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We are doing double or triple ordering of goods not because of end-customer demand but because we fear our suppliers are not able to deliver. Our competitors a
by throwaway4good 5y ago
We are doing double or triple ordering of goods not because of end-customer demand but because we fear our suppliers are not able to deliver.
Our competitors are doing the same.
At aggregate it may look like a “demand shock” due to too loose monetary policies but maybe it is not really what is going on.
- simonh 5y agoThat supposes that everyone, in all sectors globally has the resources to double or triple order. The money supply to do that has to come from somewhere though. If you are right then this is a temporary shock and will subside quickly. If the article is right then this is a systemic problem that will persist for years to come. I suppose we'll see. One indicator to watch is services demand because I wouldn't have thought that would suffer from a 'grab the toilet paper while you can' effect.