I just heard on the news today that gas, food, clothing and other essentials are going up.
You know, I don't know how anyone could really be an economics major.
Let me explain.
The basics behind economics is supply vs. demand. Problem is, that greed is never figured into the equation. There is no reason that a CEO of a company should be making 10x or 100x or 1000x what their workers make. A modest salary higher than the workers is acceptable, but I am sick of hearing about these top-level CEO's making zillions of dollars and then they screw up and get fired and get larger payouts than I will probably make in my lifetime to leave.
I would like to have that severance package.
How does that figure into inflation? Well, duh, SOMEONE has to pay for these nincompoops.
Some CEO's make millions per year and lay off or reduce salaries of their workers. Many times workers are at minimum wage, which is below poverty level, but if minimum wage laws didn't exist, they'd pay people even lower. Sometimes they do anyway, by making excuses like training wages, tips or internships.
In any case, the real reason prices go up is that everyone's tired of being in this recession/depression stuff and they figure that this is the only way to get a raise.
INSTEAD, why don't people lower costs and thus, that would encourage spending and to pay for it, lower the salaries of these top CEO's.
Well, I can dream, can't I?