation, writes Keim, social unrest soon follows. It’s as true today as it was in 18th-century France.
According to Keim, new analysis of food prices and unrest, the 2008 global food riots and ongoing Arab Spring may be a preview of what’s coming.
“When you have food prices peak, you have all these riots. But look under the peaks, at the background trend. That’s increasing quite rapidly, too,” said Yaneer Bar-Yam, president of the New England Complex Systems Institute. “In one to two years, the background trend runs into the place where all hell breaks loose.”