Hyperinflation ante portas

[Greg S]

I find plenty of what I need/want in the Carrefour Hipermarket in Alcorta, Jumbo in Portal, and Ichiban/Casa China in Barrio Chino. Devoto in Montevideo is good too. https://www.devoto.com.uy/

When I can no longer get a great cab or tannat, or bife de chorizo, then I’ll start worrying.

 

[joelie]

Vegemite, you said? Please, pretty please......WHERE.....WHERE......WHERE.....?

Half a jar... in my cupboard. (Imported directly via my parents, so I couldn't tell you where to get it here, sorry.) I'll let you know if I find some somewhere. There is a place in Liniers that is all imported goods, although he has never had vegemite. I'm sure he could get it if you ask, although I could never bring myself to pay $20 for a jar of vegemite.

 

[EL_TIGRE_de_Tigre]

Half a jar... in my cupboard. (Imported directly via my parents, so I couldn't tell you where to get it here, sorry.) I'll let you know if I find some somewhere. There is a place in Liniers that is all imported goods, although he has never had vegemite. I'm sure he could get it if you ask, although I could never bring myself to pay $20 for a jar of vegemite.

I always marvel at the idea of thinking something costs too much without considering other factors. "FREIGHT & HANDLING."

In some instances, something very well does cost more ! But, in the instance of an imported product, there definitely is a cost to get it transported from point A to point B. And those who are doing the work and performing the service, deserve to make a profit as well.

I have no idea what vegemite should cost. I can see it on Amazon, but I have no reference point for the value. But, depending upon the volume moved at one time in a shipment and any tariffs involved, it should be estimated to cost 2 to 3 times your lowest, domestic purchase price at home.

2 to 3 times the product cost for shipping and handling is about correct. And unit costs should drop as more units are involved in a purchase transaction.

My 2 cents!!

 

[on the brink]

Devoto carries many French mustards and exotic teas. And the Punta del Este Tienda Inglesa branch is an Aladdin's cave of imported delicacies. Sadly, no Vegemite, and no Marmite either. In the States, even my local Safeway stocks Marmite!

 

[joelie]

I always marvel at the idea of thinking something costs too much without considering other factors. "FREIGHT & HANDLING."

In some instances, something very well does cost more ! But, in the instance of an imported product, there definitely is a cost to get it transported from point A to point B. And those who are doing the work and performing the service, deserve to make a profit as well.

I have no idea what vegemite should cost. I can see it on Amazon, but I have no reference point for the value. But, depending upon the volume moved at one time in a shipment and any tariffs involved, it should be estimated to cost 2 to 3 times your lowest, domestic purchase price at home.

2 to 3 times the product cost for shipping and handling is about correct. And unit costs should drop as more units are involved in a purchase transaction.

My 2 cents!!

I appreciate your help but, for me, that is way too much economic analysis for a jar of Vegemite! LOL! Whatever the extra costs are for, and whether or not it is 'fair' to all those in the supply chain, is largely irrelevant to the basic decision of what I am going to choose to spend my money on.

 

[EL_TIGRE_de_Tigre]

I appreciate your help but, for me, that is way too much economic analysis for a jar of Vegemite! LOL! Whatever the extra costs are for, and whether or not it is 'fair' to all those in the supply chain, is largely irrelevant to the basic decision of what I am going to choose to spend my money on.

Dear Joelie,

I understand your point of view and I respect it very much.

We all view our purchases differently. Some of us do what I do, but most of us do what you do. And neither action makes it right or wrong, it just describes what we do.

 

[Alpinista]

In 2020, the annual inflation according to INDEC was 36%.



This figure was significantly below 2018 and 2019. It goes without saying that the government was celebrating this "achievement".

All good then?

1. Most analysts agree that the lower inflation in 2020 was due to the economic shutdown for a good part of the year
2. The trend of the last four months shows a clear acceleration of the inflation rate:

Also first indications for the month of February show no slowing down (also around 4% expected)
(Explanation: a monthly rate of 4% translates to 60% annual inflation, a monthly rate of 5% results in an annual inflation of 80%)
3. The "core inflation" was in January closer to 5% than the 4% indicated (especially for the poor this is more relevant as they spend a big part of their income on food which was 4.8%).

Also the government (via the state owned YPF) increased the price of Nafta in four rounds only this year by 11-12%.
4. Most economists don't see a slowing down, mostly for the following reasons: over the last four months the "real" dollar was quite stable. Once the Blue is going up again (and it will ... ) then it will impact the inflation; also salary rounds are due over the next months (salary increases also translate into higher prices). A lot of the printed money was parked in peso bonds which sooner or later also will be entering the money base.

Basically all independent analysts and economists agree that the inflation is a result from the public deficit and the corresponding money printing. And for the government this is now one of the biggest issues they are having on the table. They know that with an inflation of around 50-60% it will be extremely hard in the elections later this. At the same time, they know a drastic cut in public spending will turn off a lot of voters.