4 ms·
Causes of price increases: 1. Energy costs 2. Labor Costs 3. Artificial supply limiting(Intellectual property, property rights, licensing, taxes etc.) 4. Natur
by sharemywin 4y ago
Causes of price increases:
1. Energy costs
2. Labor Costs
3. Artificial supply limiting(Intellectual property, property rights, licensing, taxes etc.)
4. Natural Resources costs - Recovery (Either Mining or recycling)
Increases in demand:
1. Wages
2. Government(Federal, State Local)
3. Charity
4. Exports
The current process is to cut interest rates which forces cuts and commissions in financial institutions and changes entrepreneurial and investor behavior from investment to wealth preservation. which leads to cutbacks in spending, wage reduction, and layoffs which leads to less demand in common goods once it reaches the middle class and poor which spend most of their money on those types of items.
which also leads to cuts in production as is the case in the current oil production