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[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]It’s actually forward thinking to look at price gouging and price fixing now. Sticky prices has always been a thing in economics. For example, orange crops fail in Florida due to a weather event. Prices spike because of a shortage in supply. People blame the storm not the grocery store or farmer. Next year, crops are fine but prices do not reduce? Why? [b]People got used to paying the higher prices.[/b] Farmers try to produce more oranges because they are profitable. Too many oranges so farmers drop prices to get grocery chains/distributors to buy their oranges. Distributors grab the lower prices but do not drop their prices. They pocket the profits. It is easier and more reliable for companies to make a higher profit margin on lower volume than lower profit on higher volume. As long as the competition doesn’t cut their prices to the consumer this model keeps working for them.

Supply/demand dynamics are broken because companies are not competing they are colluding.

[/quote]

This is what has been happening post COVID. It’s why many companies have been experiencing record profits. It’s unfettered capitalism at work. [/quote]

Average net profit margin in the US is approximately 7.71% across all industries. A 5% net profit margin is considered low, and 10% is considered a healthy profit margin.

How much profit do you think a company should make? Should Kamala limit profits?[/quote]

DP
I’m sure they’d want everything limited by her. As long as it’s her and not Trump. Me, I love me some capitalism. You couldn’t pay me to vote for her. [/quote]

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