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I'm not unconvinced by the idea that businesses in the US dulled inflation by pulling forward stock purchases and stockpiling goods. But 9 months worth of goods
by 0xy 9mo ago
I'm not unconvinced by the idea that businesses in the US dulled inflation by pulling forward stock purchases and stockpiling goods. But 9 months worth of goods? SMBs can't afford to do that. Large enterprises don't have the warehousing capacity to do that.
Could you imagine Amazon increasing their stock on hand by 30%? Maybe. Could you imagine them quadrupling their stock on hand? Seems unlikely.
Impacts should've shown up by now, most of the stockpiled goods would've been sold down.
- Glyptodon 9mo agoI don't know, it seems like there has been a fair amount of reporting about closing or struggling SMBs and farms, and there's also the economy changing to make more and more of the spending come from upper income, which will be less price sensitive and the question of whether various things could have gone down in price otherwise. The popular zeitgeist seems to reject the inflation numbers because of perceiving it to be higher, too. I do agree it's probably not inventory, but the frequent changes to the policies may also be part of it too.
- jacquesm 9mo agoAnd then there is the bit where the reporting agencies can no longer be trusted.