Trend: Demand for commodities is the primary driver of inflation.
... yet another category of goods that have been going up in price: construction materials.
Ken Simonson, chief economist for The Associated General Contractors of America, issued an analysis this week that compared construction costs over a four-year period from 2001 to 2005 . . .
By September of 2004, steel and copper construction products had soared as much as 62 percent higher than a year earlier.
Overall, construction material cost climbed about 11 percent in the 12 months ended this past September.
What's on the construction list price increases?
Gypsum products were up 21 percent;
asphalt had climbed 12 percent;
insulation materials rose 11 percent;
lumber up 12 percent;
steel and copper construction products up 62 percent;
PVC plastic up "almost" 100%;
gypsum -- double-digit increase;
concrete prices: plus seven percent from 9/03 - 9/04; more than 12% 9/04 - 9/05;
Diesel fuel up more than 50 percent;
Cement: rising prices and spot shortages;