News of the Day

There are several news items today, that are of interest to personal finance readers. Instead of writing two different articles, I thought I would combine it into one (1) article. So without further ado, lets get started.

Congress & Higher Food Prices

This is the story that has the quote of the day.

"Why are we putting food in our gas tanks instead of our stomachs?"

That is what Richard Reinwald, a bakery owner, asked a Congressional panel investigating rising food prices.

An Agriculture Department economist told the panel that the use of food crops for alternative fuel is one reason for higher prices. He says other factors include global weather patterns and the declining value of the dollar.

But the White House downplays the role of ethanol. A spokesman points to the increasing cost of energy that makes it more expensive to get food to the table.
- KGAN 2 CBS

No matter the reason, people in supermarkets and grocery stores all over the United States are seeing their grocery prices rise. Here in Topeka shoppers, this week, seen a 48 oz bottle of Wesson Oil go from $3.69 to $6.59.

Government launches crackdown on unfair credit cards

WASHINGTON - The Federal Reserve and other regulators are moving Friday to crack down on "unfair and deceptive" practices in the credit card industry that have added billions in debt to people already struggling to cope with the economic downturn.

In the most far-reaching crackdown on the credit industry in decades, the Fed and two government agencies are proposing rules that would stop credit card companies from unfairly raising interest rates and make sure they give people enough time to pay their bills.

The banking industry is expected to fight the new rules.

- from the AP Newswire

Wow, I really like this idea. At least part of me does. The part of me that fights for consumers rights and protection of the consumers. Then there is the part of that supports smaller government, and I wonder why the government is getting involved. Still, though the smaller government part of me is overshadowed by the desire to protect the consumer from those business' that wish to take advantage of the poorer consumers. I am for "free trade," if you will, but at the same time, business' must be fair in their business practices.



---
go ahead share your thoughts with me now.

Get Paid to Sign Up, Refer Others, Read E-Mail, Complete Offers, and More!