Rose Cottage Ltd

Okay, we looked at prices for various things like homes and cars in 1956 earlier this past week.

Here’s a look at what our lives looked like in 1964:

In the 8 year period from 1956 to 1964 there were increases, but they were relatively minor. I guess this is like the old story of the frog. If you put him in a pot of cool water and then turn on the heat, it takes him awhile to figure out that being in the pot is not a good thing.

Average house prices had increased 11.5%, but incomes were up 36.5%. A pound of coffee was the same price in 1964 as in 1956 and even a gallon of milk had only gone up 9 cents. You aren’t going to complain about spending 2 cents more for a stamp when your average person’s income was more than keeping up with basic costs of living. This is NOT the case now.

First we have a whole load of new costs – not the least of which is an ever-increasing tax and “fees” burden. I’d have to check in with my own personal history channel – aka – MOM, but monthly heating and cooling and food bills in the 60’s and 70’s were nowhere near what they are today. Even with a family of 8 to feed, I can guarantee my mother did not spend $200 a week for groceries – and she’d probably be paying a good bit more than that now.

It’s easy to say, “So what? Prices are going up.” Yeah, but why? And why so much? And what happened to that value factor of what you are buying? If a price has gone up 300% is it worth 300% more? Can you find anything about anything you purchase THAT much improved? I can’t.

It seems to me we are suffering a vicious circle – or vicious cycle where prices rise so wages rise so people can buy more so demand increases so prices rise so people need higher wages and on and on and on. I sometimes think a across-the-board freeze on EVERYTHING for a year or ten would be good. Sort of a chance to re-boot the system. It sounds ridiculous at first but I think it would work. Utility companies and communications providers could not keep bumping their monthly charges – a buck here, a buck there. People could actually PLAN and BUDGET since they would have firm figures to work with for a change.

About the only weapon consumers have against ridiculously rising prices is to stop or slow spending. If you don’t buy a $3.30 gallon of gas – and 5 million other people back off as well, trust me, fuel companies would get the message. The last time gas prices shot through the roof, people actually DID put some minor limits on driving and within one week, prices started to drop. Unfortunately, too much of the world has a short attention span and they didn’t realize how much power they really have. Instead, we’re the frog in the pot and the water is always at or just below the “painful” stage!

I’m conducting my own personal protest over prices with my mantra for 2014 being, “I’m not paying that for that.” Doesn’t matter what it is, if the price rises for no reasonable reason, I’m not buying. If the price has risen in a ridiculous manner for the past few years and I can do without, I will. Yes, my car needs gas to run – but it doesn’t mean I can’t plan my trips in a more efficient manner. Anyone out there who is a bit of a control freak as I am will take this as an exciting personal challenge.

And when you think about the state of this country and the US economy, what else CAN we control???