Reply to Price gouging as her first policy announcement? Really?

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[quote=Anonymous][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.

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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]

well then consumers adjust and substitute - also capitalism. I stopped using door dash and eating out because it’s too expensive. I cook at home but opt for Amazon Fresh and TJ because they are cheaper. eventually the market will adjust to this too. [/quote]

Collusion at the processing and distribution layer is not capitalism, it’s price fixing. [/quote]

“Price fixing” is the reason that grocery stores operate on an average of a 1.6% profit margin and the average US corporation/business operates on an average 7.7% profit margin?

Wow let’s pull the emergency brake, this is unacceptable.

How pray tell does fed gov have the credibility to regulate private sector companies?

As of August 16, 2024, the US federal government's national debt is $35.16 trillion, which is the total amount of money it has borrowed to cover expenses over time. This debt is made up of debt owed to the public and debt owed to the government itself. As of the end of 2023, 79% of the debt was owed to investors, and 21% was owed to other parts of the government. The Federal Reserve is the largest holder of federal debt.

The federal government borrows money from the public to meet its borrowing needs by issuing Treasury securities, such as bills, notes, and bonds. The debt increases when the government borrows more funds to pay for a deficit. Other factors that can affect the debt include changes in the Treasury's operating cash account and federal student loans.

^^ these are the people dcum and democrats want to investigate and punish food producers and grocery stores who operate on 1.6% and 7.7% profit margins respectively.

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