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Food prices are based on supply and demand

August 21, 2012
Lewistown Sentinel

There has been a lot of talk about how this summer's drought might affect food prices. Much of the talk centers on corn, which is far more ubiquitous than many people realize, a component of many processed foods, as well as cereal and chips. The nation's corn crop has shrunk, and people have to eat, so it makes sense that less supply and more demand will mean higher prices.



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