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> Focusing on the corporate profitability kind of misses the forest for the trees - prices are higher because there is just less stuff. I don’t think the artic
by deepsquirrelnet 4y ago
> Focusing on the corporate profitability kind of misses the forest for the trees - prices are higher because there is just less stuff.
I don’t think the article missed that. Their major point was that the reduction in supply and increase in demand for goods (as opposed to services, which collapsed during the pandemic) gave them outsized power over setting prices.
> If this is so much more successful than suppressing wages, why not do this this whole time?
Because if there is not constraints in the supply chain, it’s not an option. When supply is able to meet or exceed demand, only illegal price fixing can do what you’re suggesting.