Lew, when inflation changes relative prices, there is price resistance among consumers who are used to the old menu of prices. All along the chain of production, the manufacturers then look for ways to increase sales. They cut down the sizes of servings and packages. They reduce quality. They employ additives. They put in fake ingredients as substitutes for the real thing. They cut down on cleanliness. Antibiotics in the food chain fits this pattern. And in industries that employ union labor whose working conditions are protected by government, employers substitute away to machines, or growth hormones in the case of … Continue reading Inflation and Bacteria