Multinationals in particular hiked prices far above rise in costs to deliver an outsize impact on cost of living crisis, report concludes

  • girlfreddy
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    11 months ago

    We all knew that. Too bad the Federal Reserve and Bank of Canada ignored every sign pointing to greedy companies causing inflation and instead nailed us to the wall.

    • umbrella@lemmy.ml
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      11 months ago

      thats by design, its always on us.

      capitalize the gains, socialize the losses.

    • Drusas@kbin.social
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      11 months ago

      They exist to support the rich. Low unemployment rates hurt the rich, so they retaliate by raising prices, making people poorer and more desperate and less able to dictate the conditions of their employment. And here we are.

    • sadreality@kbin.social
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      11 months ago

      Tbh central banks set rates it is not their job to enforce law.

      The state should be doing that. In many markets such beef or egg there was misconduct related to pricing but there is no enforcement.

      • Drusas@kbin.social
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        11 months ago

        Central banks set interest rates with the sole intention of protecting the upper class at the expense of the lower classes (which is to say, most people). They are part of the problem.

        • sadreality@kbin.social
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          11 months ago

          No doubt but they are fighting inflation with text book method. Their corporate buddies caused it by price gouging but nobody will admit it and the executive will not punish criminals.

          I don’t understand why executive which has all this power is not being held accountable for non actions which enable these crisis.

    • Lyrl@lemm.ee
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      11 months ago

      I work for a manufacturing company, and during the demand boom our customers wanted way more product than our facilities are physically capable of producing. I suppose sales could have complexified and ratcheted up our existing rationing process (have to have one at some level when it takes months to produce an order), but raising prices made demand go down so it matched our actual ability to make stuff.

      Given the wild increase in demand beyond the infrastructure capabilities, the only alternative to inflation was rationing, and I do not have enthusiasm for ration lines.

      • jasory@programming.dev
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        11 months ago

        Price hikes in a manufacturing context are simply rationing with extra profits, atleast until you build out greater capacity.