Why Are Eggs So Expensive Right Now?

If you’ve been to the grocery store lately, you’ve probably faced sticker shock on an unlikely product: eggs. Egg prices more than doubled From December 2021 to 2022, the average price of an egg in America was $4.25 per dozen. Some areas report that people pay $6-$7 per dozen eggs!

The upside to this is that it has lead to some really funny memes.

Okay I lol’d pic.twitter.com/OP3tvkuHqr

— Brad Polumbo 🇺🇸⚽️🏳️‍🌈 (@brad_polumbo) January 19, 2023

But it’s left many cash-strapped Americans wondering… why are eggs so expensive right now?

Part of this is just the overall inflation we’ve experienced, which has its roots in everything from global supply chain issues To the Federal Reserve’s loose monetary policy to excessive stimulus spending Under both the Trump administration and Biden administrations. However, the egg price hikes are too extreme for regular inflation to explain. There’s another reason—and some conspiracy theories, too.

Some Leftists, like Robert Reich, a socialist academic, argue that egg price rises are due to high egg prices. “corporate greed.”

Egg prices have risen 60% That’s absurd. A dozen eggs can cost as much as $6 to $7 per person.

Why? Corporate greed.

Cal-Maine, the largest egg producer in the US, is raking record profits — $198 million in its latest quarter.

That’s a 65% increase from a year ago.

— Robert Reich (@RBReich) January 20, 2023

This doesn’t make ANY sense. In December 2021, egg prices were $1.79 less than a year ago. Are corporations now more generous than ever? Are they suddenly more greedy?

It’s not. It’s an absurd conspiracy theory ultimately motivated by the blind ideological hatred these types have for business.

The High egg prices are not due to any real reasonAs is often the case, avian flu has its roots in basic economics, supply and demand. An avian flu epidemic has killed more than 43,000,000 egg-laying hens in the United States since February 2022. according to the US Department of Agriculture. That’s resulted in a 29% decrease in the US egg stock, aka the supply.

When a product becomes more scarce yet is still in high demand because it’s part of people’s routines, prices will rise. That’s how the market rations the product to those who want/need it most. It’s also how the market fixes the shortage over time. These high prices will motivate firms to do all they can to increase supply, which eventually will bring prices down.

Yes, the high egg prices are a problem right now. The good news is that the problem can be explained economically and it will soon get better if we let the market function.

Do you like this article? You can listen to the latest BASEDPolitics podcast here Apple Podcasts, SpotifyOr below: