Supply & demand

Diogenes

Nemo me impune lacessit
GiZzuKIWYAA4YWH
 

U.S. egg industry sees record chicken deaths from bird flu outbreak​


Jan 14, 2025



More than 20 million egg-laying chickens in the U.S. died last quarter because of bird flu, data from the U.S. Department of Agriculture shows, marking the worst toll inflicted on America’s egg supply since the outbreak began.

The record number of chicken deaths, which includes those birds culled when infection is discovered in a flock, come as figures show egg prices have soared to the highest they have been in years, driven in large part by the virus.

“Unlike in past years, in 2024, all major production systems experienced significant losses including conventional caged, cage-free, and certified organic types,” a USDA report said this month.

Taxpayers will pick up the tab for the lost birds. To incentivize farmers to quickly report and stomp out the virus, a USDA program pays producers for the eggs and poultry they cull.

No comment from @Jarod, of course.

 
DCExaminer's Christian @TocRadio: “[Y]ou mentioned the inflation executive order the President signed, but egg prices have skyrocketed since President Trump took office, so what specifically is he doing to lower those costs for Americans?”


@PressSec @KarolineLeavitt: “Really glad you brought this up because there is a lot of reporting out there that is putting the onus on this White House for the increased cost of eggs. I would like to point out to each and every one of you that, in 2024, when Joe Biden was in the Oval Office — or upstairs in the residence sleeping, I’m not so sure, egg prices increased 65 percent in this country. We also have seen the cost of everything, not just eggs, bacon, groceries, gasoline have increased because of the inflationary policies of the last administration. As far as the egg shortage, what’s also contributing to that is that the Biden administration and the Department of Agriculture directed the mass killing of more than 100 million chickens, which has led to a lack of chicken supply in this country, therefore, a lack of egg supply, which is leading to the shortage, so I will leave you at this point. This is an example of why it’s so incredibly important that the Senate moves swiftly to confirm all of President Trump’s nominees, including his nominee for the United States Department of Agriculture, Brooke Rollins, who is already speaking with Kevin Hassett, who’s leading the economic team here at the White House on how we can address the egg shortage in this country. As for costs, I laid out costs — I laid out the plethora of ways that President Trump has addressed saving costs for the American people over the past week. He looks forward to continuing to doing that in the days ahead.”




View: https://x.com/CurtisHouck/status/1884334226192970013
 
The right excoriated Biden over the price of eggs. I told them the prez has no power over egg prices. It is determined by farm problems. There were some bird flu problems that resulted in mega millions of birds being killed. Prices went up. Now it is happening during Trump and they will probably still blame Biden. They will certainly not blame Daffy Donald.
 
The right excoriated Biden over the price of eggs. I told them the prez has no power over egg prices. It is determined by farm problems. There were some bird flu problems that resulted in mega millions of birds being killed. Prices went up. Now it is happening during Trump and they will probably still blame Biden. They will certainly not blame Daffy Donald.


Egg prices are rising due to a combination of factors, primarily centered around the impact of avian influenza, also known as bird flu. Here's a detailed breakdown:

  1. Avian Influenza (Bird Flu): This has been one of the main drivers for the increase in egg prices. Since its emergence in 2022, the bird flu has led to the culling of millions of egg-laying hens across the United States to control the spread of the virus. This significant reduction in the egg-laying chicken population has directly resulted in a decrease in egg supply, pushing prices up. The virus has affected nearly every state, causing disruptions in egg production that have been difficult to recover from due to the time needed to rebuild flocks.
  2. Increased Demand: Despite the decrease in supply, demand for eggs has remained consistent or even increased, particularly around holiday seasons like Thanksgiving and Christmas when baking and cooking activities peak. This mismatch between supply and demand naturally leads to higher prices.
  3. Regulatory Changes: In several states, new laws requiring eggs to be from cage-free hens have come into effect, which can lead to higher production costs as cage-free systems can be more expensive to maintain. These laws coincide with bird flu outbreaks, further complicating supply issues, especially for cage-free egg producers who have been disproportionately affected by the flu.
  4. Inflation and Production Costs: General inflationary pressures increased during the Biden Administration, including higher costs for feed, fuel, and labor, which have also contributed to the rise in egg prices. Farmers are facing increased expenses in maintaining their flocks, which then reflects in the retail price of eggs.
  5. Market Dynamics and Retail Practices: Retailers have adjusted their pricing strategies in response to the tight supply situation. To avoid empty shelves, which could drive customers away, some supermarkets have increased prices to ensure they can cover the cost of eggs when supplies are uncertain.
  6. Supply Chain and Consolidation: The consolidation in the egg industry, where a few large companies control a significant portion of egg production, can lead to more drastic price swings when there are supply shocks like bird flu outbreaks. This concentration can make the supply more vulnerable to disruptions.


These factors collectively contribute to the rising prices of eggs, with the avian flu being the most significant immediate cause.



@Grok
 
He'd have to be a Progressive Leftist Democrat to do that as they love price controls on things...


To be fair, Nixon instituted price controls.

In August 1971, he announced a series of economic measures known as the "New Economic Policy," which included a 90-day freeze on wages, prices, and rents. This was followed by Phase II, which introduced more comprehensive wage and price controls through the establishment of the Cost of Living Council and the Price Commission. These measures were part of an attempt to combat inflation and stabilize the economy. However, the controls had mixed results and were eventually phased out.


@Grok
 
To be fair, Nixon instituted price controls.

In August 1971, he announced a series of economic measures known as the "New Economic Policy," which included a 90-day freeze on wages, prices, and rents. This was followed by Phase II, which introduced more comprehensive wage and price controls through the establishment of the Cost of Living Council and the Price Commission. These measures were part of an attempt to combat inflation and stabilize the economy. However, the controls had mixed results and were eventually phased out.


@Grok
They failed with Nixon too. In WW 2 FDR imposed them, that's the major reason we pay for routine healthcare today via insurance rather than cash.
 
In WW 2 FDR imposed them, that's the major reason we pay for routine healthcare today via insurance rather than cash.

The move from paying cash for healthcare to relying on insurance was catalyzed by his wartime policy. Employers offering health benefits as part of compensation packages became the norm, and this practice grew post-war. This shift fundamentally altered how Americans accessed and paid for healthcare, moving away from direct cash payments to a system where insurance companies or employers often footed the bill directly or through reimbursement.

Over time, this practice entrenched the employer-based health insurance system in the U.S., which has been a central feature of the American healthcare payment landscape. The reliance on insurance rather than direct payment by individuals has led to complex systems of billing, insurance negotiations, and a focus on managed care, which would not have developed in the same way without this historical shift. The unintended consequence was a significant rise in healthcare costs, influenced by the moral hazard of insurance, where consumers are less sensitive to the cost of services they do not directly pay for.


@Grok
 
Back
Top