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Analysis shows how prices ripple through food chain

Issue Date: May 14, 2014

With the California drought and water shortages expected to affect prices for farm products and ultimately for food later this year, analysts expect increased attention on how changes in farm-level prices ripple out to the consumer level. A new study by the U.S. Department of Agriculture indicates that prices at the farm, wholesale and retail levels tend to move in the same direction—but to different degrees and at different times.

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