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This doesn’t make any sense – the government spent money in no small part due to enormous demand from businesses for assistance, company profit margins are publ
by acdha 3y ago
This doesn’t make any sense – the government spent money in no small part due to enormous demand from businesses for assistance, company profit margins are public data, and your vague “they” is conflating the government, academics, and journalists as a single group coordinating for political reasons despite obvious differences between and within those groups. Study after study has found that profit taking is a considerable cost driver:
https://finance.yahoo.com/news/greedflation-caused-more-half-last-100000899.html https://finance.yahoo.com/news/greedflation-caused-more-half...
- ungreased0675 3y agoWhat specifically doesn’t make sense? A bigger pool of money chasing the same amount of resources equals higher prices (and profits).
- acdha 3y agoThe simplistic framing and acting like this is some poor companies being beat up by a poorly defined conspiracy of everyone else trying to skew an election. Reality is just so much more complicated, and I’d start with the thought that perhaps this is getting attention now because a lot of people are feeling financial pressure and that is triggering interest from many different parties.
- paulmd 3y agoThere’s a lot more that goes into velocity of money/demand for money than those 2 singular factors.
- leereeves 3y agoOne thing is clear: whoever wrote the headline in your link cherry-picked a time period that overstates the effect of "greedflation". > Corporate profits drove 53% of inflation during the second and third quarters of 2023 and more than one-third since the start of the pandemic IOW, even according to that report, roughly two-thirds of recent inflation was not due to greedflation.
- acdha 3y agoNote the “last year” in the headline.