Thai white rice 5% broken hit $659 a ton, the highest level since October 2008. Prices of the staple food that feeds billions of people worldwide are up over 50% since the start of 2022.

Chief Asia Economist at HSBC Global Research, Frederic Neumann, recently told clients that skyrocketing rice prices present hurdles for central banks combating high inflation. He drew parallels between the current surge in food prices and the one that rocked the world in 2008, noting that shortage fears are rising for the staple food that feeds billions of people.

“The memory of the 2008 Asian food price scare sits deep,” Neumann wrote. 

He said, “Back then, rising rice prices in some economies quickly spilled over into other markets as consumers and governments across the region scrambled to secure supplies. It also lifted the prices of other staples, such as wheat, as buyers shifted to alternatives.”

Last month, Sara Menker, founder and CEO of Gro Intelligence, told Bloomberg TV on the sidelines of a conference in Singapore that the current food crisis surpassed the one in 2007-08, which ultimately sparked the Arab Spring across the Middle East a few years later.

Menker said elevated crop prices and steep declines in local currencies against the dollar have severely pressured households of emerging market economies.

And remember, SocGen’s Albert Edwards warned in late 2020 that central banks’ money printing during Covid would spark a rise in food prices and the usual social-economic instabilities.

That is why this war in the Middle East could represent such a critical economic tipping point.

31 percent of the world’s oil comes from the Middle East. If that supply is restricted or completely cut off for an extended period of time, we will be in for a world of hurt.

But don’t just take my word for it.  At this point, even the World Bank is sounding the alarm…

Oil prices could be pushed into ‘uncharted waters’, which could lead to higher food prices worldwide if the violence between Israel and Hamas intensifies, the World Bank has said.

The bank’s Commodity Markets Outlook found that while the effects on oil prices should be limited if the conflict does not widen, the outlook ‘would darken quickly if the conflict were to escalate’.

In a worst case scenario, the World Bank says that the price of oil could go as high as 157 dollars a barrel…

In a ‘large disruption’ scenario – comparable to the Arab oil embargo of 1973 – the global oil supply would shrink by six million to eight million barrels per day and prices could go up by 56 per cent to 75 per cent, or $140 (£115.51) to $157 (£129.53) a barrel, according to the report.

Other experts are projecting that the price of a barrel of oil could eventually go as high as 300 dollars a barrel.

If energy prices start to scream higher as more parties join the war in the Middle East, global food prices will go far higher than they are right now.

Of course they have already reached absurd levels.

This month, a lot of Americans are complaining about ridiculously high candy prices.  Over the past year, they have risen by 13 percent in the United States…

Halloween candy inflation is up by double digits for the second year in a row, with prices 13% higher this October compared to the same time last year, according to new data.

Prices of candy and gum in October 2022 had already increased by 14% from the previous year, The Associated Press reported over the weekend, citing data from retail price tracker Datasembly.

“The price of candy has gotten to be outrageous,” small business owner Jessica Weathers, who lives in the 14,400-resident village of Shiloh, Illinois. “It doesn’t make sense to me to spend $100 on candy.”

But that is nothing compared to what is happening to orange juice.

Since March 2020, the price of frozen orange juice concentrate is up 388 percent…

Orange juice futures hit a record high of $4.1195 per pound, up 10% on Monday morning. The frozen orange juice concentrate has soared 388% since March 2020 as weather and disease crush citrus supply in Florida, the biggest producer of oranges in the US.

David Branch of Wells Fargo recently told Yahoo Finance that Florida’s orange crop is expected to come in around 713,000 tons, the smallest since the 1936-37 season.

Ouch.

Do you remember the days when we could all afford to drink orange juice on a regular basis?

Sadly, those days are long gone.

At this stage, even a meal at McDonald’s has become painfully expensive. If you can believe it, a Big Mac combo meal at one location in Connecticut now costs 18 dollars…

However, McDonald’s — which has 13,513 restaurants in the US and over 38,000 abroad — did not disclose how much the franchiser has increased its prices, which generally vary between locations.

One branch in Darien, Conn., charged as much as $18 for a Big Mac combo meal, which includes medium fries and a medium soft drink.

Meanwhile, that same Big Mac combo will run hungry patrons $13.69 at a McDonald’s in Times Square.

Thanks to these skyrocketing food prices, more Americans are going hungry than ever before. This week, we learned that the number of Americans “suffering from hunger and food insecurity” increased by more than 10 million from 2021 to 2022…

The number of Americans suffering from hunger and food insecurity exploded by more than 10 million under President Joe Biden, according to a U.S. Agriculture Department report this week that provided fresh evidence of inflation‘s impact of a basic staple of life.

The report found 44.2 million Americans were living in food-insecure households in 2022, compared to 33.8 million the year before.

“From 2021 to 2022, there were statistically significant increases in food insecurity and very low food security for nearly all subgroups of households described in this report,” USDA reported Wednesday.

So if things were that bad in 2022, how high is that number today?

My guess is that we are well beyond 50 million at this point. And what we have experienced so far is just the beginning.

Unfortunately, most Americans simply cannot comprehend what is happening. Our stores have always been packed to the gills with mountains of cheap food, and so for many people it is really hard to understand that era is ending.

If you have not already done so, I would very much encourage you to stockpile supplies of food while you still can. Because this war in the Middle East is just getting started, and food prices will soon be shooting up to levels that would have once been considered unimaginable.

Michael’s new book entitled “End Times” is now available in paperback and for the Kindle on Amazon.com, and you can check out his new Substack newsletter right here.

(Article cross-posted from The Center Square)

Gas prices have risen significantly in recent weeks, according to pricing data from AAA. Gas prices hit a record high earlier in the Biden administration, surpassing an average of $5 per gallon nationally, before dropping back down.

Now they are rising again, currently at $3.85 per gallon of regular gas, up from $3.82 a week ago and $3.57 a month ago. In the last month, diesel prices have risen from $3.86 per gallon to $4.13 per gallon.

Food prices have risen as well. The U.S. Bureau of Labor Statistics last week released its Consumer Price Index and Producer Price Index, two key markers of inflation that showed prices rose less than half a percentage point last month.

The CPI rose 3.2% in the last 12 months, and the PPI rose 0.8% over the same period, higher than expected. These rates have slowed from the rapid pace earlier in the Biden administration, but some food products have seen price increases that outpace the average inflationary rate.

Overall, grocery prices have risen much faster than the average rate of inflation for years.

The CPI for all urban consumers averages the cost increases for American cities, and many common household food items doubled or tripled the average CPI increase.

For instance, white bread rose 10.7% from July of 2022 to July of 2023.

• Cereal and bakery products rose 7%
• Cookies rose 7.9%
• Breakfast cereal rose 5.1%
• Rice rose 6.1%
• Frozen and refrigerated bakery products, pies, tarts, turnovers rose 8%
• Raw beef steaks rose 7.8%
• Raw roasts rose 6.3%
• Crackers, bread, and cracker products rose 8.2%
• Ice cream and related products rose 6.3%
• Frozen vegetables rose 17.1%
• Nonalcoholic beverages and beverage materials rose 5.4%
• Margarine rose 11.3%
• Salad dressing rose 9.2%
• Baby food and formula rose 5.9%

Some other products such as pork and chicken decreased in cost, 3.7% and 2.5% respectively in the same 12-month period.

Ryan Young, senior economist, Competitive Enterprise Institute, told The Center Square that some of the price hikes Americans are facing are related to money supply and spending problems while part of it also has to do with regulatory and supply chain issues.

“Inflation is cured by better money supply management,” he said. “The gas and food price hikes we’re seeing can be helped by expanding energy permitting and exploration, and by getting rid of protectionist agricultural policies and trade restrictions.”

Young also pointed to some hopeful indicators.

“Some context is also necessary,” he said. “Gas prices are going up. But they are also about 20 cents per gallon lower than they were this time last year. And the recent increases follow months of declines. As prices go up and down, and people tend to get angry at the ups while ignoring the downs, which colors the media coverage they get. And in last month’s CPI report, food prices went up slower than the overall inflation rate. Overall inflation as 0.2% during June, while food prices went up 0.1%.”

Republicans blasted the Biden administration after the latest pricing data was released, pointing to the soaring federal debt, and the money-printing that helps propel it.

“American families need relief from persistent and painful high prices,” Said Sen. John Barrasso, R-Wyo. “Joe Biden signed the Democrats’ reckless tax and spending spree into law one year ago. He claimed more spending would bring down prices. Once again, he was wrong. Prices are still going up. Americans are facing sky-high prices at the grocery store, at the gas pump, and while back-to-school shopping. They’re digging into their dwindling savings just to keep up.”

The Biden administration has pointed to relatively low unemployment and the progress made since the lockdowns during the COVID-19 pandemic. Sen. Rick Scott, R-Fla., also took a shot at Biden after the data was released.

“This week, I have been traveling Florida to hear what issues families are facing, and in each big city or small town I stop in one thing keeps getting mentioned—inflation,” Scott said.

For example, just consider what is happening to rice prices.

Rice is a core staple for billions of people around the globe, and India is the most important exporter of rice by a very wide margin…

More than half of the rice imports in around 42 countries originate from India, and in many African nations, India’s market share in rice imports surpasses 80%, according to Ifpri.

In top consuming countries in Asia – Bangladesh, Bhutan, Cambodia, Indonesia, Thailand and Sri Lanka, for example – the share of rice consumption in total calorie intake a day ranges from 40% to 67%.

Now that India has severely restricted rice exports, what are those nations going to do?

According to the BBC, India’s export ban “has sparked worries about runaway global rice prices”…

Indica white rice dominates around 70% of the global trade, and India has now ceased its export. This comes on top of the country’s ban last year of exports of broken rice and a 20% duty on non-basmati rice exports.

Not surprisingly, July’s export ban has sparked worries about runaway global rice prices.

Sadly, this is already starting to happen.

In fact, the price of Thai white rice is already “up over 50% since the start of 2022”…

On Wednesday, the Thai Rice Exporters Association revealed that the price of Thai white rice 5% broken, a key Asian benchmark, reached the highest level since Great Financial Crisis. This surge is mainly attributed to increasing fears of a global shortage due to the damaging effects of the El Nino weather phenomenon on Asian farmlands and India’s recent decision to restrict certain rice exports.

Thai white rice 5% broken hit $648 per ton this week, the highest level since October 2008. Prices are up over 50% since the start of 2022.

Of course it isn’t just the price of rice that is rising.

Here in the United States, just about everything in our grocery stores is becoming a lot more expensive…

Americans are noticing a lot of sold-out notes on Costco shelves in the past few weeks. Shortages of household supplies and basic grocery items seem to be rapidly spreading across Costco warehouses. However, most of the complaints have been published by shoppers that just can’t believe the price hikes they’re seeing at their local stores. One major example of this was the 250% increase in the price of 40-packs of Kirkland-branded water bottles. One Redditor reported that the bulk buy, which cost $1.44 as recently as a year ago, now costs $4.99.

“Yeah that used to be the case at the beginning of the year, just checked yesterday, and $4.99, ridiculous,” user u/ghx16 wrote.

User jasonsparks19 said that crab legs have more than doubled in price over the past year: “King crab legs went from $23/lb to $48/lb.”

That’s a 110% increase. It has been difficult for shoppers to find chicken nuggets in stock at Costco, as they are often sold out in the frozen section due to the high demand. They used to cost $13 for a four-pound bag, but are now going for $19.99, causing some customers to express their displeasure with the price hike on Reddit.

“I saw them today for the first time in a while too. My jaw dropped when I saw the price and I kept walking,” a commenter said.

Have you noticed similar things where you live?

I wish that I could tell you that there will soon be relief, but I can’t do that. As I regularly discuss on my websites, global food production is being hammered by crisis after crisis right now. And the food that isn’t being produced in 2023 is food that will not be available on store shelves in 2024.

Here in the western world, that will mean even higher prices, but on the other side of the planet that will mean that even fewer poor people will have enough food to eat.

A global famine has now begun, and in a recent article James Lasher explained that many Americans are feverishly preparing for even harder times ahead…

The price of groceries continues to rise putting millions on edge about the availability of food across the U.S.

Many are bracing for even harder times to hit the country and are preparing, much like Joseph did as a ruler in Egypt before the famine struck.

But if you only listen to the mainstream media, they are making it seem as though nothing is amiss at all.

For example, the following comes from an article that USA Today just posted entitled “Need an afternoon sweet treat? McDonald’s new Peanut Butter Crunch McFlurry is out now”…

If you’ve been able to recover from McDonald’s purple Grimace shakes, the fast-food chain has a new sweet treat available for a limited time.

Just try not to pass out this time for a viral TikTok trend, OK?

The Peanut Butter Crunch McFlurry debuted Wednesday at participating locations nationwide. The dessert is made with vanilla soft serve and blended with crispy cereal mix and chunks of chocolatey peanut butter cookie.

See, everything must be just great if this is front page news!

Amazingly, this is  the sort of pablum that passes for “journalism” these days.

They aren’t telling you the truth.

The truth is that we really are facing a historic global food crisis, and in the months and years ahead it is going to get a whole lot worse. But for now, many in the western world are completely ignoring the millions upon millions of deeply suffering people on the other side of the planet. Of course ignoring them will not make the problem go away, nor will it do anything about the long-term trends that are making the global food crisis even worse with each passing day.

Michael’s new book entitled “End Times” is now available in paperback and for the Kindle on Amazon.com, and you can check out his new Substack newsletter right here.

Article cross-posted from The Economic Collapse Blog.

Lots of popular products such as frozen pizzas, waffles, and snack cakes are about to see some steep price increases that will certainly shock American shoppers in the next few months.

Prepare to pay more for pepperoni, jerky, bacon, ham, sausages, and other packaged meats in the next few quarters. Meat processors are still coping with rising labor costs, fewer workers, and other operational issues that are making the production of packaged meats cost more while output goes down.

If you’ve been grocery shopping in recent weeks, you probably already noticed how prices are changing fast, and from this point on, these products aren’t going to get any cheaper. Whenever you find deals at stores, buy some of your favorite packaged meats and a few extra to save throughout the next seasons.

The price of popular and handy breakfast meals is about to go through some seasonal changes. With kids going back to school, and temperatures going down in the months ahead, demand for frozen breakfast foods is expected to rise by 16.43 percent, according to estimates released by the top grocer in the US, Walmart. The price of its Great Value Buttermilk Pancakes is going to rise from $3.93 right now to $4.48 by the end of the third quarter.

Meanwhile, Eggo Original Waffles and Kellogg’s Blueberry Waffles are going to see a 40-cent increase, from $4.49 to $4.89 by the beginning of September. Further price increases can take place during the winter, but specific data hasn’t been provided yet. In any case, if you don’t want to feel the pinch of the upcoming price hikes, make some room in your freezer to stock up on these goods while they’re still cheaper.

Great Value Hamburger Dill Chip Pickles are now selling for $2.67 for a 32 fl oz jar. Although that’s only 8.7 percent higher than a year ago levels, in 2023, food makers faced a series of challenges to produce and distribute these products, and the impact of these supply chain problems is about to hit stores and raise the cost of pickles between 12 to 17 percent during the third and fourth quarter. For the year, experts at The Cold Wire.com estimate that the cost of this beloved condiment will jump by 25 percent.

Relief is expected by the second quarter of 2024 when production levels are expected to stabilize. Until then, adding a few extra jars to your cart next time you go shopping may help you fight inflation and potential shortages.

Even though Americans continue buying considerable amounts of chocolate each month, slower production and elevated costs for sugar are leading to a decline in supplies, which is quite worrying considering that Halloween is right ahead, and many holiday season recipes require chocolate.

CNBC reports that in June, chocolate prices rose by 14 percent. With the cost of cocoa soaring in the global market right now, we should brace for some serious sticker shock in the next few months. For that reason, for this video, we decided to track which products are expected to face higher consumer demand and higher prices for the rest of the year.

Here’s the list:

1. Snack Cakes
2. Cookies and Crackers
3. Packaged Meat
4. Packaged Macaroni and Cheese
5. Applesauce
6. Frozen Waffles and Pancakes
7. Grapes
8. Ramen Noodles
9. Pickles
10. Nuts and Trail Mixes
11. Canned Meats
12. Chocolate
13. Breakfast Sandwiches
14. Rice
15. Frozen Pizza

Video and article courtesy of Epic Economist.

Meanwhile, some shelves remain empty at the retailer’s stores, That’s why, in today’s video, we decided to track the grocery products facing the steepest price increases in recent weeks and months, and which ones are still in short supply at Costco so you can prepare for the challenging environment that lies ahead.

Over the past year, it has been hard to overlook the fact that the cost of everything from produce to baked goods to dairy products increased at Costco warehouses. But new reports show that this trend has intensified in recent months, and analysts at GoBankingRates say that a new round of price hikes was just introduced in the company’s system, that’s why staying aware and prepared is key.

Since April, price tag changes of 30% up to 70% were observed at the chain’s warehouses, according to Julie Ramhold, an industry expert with DealNews.com. That was also true in May, and June, with a flood of consumer reports confirming the trend. The report also notes that the most shocking price hikes occurred in the meat category, which includes beef, pork, poultry, and fish.

Right now, four-pound packs of Costco’s Kirkland Signature Sliced Bacon are selling for $21.99, up from $16.99 just a couple of months ago, Ramhold points out. Another user noted in May that ground beef prices soared to $25.99 at Costco, while the same product was selling for $19.49 at Aldi. The steepest price increase was observed on King Crab prices, which shoot up from $22.99/lb to $38.99/lb, a whopping 70% surge.

At the same time, dairy products and eggs continue to face empty shelves at Costco warehouses, and prices are rising faster than at other big-box stores. For lots of people out there, these higher prices mean they can no longer afford to shop at Costco. Although you can still find deals for certain products, the cost of basic staples is reaching record levels.

Data shared by Bloomberg reveals that those price hikes are already hurting Costco’s bottom line. In May, the company’s sales declined for the third straight month as US consumers fled to cheaper stores.In June, the company’s Chief Financial Officer Richard Galanti warned about exceedingly difficult times for US consumers.

He said he has seen a significant share of customers switching from purchases of beef products to less expensive choices, like pork and chicken. He highlighted that typically observes this trend historically during times when the US entered a recession in the past.

Galanti’s cautious tone scared investors, who were already concerned about the company’s rising prices, supply chain problems, and slowing sales. That pushed Costco stock down 20% from March levels.

With crazy-high prices turning more and more customers away, turbulence is coming for the warehouse chain. But before things start spiraling out of control, don’t forget to check for deals and get ready for the inflationary crisis at major grocery stores in the months ahead.

Article and video cross-posted from Epic Economist.

But even though higher interest rates haven’t had much of an impact on food prices, we knew that they would dramatically affect western economies in many other ways.  Economic activity is starting to dry up all over the western world, and as I discussed the other day, Europe has already plunged into a recession.

In addition, higher interest rates have burst the global housing bubble, and here in the United States we have entered what will ultimately become the greatest commercial real estate crisis in our entire history.

On top of everything else, hundreds of small and mid-size banks are now struggling to survive because higher rates have blown giant black holes in their balance sheets.

After seeing all the damage that they have caused, officials at the Federal Reserve finally decided to “pause” their interest rate hiking campaign on Wednesday…

Federal Reserve policymakers left the central bank’s benchmark interest rate unchanged despite inflation that has run above its target for over two years, saying the pause would allow it to gauge the effects of earlier hikes on the economy.

The Fed said on Wednesday that it would hold its benchmark rate at a range of five percent to 5.25 percent, the range it set at its May meeting and the highest since the Fed cut rates at the summer of 2007. At the same time, the Fed signaled that it expects to hike at least two more times this year.

If they had any sense, they would start cutting rates.

But that probably won’t happen for a while.

The good news is that higher rates have crushed economic activity enough that the overall rate of inflation has started to come down…

Overall, consumer prices increased 4% from a year earlier, down from 4.9% in April and a 40-year high of 9.1% last June, according to the Labor Department’s consumer price index.

Of course you have to take those numbers with a grain of salt.

If the inflation rate was still calculated the way that it was back in 1980, it would still be well into double digits right now.

And when you look at core CPI, it has “barely budged” over the past year…

And when you dig into core CPI, the news isn’t nearly so good. In fact, it’s downright bad.

Core CPI, excluding food and energy prices, rose 0.4% month-on-month. On an annual basis, core CPI rose by 5.3%.

To put that number into perspective, the core CPI increase in May 2022 was 6%. That means the increase in core CPI has barely budged.

That is very troubling.

And what is even more troubling is the fact that food prices in the U.S. just continue to go up…

But what the data also revealed is that food prices continue to increase. According to the new government data, food at home prices went up 5.8% for the year ending in May. For food away from home, prices have jumped 8.3%.

Once again, it is important to remember that the way inflation is calculated has changed dramatically over the decades.

If food inflation was still calculated the way that it was back in 1980, those numbers would be way into the double digits.

And even with all of the massaging that they do to the numbers these days, there are certain categories of food where the official numbers that we have been given actually show double digit inflation on a yearly basis…

Frozen vegetables (18.7%)

Frozen drinks (15.8%)

Bread (12.5%)

Fats and oils (11.8%)

Candy (11.6%)

Cakes, cookies and cupcakes (11%)

Baby food and formula (10.1)

The cost of living has been escalating much faster than our paychecks have, and this is putting enormous financial stress on American families.

Thanks to the rapidly rising cost of living, more U.S. adults than ever are being forced to find a “side hustle”…

As many as two in five adults in the U.S. have a side hustle, according to a recent Bankrate survey of 2,500-plus adults, backing up LendingTree data from earlier this year that found side gigs are up by 13% over the past two years and recent Deloitte data that found more millennials and Gen Zers are adding on part-time jobs. Younger workers are more likely to need an extra job: 53% of Gen Zers and half of millennials have one, Bankrate finds, compared to only 40% of Gen Xers and 24% of baby boomers.

It’s a reflection of the state of the economy, which has left many Americans—even those earning six figures—feeling like they’re living paycheck to paycheck. At the end of the day, side hustles have become a necessity for many who are struggling to compete with the pace of inflation and trying to save amid recession fears.

And food inflation is also one of the reasons why demand at food banks around the nation has been absolutely exploding in recent months.

For example, just check out what is happening in one area of Oklahoma…

Food banks across Green Country are seeing a spike in the number of people using their services.

Two issues are at play: it’s more expensive to make ends meet because of inflation and emergency SNAP benefits are ending.

Just since March, the food bank said there’s been a 50-percent increase in people who need help.

Unfortunately, this isn’t just happening in the United States.

In fact, food inflation is a much bigger problem over in Europe right now…

Whether in Spain, Hungary, or Italy, food prices keep rising in Europe even as inflation relents. Food inflation reached a historic peak in March, up 19.2% over the previous year, and fell to 12.5% in May. Governments across the continent are trying to come up with solutions: Spain waived its 5% tax on food products, France reached a three-month pricing agreement with supermarkets, and Croatia mandated price controls.

But the interventions don’t seem to be sufficient, and even staples or typical products are affected. In Italy, the price of pasta has surged by 14% in the past year, twice as much as overall inflation, and the nation’s tables are paying a steep price for higher energy costs following Russia’s invasion of Ukraine, along with the resulting wheat shortages.

All over the world, food prices are moving up faster than wages are.

And the outlook for global food production in 2023 is not promising.

Sadly, this is just the very beginning of this crisis.  In my latest book I spend several chapters detailing a number of nightmarish long-term trends that are going to absolutely crush global food production during the years to come.

No matter what our leaders do now, global famine is inevitable.

We aren’t able to feed everyone in the world right now, and global food supplies are only going to get tighter.

But most people don’t understand the long-term trends that we are facing.

Most people just assume that the “bumps in the road” that we are currently facing are just temporary and that everything will be “just fine” in the long run.

Don’t be one of those people.

Michael’s new book entitled “End Times” is now available in paperback and for the Kindle on Amazon.com, and you can check out his new Substack newsletter right here.

Article cross-posted from The Economic Collapse Blog.

Right now, the average price for a Big Mac in the U.S. is estimated to be $5.15, which is a 22 percent rise over its pre-pandemic price. Residents of Hawaii are currently paying the most, shelling out $5.31 for the sandwich alone, followed by New York at $5.23 and New Jersey at $5.19. The cheapest Big Macs can be found right now in Mississippi, where the unhealthy menu item will set you back just $3.91.

When the iconic sandwich was first launched 55 years ago in Pennsylvania, it cost just 45 cents. The sandwich features two all-beef patties, lettuce, cheese, onions, pickles and a special sauce on a sesame seed bun and is one of the fast food chain’s most recognizable offerings. It is now featured at more than 38,000 McDonald’s outlets throughout the world and its price has even become a topic of interest for economists.

In 1986, The Economist started the Big Mac Index to measure currencies around the world using the price of a Big Mac in America as its comparison point. Inflation has driven up the cost of food across the board in the last few years, with the price of not only ingredients but also packaging and fuel all playing a role in the soaring expense of food.

One TikTok user recently exposed a particularly overpriced Big Mac at a Connecticut McDonald’s, where the menu in the footage clearly states that the price of a Big Mac combo is $16.89, while the price for a chicken sandwich combo ranges from $16.69 to $17.89.

In the video, the narrator can be heard shouting, “Y’all remember them stimulus checks that they gave out? Thought you was getting away with that stimulus money, huh? They want it back!”

The reactions to the video expressed outrage and disbelief, with the general consensus being that this unhealthy, chemical-laden combination of a sandwich, soda and fries is not worth nearly $17.00. One commenter noted that the meal was not worth it even when its price was closer to $8.

Although the user conceded that they were at a rest stop location, where the prices do tend to be higher, McDonald’s prices have indeed been climbing without providing additional value to consumers.

McDonald’s is laying off corporate employees as part of wider restructuring

In addition, the fast food chain has been reducing some employees’ pay and titles as part of a restructuring that will see hundreds of workers lose their positions. Last week, they closed their offices for a few days to hold career conversations with their corporate employees, telling them to work from home so they could be informed of staffing changes virtually. Some were reportedly told they could hold onto their jobs by agreeing to reduced pay, cuts to their benefits, and changes to their position or title.

Earlier this year, McDonald’s announced that it would be cutting corporate jobs and eliminating some initiatives despite opening a series of new stores. The jobs that are being cut are largely on the corporate side, while the restaurants themselves are still struggling to fill openings.

Meanwhile, McDonald’s U.S. President Joe Erlinger announced that the firm would permanently close all 10 of its field offices throughout the nation, citing high costs and underutilization. And while it is not surprising to see a company that serves unhealthy food at elevated prices struggle, it’s part of an unfortunate broader trend of corporate layoffs that could lead to a major economic meltdown.

Sources for this article include:

• Fortune.com
• Outkick.com
• NYPost.com
• NATURAL NEWS