Speculation raises price of food

June 3, 2015

 

Harper's
p. 27 in 1991. Goldman Sachs… took 18 ingredients…cattle, coffee, cocoa, corn, hogs, wheat.. ..created mathematical formula expresses it as Goldman Sachs commodity Index . as more and more people invested, other banks created own food indexes …
Minneapolis Grain Exchange… price setter for wheat….wheat began rise ini 05. along with rice, corn and soy and oats and cooking oil.
p. 28 paraphrase:
MN wheat price increased fourfold…
First quarter of 08, Carginlll attributed its 86% jump in profits to commodity trading..
Con Agra sold its trading arm to hedge fund for 2.8 billion.
Economist said real price of food reach highest level since 1845, when record began.
no less wheat;
drove massive increase in hunger to over a billion [[he is wrong that it was 250 billion in one years]]

Fred Kaufman, The Food Bubble, Harper's, July-August 2010.

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