According to Katie Porter, record corporate profits are currently a historically outsized percentage of the contributing components of inflation when compared to past instances of high inflation.
Corporate profits are a good thing. Record profits driving high inflation are not. One can argue the ongoing corporate mergers of the last twenty years have reduced competition and made it far easier for corporations to drive these kinds of price increases.
How is Katie Porter wrong?
You are quoting Katie Porter? Really?
The single biggest issue regarding inflation is the cost to the consumer. This process starts with raw materials and the cost to manufacture and move the products sold.
If a product costs 5 cents to make and 2 cents to transport to the consumer, and the distributor charges one cent profit, the consumer pays 8 cents.
The company profit margins must be maintained to maintain the company.
When the consumer is shut out of the market (pandemic), the result upon reopening stores is consumer purchasing.
When the raw cost of goods go up and the cost to transport the goods goes up, the cost to the consumer goes up.
The company margins must maintain levels to keep making the product and keep people employed.
When the consumer buys more of the product, company profits are up.
The root cause of inflation is the cost to make and transport goods.
Now, I do find it vulgar that Pfizer advertises on TV to get boosters using their product. The vaccine lie cost us a fortune and many profited greatly from it.
Katie Porter is a socialist. Of course she will attack the corporations. She would rather have gov controlled businesses and provide to the working class.
I don’t really care what a socialist politician from California has to say. She is the furthest thing from my free market America than I can think of.
She’s a liberal socialist politician. Am I suppose to be intimidated by her rhetoric?
Get the gov out of the way. Stop manipulating the energy market.
Have a good day will. But I just can’t even remotely agree.