2 ms·
In this theory, are salaries part of the profit or not? Cause they are not in the accounting scheme of things
by ycombinatornews 3y ago
In this theory, are salaries part of the profit or not? Cause they are not in the accounting scheme of things
- danaris 3y agoI mean, that's part of the absurdity of this all—if the companies raised exec salaries enough to erase the extra profit, it would be much harder to draw a clear line to this phenomenon. But they can't be satisfied with that. They need the stock price to rise, so they need to be able to show record profits. So they boast loudly of their record profits to their investors, while crying crocodile tears to the media about how terrible the supply line problems are, and how the government has handed so much money to the American people in the COVID stimulus (see, $2000/household 3 years ago can totally raise prices across the board for years on end), so these must be the source of all the price increases, don't you see?
- NoMoreNicksLeft 3y agoI was under the impression that except for a few truly extraordinary industrial sectors (or even just one or two companies within them), profit margins are razor thin. So if their normal 2.1% profit margin goes up to 2.104%, isn't that "record profits"? It's not a very interesting story, and won't much rouse the rabble on reddit. I'm not sure that they have to be able to show "record profits" so much as they just have to spin it that way.