Believe it or not, Americans spend less on food than the majority of their alternatives in developed nations. Though less is spent all around, more is being used on processed foods and sweets than on more wholesome fare.
Spending a lot less on food
The typical family of four with pets will find it difficult to get by with a $50,000 a year income, and that is the average in the country. There is good news. Compared to other developed countries, we are actually spending less on food.
The Bureau of Labor Statistics explained that in 2009, the average household spent $6,372 on food. About $2,619 of that was for food from home and $3,753 was for food in the home. Mother Jones reports that the spending is only 6 percent of the $32,051 annual outlay for the year. The French spend 14 percent on food of the outlay while the British spends 9 percent on food.
An NPR article points out the reason behind this. It said that in the last 30 years, American food costs have been dropping.
Maybe Michelle has a point
Data from the Bureau of Labor Statistics showed that now, about 8 percent of yearly outlays is spent on food. That is much better than the 13 percent we saw in the average household in 1982 though.
During that time, the cost of most food groups has dropped; in some cases drastically. For instance, the cost of steak has dropped 30 percent, from $7 per pound in 1982 to $4.90 per pound in 2012. No meats have gone up in price. Only one fruit and one vegetable increased in price in that time, those being grapefruit and bell peppers, the prices of which increased by 6.5 percent and 34 percent, respectively.
What some may view as troublesome is how much is spent on what type of food. Meats declined from 31.3 percent of food expenditures in 1982 to 21.5 percent of expenditures in 2012. Fruits and vegetables stayed broadly the same at 14.5 percent in 1982 and 14.6 percent in 2012. However, processed foods and sweets doubled from 11.6 percent in 1982 to 22.9 percent in 2012. The First Lady could be criticized for advocating feeding kids more vegetables and fruit, but she may be on to something.
The agriculture subsidies
According to Mother Jones, part of the reason we pay less for groceries is decades of agricultural subsidies, which amounted to $261.9 billion from 1995 to 2010. Since 1970, the amount of corn produced in America has gone tripled, rising from 4 billion bushels to 12 billion last year.
Some costs are going up. According to Forbes, grain and meats have both begun rising recently. In 2011, the price of meats went up by 8 percent. Grain costs doubled.
Only about 15.8 percent of the cash brought in from selling food goes to the farmer who produced it, which means farmers do not benefit from the low prices, according to the Department of Agriculture. The Daily Green points out that this means farmers need higher prices.
Spending a lot less on food
The typical family of four with pets will find it difficult to get by with a $50,000 a year income, and that is the average in the country. There is good news. Compared to other developed countries, we are actually spending less on food.
The Bureau of Labor Statistics explained that in 2009, the average household spent $6,372 on food. About $2,619 of that was for food from home and $3,753 was for food in the home. Mother Jones reports that the spending is only 6 percent of the $32,051 annual outlay for the year. The French spend 14 percent on food of the outlay while the British spends 9 percent on food.
An NPR article points out the reason behind this. It said that in the last 30 years, American food costs have been dropping.
Maybe Michelle has a point
Data from the Bureau of Labor Statistics showed that now, about 8 percent of yearly outlays is spent on food. That is much better than the 13 percent we saw in the average household in 1982 though.
During that time, the cost of most food groups has dropped; in some cases drastically. For instance, the cost of steak has dropped 30 percent, from $7 per pound in 1982 to $4.90 per pound in 2012. No meats have gone up in price. Only one fruit and one vegetable increased in price in that time, those being grapefruit and bell peppers, the prices of which increased by 6.5 percent and 34 percent, respectively.
What some may view as troublesome is how much is spent on what type of food. Meats declined from 31.3 percent of food expenditures in 1982 to 21.5 percent of expenditures in 2012. Fruits and vegetables stayed broadly the same at 14.5 percent in 1982 and 14.6 percent in 2012. However, processed foods and sweets doubled from 11.6 percent in 1982 to 22.9 percent in 2012. The First Lady could be criticized for advocating feeding kids more vegetables and fruit, but she may be on to something.
The agriculture subsidies
According to Mother Jones, part of the reason we pay less for groceries is decades of agricultural subsidies, which amounted to $261.9 billion from 1995 to 2010. Since 1970, the amount of corn produced in America has gone tripled, rising from 4 billion bushels to 12 billion last year.
Some costs are going up. According to Forbes, grain and meats have both begun rising recently. In 2011, the price of meats went up by 8 percent. Grain costs doubled.
Only about 15.8 percent of the cash brought in from selling food goes to the farmer who produced it, which means farmers do not benefit from the low prices, according to the Department of Agriculture. The Daily Green points out that this means farmers need higher prices.
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