The video is from MSNBC's look into the suffering restaurant business. They reported that while the government stimulus checks helped profits rise by 7 percent in May, the $.40 gas increase hindered the good outlook by dropping sales to only 1.1% increase over a year ago. Paired with news of Starbucks closing over 200 stores, and other national chains such as Ruth's Chris and Ruby Tuesday announcing poor earnings, stock prices started to drop. This week many companies will report on their financial results, and the only winners are expected to be fast food chains.
The New York Times series The Food Chain looks at how the price of grain and other influences have affected the catfish industry of the south:
“It’s a dead business,” said John Dillard, who pioneered the commercial farming of catfish in the late 1960s. Last year Dillard & Company raised 11 million fish. Next year it will raise none. People can eat imported fish, Mr. Dillard said, just as they use imported oil.Finally, The Star Tribune took a look at grain elevators. Due to high commodity prices and tougher lending standards, many of the elevators are running out of money. Experts say that if too many of these elevators go out of business or sell to investment funds, it will create a national crisis of food supply and food prices:
"This is extremely serious," said Michael Swanson, an agricultural economist at Wells Fargo. "If elevators start having major problems, the whole food system could be affected."
