An obvious strong correlation exists between unemployment and food stamp recipients (see graph below). Unemployment hit 6.5% in October and is predicted to increase in 2009. Additionally, despite the recent decline in commodity prices, increased food costs are also weighing heavily as CPI Food and Beverage jumped by 6.1% year-over-year in October.
As we enter the “New New Deal” era we expect that this data will be latched onto by members of the house and senate eager to advance their own policy agendas. Politicians love incendiary data, and what could be more compelling than 10% of the US population on food stamps?