Factors affecting recent food price inflation in the United States

Beginning in mid-2021, U.S. food prices surged at the fastest pace decades, due to pandemic-related supply chain and labor shortages, rising transportation costs wages, commodity fertilizer shocks resulting from Russia's invasion of Ukraine, perhaps demand-side effects recent monetary fiscal stimulus. We decompose path domestic into explanatory factors, grouped by or demand orientation. Our findings indicate that although supply-side factors explain most observed price changes, we studied—particularly money supply—have a stronger correlation with increases than they have, historically.