Americans are being hit with a double whammy of price increases in both fuel and food. And in some parts of the world, these price spikes are more than troubling, they're life threatening.

The basic laws of supply and demand explain most of the recent price increases.That's especially true when the dramatic economic growth in China and India is considered — a billion or more people seeing improved lifestyles and now wanting a car to drive, and to eat higher-protein meals rather than just rice and vegetables.

Another factor that plays a role in the price Americans are paying for gasoline and food is the recent decline in the value of the U.S. dollar. Since oil and food commodities in the global market are priced in dollars, a weaker dollar means higher prices, since a dollar simply buys less oil or wheat or corn.

Government subsidies for corn-based ethanol fuel, which has pushed up corn prices and diverted some acreage, is believed to be another influence on rising food prices.

But another factor, the role of speculators, is one that is not well understood and deserves more attention and action by federal regulators.

Because of a mostly stagnant stock market and weak prices in the real estate market, there is a large pool of investment money seeking higher returns. While average investors might own a few stocks or maybe mutual fund shares, the big-money investors often get involved in higher-risk and higher-return arenas such as hedge funds, currency speculation and commodity futures.

A New York Times article on this issue said, "The biggest speculators and lenders in the commodities markets are some of the same giant hedge funds, commercial banks and brokerage houses that are caught in the stormy weather of the equity, housing and credit markets."

So, it looks like the same high-end investors who helped set up the current housing collapse and financial crisis have turned their attention to commodities like oil, corn, coffee and rice. The Wall Street wizards have shifted their attention to commodities markets in an attempt to reap investment returns that exceed what can be earned investing in the more conventional stock market.

Some factors that impact price — weather and increased global demand — are beyond control. But the impact of investors and speculators, estimated by the Energy Department to account for about 10 percent of the price of oil, is not beyond control. And there has been debate over how to minimize this group's impact on commodity prices, especially oil and food staples.

When it comes to oil, there is growing support for increasing margin requirements in commodity investing for those who are pure speculators. The legitimate users of the oil futures markets, such as refiners or even airlines, would be entitled to a discounted margin rate, but hedge funds and others only looking at oil futures as just another opportunity to make a profit would have to commit more of their own money to place big bets on future oil prices.

The Petroleum Marketers Association of America (PMAA) has addressed the issue of speculators in oil-related futures and says, "Our industry's management tool has been hijacked by investment banks and hedge funds that profit from price volatility." The trade group proposes giving the Commodities Futures Trading Commission the power to increase the margin requirements of commodity speculators.

Interestingly, such a provision is part of the current farm bill being debated in Congress.

If such a move could reduce volatility and rapid price increases in oil, then a similar effect could help reduce the dramatic price spikes in food staples that are causing such distress across the world, particularly among the poorest of the poor in Africa, India and elsewhere.

Some of the same forces — and lack of government regulation and oversight — that allowed the subprime mortgage and related financial crises to emerge are now at work in the commodity markets. It's time for Congress to act, and for the federal government to have a greater role in reducing commodity speculation that only leads to higher prices for consumers.