Gonna Have To Raise Rates More

Another thing which will cause prices to rise but which isn't "inflation" in the Milton Friedman sense ("Inflation is always and everywhere a monetary phenomenon, in the sense that it is and can be produced only by a more rapid increase in the quantity of money than in output.") But it's Friedman's universe, so the response will be to keep raising interest rates and reducing money for investment which could help with all such causes of cost increases.

From Iowa to Ohio, nearly a third of the region is in drought, up from a quarter a week earlier, according to Thursday’s update from the US Drought Monitor. Parched conditions have also jumped in states bordering the Mississippi, like Arkansas, Tennessee, Mississippi and Louisiana.

It all points to little relief for the transportation snafus seen in recent weeks. The dwindling water levels have led to barge groundings, forcing blockages and days-long delays on the Mississippi and Ohio rivers, which are among the most important routes for US heavy industry and agricultural shipments.