@TonyStark

"Profits" during #inflation are misleading. It shows "profit" against cheaper inputs.

If you have paid for your inputs (products, materials, etc) $1M before inflation, but during year you see that inputs are getting more and more expensive, you HAVE to rise prices in advace to prepare for upcomming higher invoice for next batch of inputs, because how are you gonna pay $1,2M next time if revenue was only $1,1M (inputs + margin for salaries and other expenses)?

#BasicEconomics

@Talkless That would make sense if large companies would just raise prices to cover higher costs. But they don’t. They’ve figured out they can raise prices much higher than they need to and people don’t have alternatives. #BasicMath and probably #BasicEconomics

I’m skilled at both.

@TonyStark > They’ve figured out they can raise prices much higher than they need to and people don’t have alternatives.

Could''t they raise prices more than they need before inflation?

Your BasicMath does not work where Humans Act. Decreasing price 5% you could actually earn MORE than 5%, because PEOPLE BUY WHERE'S CHEAPER (reduced price increases demand). Hence, there's incentives to increase prices as little as possible, even if you HAVE to.

Or you are talking ONLY about monopolies then?