7 ms·

Housing market is still a shitshow, and greedflation is still unchecked by the "invisible hand of the free market".

by lagt_t 3y ago

deleted 3y ago
[deleted]
nradov 3y ago
I am skeptical whether "greedflation" is a real phenomenon. Corporations were no less greedy a few years ago. Recent high inflation rates are more likely connected to monetary policy.
- deleted 3y ago
  [deleted]
- jmcgough 3y ago
  Corporations have record profits right now. When a handful raised prices, every other company raised prices in response, well above what they needed to pay for increased costs. https://finance.yahoo.com/news/greedflation-caused-more-half-last-100000899.html https://finance.yahoo.com/news/greedflation-caused-more-half...
  - nradov 2y ago
    Costs have almost nothing to do with pricing. Companies will charge as much as they can. Always have, always will.
  - deleted 2y ago
    [deleted]
- toomuchtodo 3y ago
  https://www.ft.com/content/6cf2b93a-01fa-4f79-98bb-037ee61eda09 https://www.ft.com/content/6cf2b93a-01fa-4f79-98bb-037ee61ed... | https://archive.today/0uFTV https://archive.today/0uFTV https://www.theguardian.com/business/2023/dec/07/greedflation-corporate-profiteering-boosted-global-prices-study https://www.theguardian.com/business/2023/dec/07/greedflatio...
- mslt 3y ago
  Not sure if you have insight to supply chain costs and how they inflated cost during the pandemic, but me and most I know who do understand the truth behind the greedflation dynamic
- harimau777 3y ago
  It's possible that the corporations are no more greedy, they are just more able to get away with charging higher markup.
  - mr_toad 3y ago
    Because of easy money.
    - toomuchtodo 3y ago
      No; prices went up fast but there is nothing to drive them back down (ie competiton) even with inputs costs having declined due to monetary policy. Ergo, inflation was used as cover to hold prices high long after their cause had subsided. https://robertreich.substack.com/p/corporate-soaring-profits-are-from https://robertreich.substack.com/p/corporate-soaring-profits...
      - mr_toad 2y ago
        Even with no competition you can’t keep putting prices up unless your customers have the means to pay. Competition didn’t suddenly change, it was the means to pay that did.
        toomuchtodo 2y ago
        Customers have the means to pay because of low unemployment. It is what is keeping consumer spending going.

Housing market is still a shitshow, and greedflation is still unchecked by the "invisible hand of the free market".

by lagt_t 3y ago

Housing market is still a shitshow, and greedflation is still unchecked by the "invisible hand of the free market".

deleted 3y ago

[deleted]

nradov 3y ago

I am skeptical whether "greedflation" is a real phenomenon. Corporations were no less greedy a few years ago. Recent high inflation rates are more likely connected to monetary policy.

deleted 3y ago
[deleted]
jmcgough 3y ago
Corporations have record profits right now. When a handful raised prices, every other company raised prices in response, well above what they needed to pay for increased costs. https://finance.yahoo.com/news/greedflation-caused-more-half-last-100000899.html https://finance.yahoo.com/news/greedflation-caused-more-half...
- nradov 2y ago
  Costs have almost nothing to do with pricing. Companies will charge as much as they can. Always have, always will.
- deleted 2y ago
  [deleted]
toomuchtodo 3y ago
https://www.ft.com/content/6cf2b93a-01fa-4f79-98bb-037ee61eda09 https://www.ft.com/content/6cf2b93a-01fa-4f79-98bb-037ee61ed... | https://archive.today/0uFTV https://archive.today/0uFTV https://www.theguardian.com/business/2023/dec/07/greedflation-corporate-profiteering-boosted-global-prices-study https://www.theguardian.com/business/2023/dec/07/greedflatio...
mslt 3y ago
Not sure if you have insight to supply chain costs and how they inflated cost during the pandemic, but me and most I know who do understand the truth behind the greedflation dynamic
harimau777 3y ago
It's possible that the corporations are no more greedy, they are just more able to get away with charging higher markup.
- mr_toad 3y ago
  Because of easy money.
  - toomuchtodo 3y ago
    No; prices went up fast but there is nothing to drive them back down (ie competiton) even with inputs costs having declined due to monetary policy. Ergo, inflation was used as cover to hold prices high long after their cause had subsided. https://robertreich.substack.com/p/corporate-soaring-profits-are-from https://robertreich.substack.com/p/corporate-soaring-profits...
    - mr_toad 2y ago
      Even with no competition you can’t keep putting prices up unless your customers have the means to pay. Competition didn’t suddenly change, it was the means to pay that did.
      - toomuchtodo 2y ago
        Customers have the means to pay because of low unemployment. It is what is keeping consumer spending going.