4 ms·
"If wages don't drive inflation" They do. "you can lower inflation, increase quality of life and create a more equitable society by putting pressure on busine
by Sankozi 3y ago
"If wages don't drive inflation"
They do.
"you can lower inflation, increase quality of life and create a more equitable society by putting pressure on business to pay their staff more, and have smaller profits"
If profits are high, then it means that prices are too high. To reduce inflation you need to lower prices, not to redistribute profits from (too) high prices.
- PaulRobinson 3y agoWage increases don't drive inflation. The data now clearly show this to be a myth. I think we can agree that profits being too high is a root cause of driving inflation, but disagree on how to address that. You want to redistribute profits into lower prices, I want to redistribute it to salaries and allow people to save more rather than borrow, because ultimately its borrowing money (which is in essence creating new money), that drives inflation.