This ditectly addresses your questions.Are there really significantly fewer competitors now than say 10 years ago? If so, in what sectors? We certainly have a lot of grocery store companies, chains (Publix, Kroger, Walmart are very active here, and there are smaller chains like Piggly Wiggly and H-Mart) as well as independent large (Your DeKalb Farmers' Market in Decatur for example) and small grocery stores (e.g. David's Produce on LaVista for vegetables or Spotted Trotter on Moreland for meat or Kathleen's Catch on Clairmont (and two other locations) for fish). And yet, groceries exhibit a great deal of inflation. There are also a number of car companies, domestic as well as foreign, but cars have become expensive as fuck. So we know that lack of competition can't be the only, or even dominant reason for the level of inflation we are seeing. Fiscal and monetary policies, as well as shocks like COVID and Russia's invasion of Ukraine, remain the primary drivers of inflation as far as I can see.Big business was not necessarily less greedy but it was less concentrated. In many sectors, there are significantly fewer domestic competitors and less competition tends to give business more freedom with pricing. I suspect the effects of supply chain problems along with expansionary policy were exacerbated by less domestic competition in the US markets.
And in sectors with little competition, proper government policy would be to reduce any artificial barriers to entry for competitors. Note that often, barriers to entry are not artificial. It takes a lot of capital to create a car company (which is why Tesla was such a big deal), or to build a refinery. But government could make it easier by removing onerous regulation that make things more difficult than necessary. What does Katie Porter suggest we do to address competition?
And by the way...
The Kroger Co. Family of Stores includes:
- Baker’s
- City Market
- Dillons
- Food 4 Less
- Foods Co
- Fred Meyer
- Fry’s
- Gerbes
- Jay C Food Store
- King Soopers
- Kroger
- Mariano’s
- Metro Market
- Pay-Less Super Markets
- Pick’n Save
- QFC
- Ralphs
- Ruler
- Smith’s Food and Drug
Are there really significantly fewer competitors now than say 10 years ago? If so, in what sectors? We certainly have a lot of grocery store companies, chains (Publix, Kroger, Walmart are very active here, and there are smaller chains like Piggly Wiggly and H-Mart) as well as independent large (Your DeKalb Farmers' Market in Decatur for example) and small grocery stores (e.g. David's Produce on LaVista for vegetables or Spotted Trotter on Moreland for meat or Kathleen's Catch on Clairmont (and two other locations) for fish). And yet, groceries exhibit a great deal of inflation.Big business was not necessarily less greedy but it was less concentrated. In many sectors, there are significantly fewer domestic competitors and less competition tends to give business more freedom with pricing. I suspect the effects of supply chain problems along with expansionary policy were exacerbated by less domestic competition in the US markets.
This ditectly addresses your questions.Are there really significantly fewer competitors now than say 10 years ago? If so, in what sectors? We certainly have a lot of grocery store companies, chains (Publix, Kroger, Walmart are very active here, and there are smaller chains like Piggly Wiggly and H-Mart) as well as independent large (Your DeKalb Farmers' Market in Decatur for example) and small grocery stores (e.g. David's Produce on LaVista for vegetables or Spotted Trotter on Moreland for meat or Kathleen's Catch on Clairmont (and two other locations) for fish). And yet, groceries exhibit a great deal of inflation. There are also a number of car companies, domestic as well as foreign, but cars have become expensive as fuck. So we know that lack of competition can't be the only, or even dominant reason for the level of inflation we are seeing. Fiscal and monetary policies, as well as shocks like COVID and Russia's invasion of Ukraine, remain the primary drivers of inflation as far as I can see.Big business was not necessarily less greedy but it was less concentrated. In many sectors, there are significantly fewer domestic competitors and less competition tends to give business more freedom with pricing. I suspect the effects of supply chain problems along with expansionary policy were exacerbated by less domestic competition in the US markets.
And in sectors with little competition, proper government policy would be to reduce any artificial barriers to entry for competitors. Note that often, barriers to entry are not artificial. It takes a lot of capital to create a car company (which is why Tesla was such a big deal), or to build a refinery. But government could make it easier by removing onerous regulation that make things more difficult than necessary. What does Katie Porter suggest we do to address competition?
And by the way...
The Kroger Co. Family of Stores includes:
- Baker’s
- City Market
- Dillons
- Food 4 Less
- Foods Co
- Fred Meyer
- Fry’s
- Gerbes
- Jay C Food Store
- King Soopers
- Kroger
- Mariano’s
- Metro Market
- Pay-Less Super Markets
- Pick’n Save
- QFC
- Ralphs
- Ruler
- Smith’s Food and Drug
Most economists that I've read believe that the extra Biden spending is contributing about 2 to 3% of the inflation hitting us today. No bueno. However, what bothers me is that dems are taking all the blame. There is an incredible amount of stimulus in the economy that republicans started: massive tax cuts, PPP, massive government spending under Trump, and etc. I for one am willing to give both sides a pass because covid caused massive uncertainties; and at the least, the spending stopped deflation dead in its tracks. Inflation is far better than deflation. Yea, inflation is causing stress. But at least we all have jobs. In deflationary times, products may be 2% cheaper, but no one has a job.That certainly plays a role. As does COVID spending, some of which was unnecessary or kept on for too long. As did the monetary policies of very low interest rates for most of the time since 2008 recession.Russia cutoff Europe from oil and natural gas. US retaliated by embargoing Russian products, monetary access, oil, and gas in defense of both Ukraine and European Union. As a result shortages increased to levels above what they were during Covid crisis.
The thing is, after all this COVID spending Biden administration wanted to spend additional $3.5T in profligate spending as well as $400G on student loan forgiveness (those who took out their loans before 2010 need not apply btw.) That too is inflationary, and given the spending necessitated by COVID it was irresponsible to push it.
Russia should be blamed for their actions in Ukraine. And yes, the invasion did exacerbate matters. That does not mean that fiscal policies of US (and other western governments) are blameless for the inflation they are experiencing.By so doing American consumers blamed party in power rather than bad actor Russia. Fairweather patriot Republicans are now profiting from our courageous actions by blaming government rather than Russia for inflation.
Republicans will probably gain because president's party usually loses in the midterms, esp. if the president has low approval ratings.Wod. Republicans will probably gain because they are fair weather patriots profiting from strong government responses to bad actor.
Did anybody hear an actual answer there?
Whoever wrote this simplistic tweet is apparently unaware that the oil price is just one of many costs that go into the price of the gallon of refined gasoline. You have transport costs, refining cost, gas station cost. And all those costs will not going be the same in 2022 as they were in 2010.Oil price per barrel are currently $86, while gas prices are close to $4 a gallon. In 2010, oil was slightly over $85 a barrel, while gas was under $3.
While price per barrel remains the same, Oil companies have jacked up prices over 30%
It’s not Biden, it’s the Oil companies.
I am not accusing anybody. I am pointing to a blatant double standard when it comes to sources here. If Daily Fail is frowned upon, then so should the likes of DailyKos and Alternet.Unless you are accusing the Alternet of altering the text of the transcript to fit, I think your objection here is silly.
Of course it isn't. Few simplistic analyses are.This isn't difficult.
If you ran a corporation and could increase its profitability, would you not be derelict in your duties if you didn't?Please also note that it is perfectly okay for companies to not INCREASE their profits, and instead have no increases in profits or have mild decreases in profits and still remain profitable.
Which is not in dispute here. We can talk about compensation for various jobs and particularly about corporate executives, but this thread is about causes of inflation.America's status as an economic and intellectual powerhouse comes from the strength of its middle class.
0% what? 0% corporate profits?What I'm saying is just because the baseline since 1979 has been 11.4% doesn't mean that it is the only healthy number. 0% could be just as good or better if that means that employees are getting a bigger slice of the pie.
They are extremely biased. Not any better source than Daily Fail and a much worse source than Fox News. And both of those get routinely maligned when somebody links to them. So why should Alternet be given a pass?So, Alternet publishes leftish stories? Give yourself a Big Brownie Point for knowing that.
I do not have time to do that, of course. I barely have time to keep up with discussions here. But it is a very biased source nevertheless.More important is: Are their stories — or rather this story in particular — factually correct? If you think not, post some examples of their falsities.
Pox on both their houses! But thanks for admitting that you are fine with left-wing sources but not with right-wing ones. That's the kind of double standard I am talking about.Do not confuse the right with the left
I shall not! Even if this particular story is true, it could have been sourced from a reliable source, not an extreme blog.Find a factual flaw in the story, or retract your nasty non sequitur, please.
I guess you couldn't bring yourself to actually read the cites provided. It was because of the various repricings already underway due to Covid disruptions that big corporations had the opportunity for repricings, pretending them due to rising costs but in fact acting on their "fiduciary responsibility" to maximize shareholder value.
I gave examples of solid competition in industries that have seen large price increases, such as grocery stores and auto manufacturers.Elsewhere in the thread, you seem to deny the enormous monopoly or oligopoly power that many of today's corporations have. That's too HUGE an ignorance to fight in this thread. Start a new thread for that.
It is not.That seems very much to be an argument from incredulity.
I have not seen any of the stores listed here. Presumably they are regional store chains, many of them small, and in different regions so they would not be necessarily competing against each other even if they were not all owned by the same corporation.The Kroger Co. Family of Stores includes: