Robert ReichMar 10, 2023

Wages grew only 0.2% from Jan to Feb according to today’s jobs report.

Translation: Were not dealing with a “wage-price” spiral — wage gains pushing up prices.

We’re dealing with a “profit-price” spiral — corporate profits driving up prices.

Stop raising interest rates.

Show threadRobert ReichMar 10, 2023
The best remedy for the current inflation is a combination of a windfall profits tax, price controls, and antitrust enforcement to reduce the pricing power of big corporations — not higher interest rates that will slow the economy, cost jobs, and reduce wages even further.
Show threadJason Fink, MD, MPH, MHA
@rbreich 100% this. The main driver of inflation appears to be the record profits due to the ever-increasing prices of necessities. It's an ouroboros driven by wealthy corps & people.
Mar 10, 2023 at 7:06pmWeb