this post was submitted on 26 Aug 2024
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[–] [email protected] 62 points 7 months ago (1 children)

If you pull at the chin you will find its just another mask covering a lack of corporate regulation and taxation.

[–] [email protected] 16 points 7 months ago (3 children)

Exactly. Just look at who controls almost all food production. It's just a few huge corporations. Even if they don't collude (and I'm in no way claiming they don't), it's easy to avoid competition, if there's just a few participants in the market.

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[–] [email protected] 45 points 7 months ago* (last edited 7 months ago) (3 children)

It’s laughable when some people talk about inflation as it’s a physical law like gravity. No, it’s a decision of the capital owners to protect and grow their profits at the expense of the workers.

[–] [email protected] 13 points 7 months ago* (last edited 7 months ago) (2 children)

This is a phenomenon that's literally thousands of years old. It's just basic economics. If there was good competition, there wouldn't be any price gauging. And that's the regulator's fault not the company's. Americans want their free market, they get their free market. So stop complaining.

[–] [email protected] 13 points 7 months ago

The market is anything but free when the price to entry is so high and the big wigs get bailed out constantly. Yes, I agree that farmers should be subsidized, but if we do that, we do not have a “free market” and we shouldn’t.

[–] [email protected] 5 points 7 months ago (1 children)

Sure, in the broad, capitalist sense, you can't blame the company.

But, as just a collection of people, you can absolutely blame them. Saying that a company has no fault in deciding to use aggressive, manipulative methods to pull money out of people no matter what feels on the level of saying 'I couldn't help myself, they should've stopped me from being terrible".

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[–] [email protected] 4 points 7 months ago

Inflation and our financial system were created by politicians.

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[–] [email protected] 38 points 7 months ago (1 children)

Corporate greed is definitely a factor. But that can only run rampant without strong competition. And it's the job of antitrust enforcement to make sure there is competition. Which they have been failing miserably at for decades.

[–] [email protected] 4 points 7 months ago

To toot the anticapitalist horn, antitrust and regulations and anything such is fundamentally in opposition to our economic system. We're constantly fighting the system, just to get a liveable life. We fought just to get 8 hours a week and some economists in the 19th century and early 20th century imagined we right now would be having 15 hour work weeks. Guess why we don't do 15 hours a week. Because the economic system, capitalism, benefits more the more we work. Capitalism would love to take us back to 12 hour days 6 days a week. Actually capitalism would want us working every single waking hour and also in our sleep if we could be productive in our sleep.

This is why I'm a socialist, because I don't see why we maintain a system we need to keep fighting with when we could work on replacing it with a better system that et don't need to fight with.

[–] [email protected] 23 points 7 months ago* (last edited 7 months ago) (1 children)

In support of OP, just copying and pasting a comment I made a few days ago for the benefit of anyone who doesn't think this is real or widespread.

The gig has been up about their "supply chain costs" excuse they started pulling during the pandemic for quite some time now.

Federal Trade Commission (FTC) Chair Lina Khan is pushing for an inquiry into the ongoing surge in grocery prices that started during the Covid-19 pandemic and that remains a hot topic in this year’s presidential election.

On Thursday, during a virtual public meeting hosted by the FTC and the Department of Justice, Khan said the probe would “shed light” on why prices and profits at grocery chains “remain so high even as costs appear to have come down.”

“We want to make sure that major businesses are not exploiting their power to inflate prices for American families at the grocery store,” she said.

Puh. They absolutely ARE and HAVE BEEN exploiting their power to inflate prices.

Between grocery prices, fast food shenanigans, and shrinkflation, anyone with little enough disposable income to be at all conscious of prices has known for a long while that these companies have picked the pandemic as their excuse to pull in as much money hand over fist as they possibly can, all while fighting tooth and nail against wage increases to even approach the overall rate of inflation across the same period of time.

From the first link in that para:

TheStreet reported that Medium French Fries went from $1.79 in 2019 to $4.19 in 2024, a 134.1 percent increase. A McChicken went from $1.29 to $3.89, a 201.6 percent hike.

The price of the beloved Big Mac increased 87.7 percent, from $3.99 to $7.49. An order of 10 McNuggets rose by 68.8 percent, from $4.49 to $7.58. Of the five popular products examined, cheeseburgers saw the largest price increase—going from $1 to $3.15, a 215 percent spike.

These increases exceed the general average for inflation calculated by the Bureau of Labor Statistics, which shows that prices went up by about 21.5 percent between the end of 2019 and March 2024.

From the second link in that para:

Few details were released about the change, but Wendy’s CEO Kirk Tanner said the new menus will let the fast food chain test “more enhanced features like dynamic pricing and day-part offerings along with AI-enabled menu changes and suggestive selling.”

“We expect our digital menu boards will drive immediate benefits to order accuracy, improve crew experience and sales growth from upselling and consistent merchandising execution,” Tanner said on the call.

Surge pricing could be a “turning point” in the industry, according to Jonathan Maze, editor-in-chief of trade publication Restaurant Business. “If Wendy’s idea works, it could get others to do something similar, and I wouldn’t be surprised to see another chain or two test the idea themselves, given what Wendy’s is doing.”

Fuck you Wendy's. You've been a favorite since I was 12, and I tried to ignore your decreasing quality in recent years. You are dead to me now. (Yes, I know they rolled the idea back after they heard what the announcement did to the pitchfork futures market.)

From the third link in that para:

Frito-Lay shrank bags of some of its Dorito's from 9.75 ounces to 9.25 ounces. Bags in both of these sizes, as well as some 9.5-ounce bags, are currently for sale at Target for the same price. "We took just a little bit out of the bag so we can give you the same price and you can keep enjoying your chips," a Frito-Lay spokesperson told Quartz.

Fuck you Frito-Lay, what kind of Orwellian doublethink is this?

[–] [email protected] 6 points 7 months ago

Surge pricing is such a fucked up term. How about lunch/dinner time price gouging? That's what this is.

Oh people buy fast food for lunch and/or dinner? Then that's when we'll raise the prices! Nothing fucked up to see here folks!

[–] [email protected] 20 points 7 months ago (8 children)

I think the bigger issue is the Federal Reserve.

[–] [email protected] 19 points 7 months ago

Not really. Not with the COVID inflation. Over the last few decades sure. But rent and food doubling was corporate greed. We have them on their investor calls bragging about it.

[–] [email protected] 10 points 7 months ago (1 children)

It seems there's plenty of culpability to go around.

[–] [email protected] 14 points 7 months ago (1 children)

True, it goes back to what you are following.

It reminds me of:

"You follow drugs, you get drug addicts and drug dealers. But you start to follow the money, and you don't know where the fuck it's gonna take you."--Det. Lester Freamon

[–] [email protected] 7 points 7 months ago

Absolutely! Thanks for the giggle, dear friend.

[–] [email protected] 9 points 7 months ago (2 children)

I don't think the federal reserve is active outside the US. Also printing money was the cause of inflation when gold was backing the money, now the worth of money is only governed by what you can buy with it. Like you can double the amount in circulation but if no one raises prices there would be no inflation.

[–] [email protected] 8 points 7 months ago (1 children)

FED policies affect every currency on this planet as they are all backed by the usd.. the consumer price index was designed to under report inflation. The basket would be CHEAPER every year because of improvements in production if there was no inflation.

[–] [email protected] 8 points 7 months ago (2 children)

There are a handful of currencies backed by USD but most are not. I only know of Belize dollar, the Hong Kong dollar and the Dirham as backed by USD, as far as I know those are the only ones.

Do you think stores look at the inflation and raise their prices accordingly or do they raise their prices and inflation is calculated based on that? One of those is correct.

[–] [email protected] 4 points 7 months ago (5 children)

Stores don’t look at inflation, inflation makes the stuff they sell more expensive to buy, so they have to sell it for more money or make losses.

Fed policies like interest rates directly affect almost all countries because they have USD debt.

[–] [email protected] 5 points 7 months ago (4 children)

Stores don’t look at inflation, inflation makes the stuff they sell more expensive to buy, so they have to sell it for more money or make losses.

Oh wow, stores must suddenly be buying their materials much cheaper recently when they realized they need to charge less, right?

Or did they just realize the market won't bear what they're charging, so they're lowing their prices to get more business and lower the margin on their sales?

Hint, it's the second one. Because stores are raising prices to increase profits, not to make up for increased ingredient costs.

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[–] [email protected] 8 points 7 months ago (4 children)

I think the bigger issue is the Federal Reserve

And you would be wrong and using a far right talking point.

The federal reserve has no say on how much corporations charge for their goods and what they consider acceptable profit margins.

An oversupply of money CAN cause a certain amount of inflation, but it's almost nothing compared to corporate profiteering.

[–] [email protected] 5 points 7 months ago (1 children)

lol. The Fed devalues your money, of course that leads to rising prices.

[–] [email protected] 8 points 7 months ago (1 children)

Nowhere near as much as price gouging does. The people selling wares decide the price of them regardless of the money supply, which is mostly meaningless in a predominantly digital economy.

The fed affects the interest rate, which has an indirect effect on prices, but the ones actually deciding what to charge for food, rent, or utilities are the final arbiters artificially increasing prices higher than they need to in order to maximize profits.

[–] [email protected] 5 points 7 months ago (1 children)

Which company do you think is price gouging?

[–] [email protected] 6 points 7 months ago* (last edited 7 months ago) (9 children)

Just off the top of my head, some major ones are Walmart, Tyson, Perdue, At&T, Verizon, PG&E and there's many, many more.

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[–] [email protected] 4 points 7 months ago

Yeah, you would, wouldn't you.

[–] [email protected] 3 points 7 months ago (1 children)

Can't zoom in on an animated GIF. There's no reason for that to be animated.

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[–] [email protected] 18 points 7 months ago* (last edited 7 months ago) (1 children)

I had my economics teacher tell me that it's not grocery stores fault because they just need to make a profit 🥺

I had another teacher tell me that raising minimum wage would cause inflation to go up... as if people aren't literally starving in the streets right now

I don't understand why teachers making 0.0006771% of Jeff Bezos's salary care so much about them

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[–] [email protected] 15 points 7 months ago (2 children)

Fucking raise the minimum wage. The problem is that prices are rising but wages are remaining stagnant.

[–] [email protected] 30 points 7 months ago (1 children)

Minimum wage should have been tied automatically to inflation rates. Even if it gets increased, 30 years from now we'll be in the exact same boat.

[–] [email protected] 8 points 7 months ago* (last edited 7 months ago) (1 children)

Solid take.

Now, if they'd be honest about inflation rates..

[–] [email protected] 6 points 7 months ago (2 children)

Yeah, the actual calculation still needs to be done right, but having it as an 'automated' process will help reduce this sort of bullshit:

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[–] [email protected] 5 points 7 months ago (2 children)

Without a way too keep them from just raising costs to match, raising min wage has a limited effect. Taxes on profit are more effective. Reinvestment or raises should be deductable, tax the everliving fuck out of gross profit for the rest.

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[–] [email protected] 15 points 7 months ago (3 children)

It's so hard to get people (MAGAs especially) to understand that this is being done to us. It's not Biden's policies but corporate greed, you can't have record profits and blame inflation for rising prices and stagnant wages.

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[–] [email protected] 14 points 7 months ago (2 children)

A lot of things don’t even go up at the inflation rate. Look at the car prices and housing.

[–] [email protected] 6 points 7 months ago (2 children)

Car prices: supply is constrained because of supply chain issues where often just a small handful of the myriad of chips in the car are unavailable.

Housing: supply is artificially constrained by various laws, often of the NIMBY type.

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[–] [email protected] 13 points 7 months ago (1 children)

Always has been. Saying "I-its not inflation! It's... corporate greed!" was always a political decision and nothing more

[–] [email protected] 4 points 7 months ago (2 children)

did you mean for the quote to be the other way around?

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[–] [email protected] 8 points 7 months ago

Whether it's meat or rents - yep, fuckers gouging their customers because the opportunity presented itself.

[–] [email protected] 5 points 7 months ago* (last edited 7 months ago) (2 children)

This meme is propaganda. The primary cause of inflation is out of control government spending. In the wise words of Milton Friedman, "Every budget is balanced... If you want to know the real government budget look at inflation."

[–] [email protected] 14 points 7 months ago (1 children)
[–] [email protected] 4 points 7 months ago* (last edited 7 months ago) (1 children)

Sure. The 20% inflation since 2020 is why food prices have doubled.

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[–] [email protected] 4 points 7 months ago
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