MILK PRICES
Expert Analysis
According to Farmgate milk prices are starting to stabilize after one of the biggest price inflations in years. Thanks to a recent drop in the economy milk will now stabilize to around the $3.00 range.
Data
Exponential: y = a (b)^x
a = 2.192852
b = 1.053050453
Linear: y = a + bx
a = 166642.70364
b = -8.268
Prediction
My opinion is that Milk prices will rise and fall with how our agricultural economy is going. If the prices rise then fall like from 2011 to 2014 its doing not so well. If they stabilize like the experts have predicted it will be doing well. but we do not want a inflation rise like in 2005 to 2010. personally i believe it will stabilize and be ok for the next five years.
References
1.) http://inflationdata.com/articles/2013/03/21/food-price-inflation-1913/
2.) http://www.thepeoplehistory.com/pricebasket.html
2.) http://www.thepeoplehistory.com/pricebasket.html
What made you choose milk prices? Its actually quite intriguing, never thought it went up and down so much. Just l thought like everything else it went up with inflation, except when Mad Cow is mentioned.
ReplyDeleteI just chose a simple topic and turned out to be quite interesting. I was also surprised to see inflation to take such a major role also.
DeleteSuper cool idea on the milk topic. I honestly never knew milk increased and decreased so frequently. Whats the population of cows in Alberta? HAHAH. Do our prices differ from other provinces?
ReplyDeletehttp://www.albertacanada.com/business/statistics/capital-agriculture.aspx
DeleteThat site tells everything to know about cows. And it was a global research mostly from the EU.
Do you think milk will ever increase to ridiculous prices where its not affordable?
ReplyDeleteHard to say actually. With all the ups and downs with inflation.
DeleteWe never really think about the price of the simplest thing considering we consume it everyday. Its surprising to see that the price of milk fluctuate every year.
ReplyDeleteI was amazed by own research as well.
DeleteI think, if the milk price increases every year , dairy manufactures continue to produce high quality dairy products, the consumers will feel that price and quality are very reasonable
ReplyDeleteI totally agree! Especially if the economy is doing well or not.
DeleteInteresting topic! never realized the price inflations on milk, I'm curious to know the difference between provinces in Canada and if there's a big difference on milk prices?
ReplyDeleteMost of my research consisted on a global scale. But I had to covert from the euro to the Canadian dollar to really see how much it costs.
DeleteDo you think that the rising price of steak and milk are in correlation?
ReplyDeleteI only looked at milk prices. But they both come from cows but are different markets. So I truly would not know.
ReplyDeleteCool topic- I wonder if prices went down due to competition with other "milks" like almond and soy as more and more people are lactose intolerant...love the discussion everyone!
ReplyDeleteGreat topic...this definitely generated a lot of interest. I have always noticed the price go up, but never noticed a price drop. It would be interesting to see if there is a correlation between milk and beef....for another time. Great job maintaining your post!
ReplyDeleteDo You Think The Price Will Increase Or Decrease This Year?
ReplyDelete