[Editor Note: This is a long and important post by David Archibald at WUWT. I will be posting some of the graphics under the Wheat Tab above next week with my comments.]
WUWT Guest post by David Archibald
In May, WUWT kindly hosted a post with slides from a presentation I gave to the Institute of World Politics in Washington. Following are some further slides from a presentation I gave during the week to the triennial Nuffield Conference in Perth, Australia.
Grain prices fell 70% in constant dollar terms from the Korean War to the end of the 20th century. In 2008, energy-related inputs relative to total operating expenses were about 60% for both wheat and corn. A $200 per barrel oil price will raise operating costs by 60% from the 2008 level. A similar price response was experienced during the First Oil Shock of 1973. This time the price increase will be permanent.
via Watts Up With That?.