Ammo Prices and Inflation

I bought this in the early 70s when I was working as a bagger at the local supermarket.

Today that same supermarket chain exists and for the same job they pay about 7 times as much. Interestingly 22 LR ammo is about 7 times as much "today" too, but in 2017- 2019 22LR could be purchased at almost half that amount. I bought a lot ot Federal American Eagle 9MM 124 and 147 for $7 a box of 50 after Federal 25 percent off rebate when buying by the case in 2017 - 2018. Those where great times to buy cheap and stack it deep, maybe the best of times ever. I don't think we will ever see prices like that again for ammo or primers but I hope I am wrong. There are so many variables working against ammo prices going down much further now and I am not sure they will abate any time soon if ever.

We were living in an ammo wonderland for several years just past. Imported Russian steel and cheap brass ammo from former soviet bloc countries held the price point low, American companies couldn't compete and I think lowered their prices also.

The current situation is more to do with hoarding, fear, and European supplies being delayed or cut off, etc., not necessarily inflation.

D.B. Cooper said:

So, using the real world comparison, ammo prices are about double what they should be when compared to the government's official numbers.

Click to expand...

Entirely correct. And, I factor in the bias in using that calculator. I use it much like I would a hand-make tardstick carved from bamboo cane. It's a measurement, not the measurement. Or, to keep this on topic, like measuring weight in boxes of 9x19. WWB box of 115gr FMJ will not be the same as 147gr, but we will have a similar sort of comparison.

illinoisburt said:

Picking random dates and specific cartridges you can find plenty of hunting ammuntion which inflation adjusted is cheaper today than at some point in time in the past.

Click to expand...

Precisely. In 1995, Midway would sell me WWB 5.56 55gr FMJ for $3.78 per box of 20.
BLS tells me $4 in 1995 is around $7.50 today; yesterday at the FW Gun Show, cheapest I saw those was $17. The current market is a bit crazy.

Speedo66 said:

We were living in an ammo wonderland for several years just past. Imported Russian steel and cheap brass ammo from former soviet bloc countries held the price point low, American companies couldn't compete and I think lowered their prices also.

Click to expand...

Also known as competition in a global marketplace. Competition is good for consumers.

Speedo66 said:

The current situation is more to do with hoarding, fear, and European supplies being delayed or cut off, etc., not necessarily inflation.

Click to expand...

With respect, I might suggest another way to express your statement:

hoarding = increased demand = demand pull inflation (a key cause of inflation)

fear = anticipation of future events (a key determinant of demand)

European supplies cutoff = decreased supply (another key cause of inflation)

You overlooked, but has already been stated here, the rising costs of raw materials, labor, and shipping, which = cost push inflation (yet another key cause of inflation.)

So, yes, actually, the current ammo market has everything to do with inflation.

D.B. Cooper said:

Also known as competition in a global marketplace. Competition is good for consumers.



With respect, I might suggest another way to express your statement:

hoarding = increased demand = demand pull inflation (a key cause of inflation)

fear = anticipation of future events (a key determinant of demand)

European supplies cutoff = decreased supply (another key cause of inflation)

You overlooked, but has already been stated here, the rising costs of raw materials, labor, and shipping, which = cost push inflation (yet another key cause of inflation.)

So, yes, actually, the current ammo market has everything to do with inflation.

Click to expand...

I always find it interesting that people want to blame someone else for inflation. It is supply and demand more than anything else. Then someone comments that they have twenty years of something stockpiled.... Part of the problem an only their own solution.

Brubz said:

Friend of mine insists that once you make the adjustment for inflation that ammo really isn't that much more expensive than it was say 10 years ago or 15 years ago.
I'm no expert on inflation what do you guys think?

Click to expand...

I'm no expert on inflation either, but what I know for sure is that things cost a lot more and I expend ammo at a much lower rate than I did before. When I can find some.

Factors other than inflation was at work in ammunition prices. Rifle ammunition prices doubled in 2-3 years.

There is a ceiling on ammo prices, in that if prices get too high, people will just stop buying. Ammo is a discretionary purchase, unlike necessities like food, gas, housing, etc. That is, demand for ammo is highly elastic.

Brubz said:

Depends on where you live for some people ammo may be a necessity

Click to expand...

True. I live in one of those places. But even for people I know who are living off-grid and subsistence lifeways, ammo may be necessary, but 10k rounds of 5.56 is not a necessity to provide food for their families. Subsequently, the notion that ammo is an elastic demand item, that, if the price gets too high, people will stop buying, is mostly true. We just haven't hit that price point yet.

Brubz said:

Friend of mine insists that once you make the adjustment for inflation that ammo really isn't that much more expensive than it was say 10 years ago or 15 years ago.
I'm no expert on inflation what do you guys think?

Click to expand...

I’d say his head is stuck in the sand somewhere.

Everything I can think of is more expensive than it was two years ago. If you have crap sitting around, now is the time to sell it. Might just get back some of that money of yours the .gov has been sending to folks to blow.

jmorris said:

I’d say his head is stuck in the sand somewhere.

Everything I can think of is more expensive than it was two years ago. If you have crap sitting around, now is the time to sell it. Might just get back some of that money of yours the .gov has been sending to folks to blow.

Click to expand...

Heck yeah. Especially vehicles and anything gun related, or, for that matter, outdoor sports related. I see side by side UTVs same year make and model as mine selling for what I paid for mine new. People are paying new prices for 5 year old machines. smh I was an outdoorsman show last month, the cheapest tow behind RV (not a pop-up) I saw was 50k. Crazy.