3 ms·
The stealthiness is debatable. Suppose that it is pretty easy to look at money printing and figure out how much devaluation results (eg: prices will wind up 10
by frig 17y ago
The stealthiness is debatable.
Suppose that it is pretty easy to look at money printing and figure out how much devaluation results (eg: prices will wind up 10% later).
Even if that's true deciding when to raise your prices (and how much to raise them) has a lot more to do with supply (of your inputs) and demand (for your products) and also what your competitors are up to.
EG:
- you raise your price now, but your competitors raise it less; they take a lot of your business pretty easily
- your customers haven't gotten "their share" of the printed money yet (eg: wages haven't caught up with the devaluation, or they haven't raised prices proportionately yet, etc.) so you lose more by raising prices than you lose by leaving them as-is
...that kind of thing.