Congress Ate My Steak

I was about to order the prime steak at my favorite local restaurant when I noticed the new price: $46. That is up from $36 the last time I ordered it a few months ago. The reason: beef prices are skyrocketing in tandem with corn prices, which are skyrocketing because of growing demand for ethanol. Corn prices increased 80% in 2006 alone and might double this year.

The Energy Bill of 2005, through a combination of subsidies, tariffs and mandates, caused the massive food inflation that is occurring. Congress didn't like $3/gallon gas so they created $3/gallon milk. Oh, and they also made steak a luxury food again.