Monday, June 9, 2008
'The Declining Quality of Dollar Menus'
By The Mogambo Gury
For The Daily Reckoning, Paris, France

Note:

    Richard Daughty is general partner and COO for Smith Consultant Group, serving the financial and medical communities, and the editor of The Mogambo Guru economic newsletter – an avocational exercise to heap disrespect on those who desperately deserve it. The Mogambo Guru is quoted frequently in Barron's, The Daily Reckoning and other fine publications:

And food prices seem destined to get worse, as I discern from Junior Mogambo Ranger (JMR) Terry L., who sent a copy of the essay, "The 1930s Dry Spell Was a Walk in the Park" by Robert Morley, which is not to be confused with JMR Dan K. interpreting Ben Bernanke's remarks that "The Great Depression was an example of an adverse feedback loop"! Hahaha!

Mr. Morley ignores my little attempt at humor to lighten the mood, and starts out by noting that "Due to soaring demand and natural disasters, global food reserves of corn, wheat and rice are dangerously low. In fact, depleted U.S. wheat stockpiles are at levels not seen in over 60 years."

What makes this so significant is that "during the Great Depression, America had a population of less than 130 million, as opposed to over 300 million today."

And this is made even more chilling when you realize that "Forty percent of the world's corn supply is grown in the Midwest. Plus, America produces 36 percent of all soybeans, 32 percent of coarse grains, 25 percent of the five major oil seeds, 20 percent of sorghum, 16 percent of cottonseed, and 9 percent of global wheat output."

The worse news is that he cites Donald Coxe of Harris Investment Management as saying that the chances of rebuilding those stockpiles is slimmer than commonly thought, as "despite reports of localized droughts, North America as a whole has experienced great weather for the last 18 consecutive years, which combined with improvements in agriculture, has resulted in near-record harvests."

This is so remarkable that Mr. Coxe refers to a report titled "2,000 Years of Drought Variability in the Central United States" by Connie A. Woodhouse and Jonathan T. Overpeck (1998) that "you have to go back hundreds of years to find a period of such favorable weather for so long a time", as "paleoclimatic data indicates that during the last 400 years, the U.S. has probably received some of the best weather North America has had to offer over the past 2,000. Even considering the dust bowl of the 1930s, which sent over 1 million people fleeing, the last 200 years have been exceptionally good in comparison to historical norms."

Suddenly, I get the feeling that things will get worse. A lot worse. Lots and lots worse! Gaaahhh!

Welcome not only to the hell of inflation in prices after decades of inflation in the money supply by the detestable Federal Reserve, but having it made indescribably worse by Mother Nature reverting to norm! We're freaking doomed!

Until next time,

The Mogambo Guru
for The Daily Reckoning

    Times in America will change rather abruptly.
Your WebMasters suggest you check your
Medicine Supply/List.

We Feel This Is Going To Be A Long, Hard Siege
Get Prepared...Time Is Short Now...
Other WebPages of Interest:

Purifying Water ¦ When The Hell Breaks ¦ Gun Page

Galactic Plane

Soon..The Rocks Will Fall...See The Galactic Plane

The Impact and Its Consequences

Ronking & Gronking In Distress
Press Play To Start
Mass Extinctions Occur Around This Time Of Passing Through The Galactic Plane
The Earth Is Also Coming To The End Of An Age, As The Precession Ends

The Rocks Are Coming

A City Being Stoned

It is Now time to start downsizing....do you really need three or four vehicles...Cable or Direct TV... etc.?
We do suggest you get a dedicated fax line.
Join a number of fax networks to stay apprised of what is coming and when it comes; what is going down.
Start by Joining:

Resurrection News - Fax Net & EDS Com-Center Sheila Marie Reynolds/Editor-Publisher c/o Post Office Box #601 Cornville, Arizona (PZ 86325) Phone: 928-634-9269 [All calls screened] Fax/FOD [Fax On Demand]: 928-634-1486

If You Join, Help Keep It Alive: Make Regular Donations To This Service

In An UpComing Issue:
To Be Announced: It May Be Shocking ...

Register For Free Updates Here