6 ms·
1) additional profit from raising prices won't go towards the bottom line, so the incentive to raise price is not as attractive 2) if a company is hell bent on
by jgust 4y ago
1) additional profit from raising prices won't go towards the bottom line, so the incentive to raise price is not as attractive
2) if a company is hell bent on raising prices to capture profit, there is still an incentive to reduce tax liability by re-investing those profits into the company (increasing headcount would benefit the non-ruling class)