Or a thoughtful lesson in economics.
Now, before I get too deep in this arcane subject, a brief glimpse into my qualifications. I do not possess a P.H.D in economics. Nor a M.S . My main qualification is B.S. Lots of it. There, I said it before you could.
If you are the recipient of Social Security or some other C.O.L.A based scheme, you will get more money next year. Yippee!!! But, wait. The amount of money you receive is important only in what you can buy with it. There is something called inflation.
Now, I have never been in a Cheerios factory. But I have been in several dairy farms, and eaten my share of ice cream. Rita and I also visited the Hershey factory in Pennsylvania. You can smell the town from a mile away. A wondrous aroma.
Your C.O.L.A. Is nothing more than an admission that things cost more than they used to. Sooooo….. in order to maintain profits, companies must consider three options.
1: Reduce executive compensation. Okay, two options.
2: Increase prices.
3: Keep prices the same but give you less.
4: Options two and three.
When was the last time you bought a half gallon of ice cream? Look again. A half gallon of ice cream is two quarts. You are now paying the same for one point five quarts. An increase of 716%. Hershey bars are 1.55 oz. The original Hershey bar was 9/16th of an oz. and cost 2 cents. Projecting that to today’s cost represents
an increase of 976%. Since it contains 37% less cacao and 14% more sugar, the actual increase is higher. You can do the math.
Cheerios come in various sizes. From the 7oz size with a picture of the Lone Ranger to the double box of one pound eleven point five oz. Target sells a twenty
oz size for $ 4.49. So I’m sure you can understand how this works out. If you do, please let me know.
In conclusion, I hope this is helpful to you in some small way. On one of our dairy farm visits,we were told, “ Now, you all know what B.S is. M.S. is More of the Same
and it’s Piled Higher and Deeper.