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Food Cost Review, 1990

Author

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  • Dunham, Denis

Abstract

Food prices, as measured by the Consumer Price Index (CPI), increased 5.8 percent in 1990, the same percentage increase as the year before. Higher farm prices and charges for processing and distribution both contributed to the price increase. The prices farmers received for commodities, as measured by the farm value of USDAs market basket of foods, also rose 5.8 percent. But the increase in farm value was smaller than the 7.1-percent rise in retail prices of these foods in 1990. (The 7.1-percent market basket increase excludes away-from-home meals and includes fewer commodities compared with the 5.8-percent CPI all-food index.) The farm value share of the food dollar spent in grocery stores in 1990 was 30 percent, unchanged from 1989. The farm-to-retail price spread of USDA's market basket of foods rose 7.7 percent, reflecting higher prices of inputs, such as labor and energy, that the food industry used.

Suggested Citation

  • Dunham, Denis, 1991. "Food Cost Review, 1990," Agricultural Economic Reports 305726, United States Department of Agriculture, Economic Research Service.
    • Handle: RePEc:ags:uerser:305726
    DOI: 10.22004/ag.econ.305726
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    Cited by:

    1. Levedahl, J. William & Ballenger, Nicole & Harold, Courtney, 1994. "Comparing the Emergency Food Assistance Program and The Food Stamp Program: Recipient Characteristics, Market Effects, and Benefit/Cost Ratios," Agricultural Economic Reports 308290, United States Department of Agriculture, Economic Research Service.

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