How Corporations are Using Inflation to Take Your Money

[multivita-man]

With respect:

From the article: "... corporations are raking in their highest profits in 70 years.."

From the link:

View attachment 67397546

I'm guessing that these are nominal profits, as opposed to real profits.

 

[OrphanSlug]

Yes, because cutting taxes and giving them ever more power has always proven to work so well…

Trump is suddenly obsessed with the ballooning federal deficit after his signature legislative victories caused it to explode

President Donald Trump is suddenly focused on the federal deficit, despite helping to add billions of dollars in new debt over the past two years.

www.businessinsider.com

By all means, post the same comment broken record style.

 

[Bullseye]

Probably a good idea

View attachment 67397545

Dems seem to gravitate towards violence, don't they?

 

[SammyCp]

I have always found it so odd that conservatives are so highly skeptical of unchecked government power, greed, and corruption, and yet so trusting and even defensive of unchecked corporate power, greed, and corruption.

Good luck changing that with a government that makes itself dependent of big business.
I'm afraid that boat already sailed.

 

[SammyCp]

Dems seem to gravitate towards violence, don't they?

Yeah, is that why the reps want all the guns they can get their hands on ?

 

[Bullseye]

Yeah, is that why the reps want all the guns they can get their hands on ?

What?

 

[Bullseye]

I have always found it so odd that conservatives are so highly skeptical of unchecked government power, greed, and corruption, and yet so trusting and even defensive of unchecked corporate power, greed, and corruption.

Maybe someone has been lying to you.

 

[watsup]

The new hill for modern liberalism to die on... forget economics 101, blame the rich guy and see if the umpteenth time 'tax the hell out of wealth' saves the midterms.

I take it that you have nothing but the standard right wing talking point. Do you have any actual disagreement with the OP? If so, let’s hear it.

 

[watsup]

I'm guessing that these are nominal profits, as opposed to real profits.

You would be guessing wrong, wouldn’t you?

 

[CaughtInThe]

i don't want to get attacked, but...


we've been making a killing.

 

[multivita-man]

You would be guessing wrong, wouldn’t you?

I could be, but show me the data. I have no problem changing my mind, admitting I'm wrong, whatever. But there's a lot of data getting kicked around and exploited by both sides of the political spectrum.

In the end, I think the answer is to consume less. Kill demand. Create demand destruction.

I know, I know "That'll cause a recession" -- maybe, in the short term. But I think household savings are such that we can recover quickly.

 

[Individual]

“Corporations are using inflation as an excuse to raise their prices, hurting workers and consumers while they enjoy record profits.

Prices are surging – but let’s be clear: corporations are not raising prices simply because of the increasing costs of supplies and labor. They could easily absorb these higher costs, but instead they are passing them on to consumers and even raising prices higher than those cost increases.

Corporations are getting away with this because they face little or no competition. If markets were competitive, companies would keep their prices down to prevent competitors from grabbing away customers. But in a market with only a few competitors able to coordinate prices, consumers have no real choice.

As a result, corporations are raking in their highest profits in 70 years.

Are they using these record profits to raise their workers’ real wages? No. They’re handing out meager wage increases to attract or keep workers with one hand, but effectively eliminating those wage increases by raising prices with the other.

Wages grew 5.6 percent over the past year — but prices rose 8.5 percent. That means, adjusted for inflation, workers actually got a 2.9 percent pay cut.”

Robert Reich

How Corporations are Using Inflation to Take Your Money Corporations are using inflation as an excuse to raise their prices, hurting workers and consumers while they enjoy record profits. Prices are...

robertreich.org

Why complain, take advantage of the opportunity and compete.

 

[grip]

There may be a lot of info being tossed around to make a point but all I have to do is look at my income stream vs my outflow to know something stinks in Denmark.

 

[Roger Duke]

“Corporations are using inflation as an excuse to raise their prices, hurting workers and consumers while they enjoy record profits.

Prices are surging – but let’s be clear: corporations are not raising prices simply because of the increasing costs of supplies and labor. They could easily absorb these higher costs, but instead they are passing them on to consumers and even raising prices higher than those cost increases.

Corporations are getting away with this because they face little or no competition. If markets were competitive, companies would keep their prices down to prevent competitors from grabbing away customers. But in a market with only a few competitors able to coordinate prices, consumers have no real choice.

As a result, corporations are raking in their highest profits in 70 years.

Are they using these record profits to raise their workers’ real wages? No. They’re handing out meager wage increases to attract or keep workers with one hand, but effectively eliminating those wage increases by raising prices with the other.

Wages grew 5.6 percent over the past year — but prices rose 8.5 percent. That means, adjusted for inflation, workers actually got a 2.9 percent pay cut.”

Robert Reich

How Corporations are Using Inflation to Take Your Money Corporations are using inflation as an excuse to raise their prices, hurting workers and consumers while they enjoy record profits. Prices are...

robertreich.org

I agree with you that corporations will use every trick in the book to make more profit and they are guilty in this case.
I hope you agree that Joe Biden is being tricky also. He keeps blaming corporations, Putin and covid but inflation is simple. If you make more dollars, each individual one is worth less. The cost of products hasn't gone up. The value of the dollar has gone down. And it is hurting the poor much more than the rich. Just once I want Biden to speak the truth and tell the American people that he has used the smoke and mirrors trick of money printing to create a new tax.....because that's exactly what inflation is.

 

[ataraxia]

I hope you agree that Joe Biden is being tricky also. He keeps blaming corporations, Putin and covid but inflation is simple. If you make more dollars, each individual one is worth less. The cost of products hasn't gone up. The value of the dollar has gone down. And it is hurting the poor much more than the rich. Just once I want Biden to speak the truth and tell the American people that he has used the smoke and mirrors trick of money printing to create a new tax.....because that's exactly what inflation is.

OK- your wish has been granted. Biden is not being tricky. He has admitted as much:

Biden concedes his COVID stimulus checks fueled spike in inflation

President Biden insisted inflation is at a three-decade high because “people have more money now” as a result of his $1.9 trillion COVID-19 stimulus legislation.

nypost.com

But now a few questions:

1) Don’t you think there were some difficult and legitimate considerations which were being navigated with the decision for stimulus spending? Or was it all because Biden is just stupid and mean?

$1.9T American Rescue Plan Saved U.S. From Economic Disaster: Yellen

Treasury Secretary Janet Yellen referred to the American Rescue Plan as "the biggest investment we've made since Eisenhower built the Interstate."

www.newsweek.com

https://www.cbpp.org/research/poverty-and-inequality/robust-covid-relief-achieved-historic-gains-against-poverty-and

2) why wasn’t the stimulus spending during the Trump administration “smoke and mirrors” with printing money? Were the problems and considerations facing the Biden administration fundamentally different?

3) Are you saying the current inflation is entirely because of this? Countries from Germany and Japan to Australia are also facing severe inflation. Is that also all because of Biden printing money?

 

[Roger Duke]

OK- your wish has been granted. Biden is not being tricky. He has admitted as much:

Biden concedes his COVID stimulus checks fueled spike in inflation

President Biden insisted inflation is at a three-decade high because “people have more money now” as a result of his $1.9 trillion COVID-19 stimulus legislation.

nypost.com

But now a few questions:

1) Don’t you think there were some difficult and legitimate considerations which were being navigated with the decision for stimulus spending? Or was it all because Biden is just stupid and mean?

$1.9T American Rescue Plan Saved U.S. From Economic Disaster: Yellen

Treasury Secretary Janet Yellen referred to the American Rescue Plan as "the biggest investment we've made since Eisenhower built the Interstate."

www.newsweek.com

https://www.cbpp.org/research/poverty-and-inequality/robust-covid-relief-achieved-historic-gains-against-poverty-and

2) why wasn’t the stimulus spending during the Trump administration “smoke and mirrors” with printing money? Were the problems and considerations facing the Biden administration fundamentally different?

3) Are you saying the current inflation is entirely because of this? Countries from Germany and Japan to Australia are also facing severe inflation. Is that also all because of Biden printing money?

1) yes.....no
2) it was....no
3) mostly....no, they printed more too.

 

[Greenbeard]

Corporations are getting away with this because they face little or no competition. If markets were competitive, companies would keep their prices down to prevent competitors from grabbing away customers. But in a market with only a few competitors able to coordinate prices, consumers have no real choice.

Corporations compete with every other business in their sector. 95% of new businesses fail in their first five yeats.

The decline of competition in so many of our markets over the last several decades is a hugely important and underdiscussed (until now, perhaps) story.

Amazon.com

www.amazon.com

 

[Roadvirus]

“Corporations are using inflation as an excuse to raise their prices, hurting workers and consumers while they enjoy record profits.

Prices are surging – but let’s be clear: corporations are not raising prices simply because of the increasing costs of supplies and labor. They could easily absorb these higher costs, but instead they are passing them on to consumers and even raising prices higher than those cost increases.

Corporations are getting away with this because they face little or no competition. If markets were competitive, companies would keep their prices down to prevent competitors from grabbing away customers. But in a market with only a few competitors able to coordinate prices, consumers have no real choice.

As a result, corporations are raking in their highest profits in 70 years.

Are they using these record profits to raise their workers’ real wages? No. They’re handing out meager wage increases to attract or keep workers with one hand, but effectively eliminating those wage increases by raising prices with the other.

Wages grew 5.6 percent over the past year — but prices rose 8.5 percent. That means, adjusted for inflation, workers actually got a 2.9 percent pay cut.”

Robert Reich

How Corporations are Using Inflation to Take Your Money Corporations are using inflation as an excuse to raise their prices, hurting workers and consumers while they enjoy record profits. Prices are...

robertreich.org

Berkeley hack Robert Reich.

Fail less.

 

[watsup]

Berkeley hack Robert Reich.

Fail less.

Psychological projection.
With your post, I note that not a single right-winger has attempted in the least to actually rebut or refute the article in the OP, but rather have relied on deflection and ad hom. My supposition is therefore that the article is correct in its conclusions.