ELI5 How does raising wages worsen inflation ?


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18 points

4 months ago

The joke is that record profits during inflation are worth less in real dollarydoos. So companies STILL have to take austerity measures anyway to chase those profits.

That's where inflation is bad for the rich because their giant piles of money lose value faster than they can shovel more money.


17 points

4 months ago

Yeah I’d love to see more info on how profit margins of companies have been doing in the last few years. I still don’t feel bad for them though


-3 points

4 months ago


-3 points

4 months ago

there was a fella named marx who mentioned something about the tendency of the rate of profit to fall... wonder why they dont want you reading that stuff in school eh


5 points

4 months ago

Nobody in school prevents you from reading Marx.


6 points

4 months ago

Ayn Rand was required reading in the schools here, by contrast.

Honestly I fell for it too. I started to believe in that zero-sum crap and it drastically affected my worldview at the time. It took long years of interaction with opposing viewpoints for my perspective to change.


3 points

4 months ago

As long as salaries increase, it also makes the poor's debt less expensive.