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PolitiFact - Corporate profits do not drive inflation, but inflation boosts company profitsThis year, as inflation hit 40-year highs, some lawmakers suggested that high corporate profits have been driving inflation. But economists say that’s backward: Inflation, for now, is boosting corporate profits. I don’t buy this. It’s just another way of saying that corporate officers are unwilling to bear any the the painful aspects of the economy. Material costs may be rising at the wholesale level, but as you point out, labor costs are not. Not holding the line on prices is a choice. Yeah, no. Price gouging is raising inflation. Wall Street doesn’t want to admit it. The more money you put into a system, the less each dollar is worth. This is so simple. It’s math. People who don’t understand this really are kinda slow.
Bron: PolitiFact - 🏆 17. / 71 Lees verder »