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Greedflation describes a phenomenon where prices are raised to artificially high levels by corporate greed,[1][2][3] such as price gouging[4] and price fixing.

The resulting inflation after the pandemic has been blamed by some, in part, on price gouging. During the pandemic, the idea of greedflation or 'seller's inflation' also moved out of the progressive economics fringe by 2023 to be embraced by some mainstream economists, policymakers, and the business press.[5] Organizations and notable people that have expressed concern about greedflation include the IMF, the European Central Bank, Federal Reserve Bank of Kansas City, FTC, Institute for Public Policy Research, Groundwork Collaborative, Isabella Weber, and Robert Reich. Organizations and notable people who dispute the concept or are less concerned about greedflation include the The Economist, CNN, Justin Wolfers, Jason Furman, and Noah Smith.[6]

Some proposed remedies include pursuing anti-trust enforcement, windfall-profit taxes and anti-price gouging measures, some of which have supporters who do not think greedflation is real.[6]

History

[edit]

The term 'Greedflation' was a candidate for word of the year for the Collins Dictionary in 2023[2][7] and was added to Dictionary.com in 2024.[8][9] Dictionary.com defines it as “A rise in prices, rents, or the like, that is not due to market pressure or any other factor organic to the economy, but is caused by corporate executives or boards of directors, property owners, etc., solely to increase profits that are already healthy or excessive.”[8]

Price gouging and greedflation were discussed in the news media in the wake of the COVID-19 pandemic, when state price gouging regulations went into effect due to the national emergency. The rise in public discourse was associated with increased shortages related to the COVID-19 pandemic.

Proposed remedies

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Windfall profit taxes

[edit]
Main article: Windfall profit tax

A 2022 Working Paper by the International Monetary Fund explores the implementation of windfall profit taxes, which have gained renewed interest following the COVID-19 pandemic, the war in Ukraine, and subsequent surges in energy and food prices. The paper discusses the potential of such taxes as a tool for efficiently taxing economic rents, which are often a result of monopolistic power or unexpected events like pandemics, war, or natural disasters, and contribute to windfall profits. Such profits have raised public and policy concerns about price gouging, where firms are perceived to be profiting excessively from unforeseen circumstances.[10]

Eric Levitz argues that these taxes are worth pursuing regardless of whether greedflation is a major factor or not, as it would incentivize producers to invest in expanding production instead of giving out dividends to shareholders.[6]

Anti price gouging laws

[edit]
Main article: Price gouging

Eric Levitz argues that these laws are worth pursuing regardless of whether greedflation is a major factor or not.[6]

Anti-trust enforcement

[edit]
Main articles: Competition law and Price fixing

Economists at the University of Massachusetts Amherst say firms with a lot of market power in consolidated industries can raise prices under the cover of inflation as a form of implicit cartel-like coordination.[11][12]

Eric Levitz argues that these laws are worth pursuing regardless of whether greedflation is a major factor or not.[6]

Role in post-COVID inflation spike

[edit]
Main article: 2021-2023 inflation surge

Arguments that greedflation was significant

[edit]

In the United States, some Democratic politicians[13][14] and other observers have contended that price gouging or "greedflation" exacerbated the inflation surge in the United States.[13][15][16] They argue that the market concentration that has occurred in recent decades in some major industries, especially retailing, has given companies the ability to wield near-monopolistic pricing power.[16]

Robert Reich, who worked under President Bill Clinton as Labor Secretary, stated, "Nobody believes that price gouging is the main cause of inflation...The question really is whether corporate pricing power is aggravating the situation. And there's a great deal of evidence it is."[14]

An International Monetary Fund study published in June 2023 found that rising corporate profits accounted for almost half of the increase in euro area inflation during the preceding two years.[17]

European Central Bank economists found in May 2023 that businesses were using the surge as a rare opportunity to boost their profit margins, finding it was a bigger factor than rising wages in fueling inflation during the second half of 2022.[18]

UBS Global Wealth Management chief economist Paul Donovan said this has happened because post-pandemic household balance sheets have kept consumer spending demand strong enough to encourage producers to raise prices faster than costs, and because consumers have been gullible enough to find exaggerated narratives justifying such price hikes plausible: "Consumers seem to be buying stories that seem to justify price increases, but which really serve as cover for profit margin expansion."[19]

In January 2023, the Federal Reserve Bank of Kansas City, released a study which stated that "...markup growth likely contributed more than 50 percent to inflation in 2021, a substantially higher contribution than during the preceding decade. However, the markup itself is determined by a host of unobservable factors, ... We conclude that an increase in markups likely provides a signal that price setters expect persistent increases in their future costs of production."[20][12]

A May 2023 New York Times story reported that despite the costs of doing business falling in recent months, many large corporations have continued to raise prices, contributing to the recent inflation surge. The prices of oil, transportation, food ingredients, and other raw materials have decreased as the shocks from the pandemic and the Ukraine war have faded. However, many businesses have maintained or even increased their prices, bolstering their profits and potentially keeping inflation high. This strategy could pressure the Federal Reserve to keep raising interest rates, increasing the likelihood of an economic downturn. Analysts suggest that the continued high consumer prices are due to several factors, including increased demand for goods and services as households emerge from the pandemic, constrained supply chains, and consumers' willingness to spend more due to government stimulus payments, investment gains, pay raises, and low-interest mortgage refinancing. One investment firm estimates that these spending habits may change this summer as the bottom 25% of income earners fully deplete their pandemic savings. Some economists warn that wealthier households are affected less by inflation, with higher prices encouraging poorer consumers to substitute for less expensive purchases.[21]

A December 2023 paper published by the UK-based Institute for Public Policy Research and Common Wealth think tanks stated that corporate profiteering played an important role in the inflation spike of 2022. Corporate profits surged while wages failed to keep pace with rising prices, resulting in the working class suffering the largest decline in disposable and discretionary income since World War II.[22] 2024 studies by the Groundwork Collaborative had similar findings.[23][24]

Criticism

[edit]

In 2022, several economists stated that price gouging could be a minor contributor to continuing inflation, but it is not one of the major underlying causes that started this surge.[13][15][16][14] Justin Wolfers, an economist at the University of Michigan quotes Jason Furman, who served as chair of the Council of Economic Advisers under President Obama said, "Blaming inflation on [corporate] greed is like blaming a plane crash on gravity. It is technically correct, but it entirely misses the point."[25] Wolfers states that companies will always charge the highest prices possible, but that competition keeps prices in check.[25]

In July 2023, Eric Levitz in Intelligencer contested the idea that greedflation was a significant factor in post-pandemic inflation, noting that many of the studies rely on correlation not causation. He also provides an example of how a used car salesman would see profits improve on his existing inventory without cost increases as one example of how companies can get unusual profits without improper behavior.[6] However, he find one argument plausible, even if unproven, that supply shocks could result in greedflation as shortages make it harder for new entrants to gain market share.[6]

In July 2023, the The Economist criticized the entire concept of 'greedflation' as 'nonsense' and claimed that rising prices are not due to 'greedy companies' but are a natural result of supply and demand issues caused by the cash infusion to the economy which took place during the pandemic.[26]

In August 2024, CNN argues that greedflation has been going on by some companies in some industries and certain actions can help at the margins but measures like price caps would be a counterproductive way to fight it.[27] Some data has also emerged showing that greedflation is easing as consumers become more discriminating.[28]

Discussion by industry

[edit]

A 2021 analysis conducted by The New York Times found that profit margins across more than 2,000 publicly traded companies were well above the pre-pandemic average during the year, as corporate profits reached a record high.[29][30] Economists at the University of Massachusetts Amherst found that in 2022 profit margins of US companies reached their highest level since the aftermath of World War II.[12] The economists say firms with a lot of market power in consolidated industries can raise prices under the cover of inflation as a form of implicit cartel-like coordination.[11]

Some economists have stated that during times of high inflation, consumers know prices are increasing but may not have a good understanding of what reasonable prices should be, allowing retailers to raise prices faster than the cost inflation they are experiencing, resulting in larger profits.[13][15][16][31] Many economists responded by noting that if these large corporations indeed had so much market power, they could have used it to increase prices at any time, regardless of the pandemic.[16]

Fossil fuels

[edit]
Main article: Fossilflation

Shortly after initial energy price shocks caused by the Russian invasion of Ukraine subsided, oil companies found that supply chain constrictions, already exacerbated by the ongoing global COVID-19 pandemic, supported price inelasticity, i.e., they began lowering prices to match the price of oil when it fell much more slowly than they had increased their prices when costs rose.[32]

The major American and British oil producers (Big Oil) reported record profits in 2022.[33][34][35] Amid longstanding constraints in refinery capacity, refinery profit margins were higher than their historical averages.[36] In July, the UK imposed a 25% windfall profit tax on British North Sea oil producers, which expected to raise £5 billion to pay for a government scheme that reduced household energy costs.[37] In late October, U.S. President Joe Biden accused the oil and gas sector of "war profiteering" and threatened to seek a windfall profit tax if the industry did not increase production to curb gasoline prices.[38]

Also, some argued the possibility of a "base effect" phenomenon that emerged due to a significant decline in certain prices, such as oil, at the onset of the pandemic. Comparing these anomalously low prices with the subsequent higher prices has then accentuated the perceived inflation.[39][40]

Analysis published in June 2023 by the Bureau of Labor Statistics found that from February 2020 through May 2023, gasoline retailing profit margins had increased 62%.[41]

Grocery prices

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In Australia in 2023 and 2024, major supermarket chains Coles and Woolworths received criticism as price gouging, especially in less competitive markets.[42][43][44][45][46] Coles and Woolworths control 65% of Australia's grocery market.[47]

An analysis published in early 2024 by the White House Council of Economic Advisers found that grocery and beverage retailers had increased their margins by nearly two percentage points since the eve of the pandemic, to the highest level in two decades. The analysis found that grocer margins had remained elevated as the inflation surge eased, though margins for other types of retailers had fallen back to historical levels. President Joe Biden and others asserted that shrinkflation, a practice of reducing portion or quantity sizes of packaged foods while maintaining the same price, was keeping profit margins higher than usual.[48][49][50][51]

The meat industry in the United States has been cited as an example where profits went up industry-wide as prices went up, with some pointing to consolidation and a lack of competition as an underlying cause.[52]

The Federal Trade Commission released a report in March 2024 finding that large grocery retailers "accelerated and distorted" the effects of supply chain disruptions to protect their profits. The analysis found that some large retailers "seem to have used rising costs as an opportunity to further hike prices to increase their profits, and profits remain elevated even as supply chain pressures have eased." The study found some large retailers sought to gain an advantage over smaller competitors by threatening suppliers with large fines if strict delivery requirements were not met, and that in some cases "suppliers preferentially allocated product to the purchasers threatening to fine them." Some suppliers, however, were already contractually bound to supply other retailers. FTC chair Lina Khan said "dominant firms used this moment to come out ahead at the expense of their competitors and the communities they serve." Although the pace of grocery price increases had abated since the 2022 surge, prices had not since fallen overall by 2024. Retailers have said they planned smaller price increases in 2024 as consumers had begun to push back against high prices, causing some retailers to lose sales.[53] The FTC also objected to continued elevated profit margins as evidence that there was not enough competition in the grocery sector.[54] The FTC and several state attorneys general in February 2024 sued to block a proposed $25 billion merger between large grocery chains Kroger and Albertsons, arguing the deal would reduce competition and likely lead to higher consumer prices.[53]

Motor vehicle prices

[edit]

In the United States, higher motor vehicle prices were a significant contributor to the inflation surge. An analysis published in May 2023 by The New York Times found that auto manufacturers and dealers shifted from a high volume-low margin business model before the pandemic to a low volume-high margin model after the pandemic. Manufacturers emphasized higher-margin luxury vehicles, while dealers increased their markups over manufacturer list prices. A study published by the Bureau of Labor Statistics, the agency that tracks consumer prices, found that dealer markups outpaced the rise in input costs accounted for 35% to 62% of new vehicle inflation from 2019 to 2022. Paul Ryan, the CEO of a shopping app that monitors prices across about 40,000 dealerships, remarked, "it was the best of times for car dealers, for sure."[55]

References

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  1. ^ Misra, Udit (2023-06-26). "ExplainSpeaking: What is Greedflation? Does India also have it?". The Indian Express. Retrieved 2024-08-21.
  2. ^ a b Addley, Esther (2023-11-01). "'AI' named most notable word of 2023 by Collins dictionary". The Guardian. ISSN 0261-3077. Retrieved 2024-08-21.
  3. ^ Mueller, Julia (2023-06-20). "'Greedflation' is the new inflation as corporate profits balloon". The Hill. Retrieved 2024-08-21.
  4. ^ Raymond, Art (June 14, 2022). "What the heck is 'greedflation' and why are Democrats touting the idea?". Deseret News. Retrieved 2024-08-21. But what in the world is "greedflation" and why has it become a thing? Well, that's a term of art for corporate price gouging that's been in vogue of late and particularly among Democratic Party leaders who are pointing to it as a noteworthy driver of ongoing, record-high inflation across the U.S.
  5. ^ Peck, Emily (May 18, 2023). "Once a fringe theory, "greedflation" gets its due". Axios.
  6. ^ a b c d e f g Levitz, Eric (2023-07-08). "The 'Greedflation' Debate Is Deeply Confused". Intelligencer. Retrieved 2024-08-26.
  7. ^ "AI named word of the year by Collins Dictionary". October 31, 2023. Retrieved 2024-08-21.
  8. ^ a b Bisset, Victoria (2024-02-13). "Barbiecore? Bed rotting? Greedflation? Dictionary.com adds new 2024 words". Washington Post. ISSN 0190-8286. Retrieved 2024-08-21.
  9. ^ Shah, Simmone (2024-02-13). "'Bed Rotting,' 'Girl Dinner,' and Dictionary.com's Other New 2024 Words". TIME. Retrieved 2024-08-21.
  10. ^ Hebous, Shafik; Prihardini, Dinar; Vernon, Nate (2022). "Excess Profit Taxes: Historical Perspective and Contemporary Relevance". IMF Working Papers. 2022 (187): 1. doi:10.5089/9798400221729.001. Retrieved December 12, 2023.
  11. ^ a b Burns, Tobias (2024-03-29). "FTC calls out profits as a driver of grocery prices". The Hill. Retrieved 2024-08-17.
  12. ^ a b c Martin Arnold; Patricia Nilsson; Colby Smith; Delphine Strauss (March 29, 2023). "Central bankers warn companies on fatter profit margins". Financial Times.
  13. ^ a b c d Lopez, German (June 14, 2022). "Inflation and Price Gouging - We look at whether "greedflation" is causing higher prices". The New York Times. Archived from the original on June 25, 2022. But inflation gives greedy, monopolistic companies a chance to take advantage, said Lindsay Owens, the executive director of the left-leaning Groundwork Collaborative. Profiteering 'is an accelerant of price increases,' she told me. 'It is not the primary cause.'...More recent developments have also weakened the greedflation theory. Inflation has remained high...But the stock market has plummeted;...If the pursuit of profits were driving more inflation, you would not expect to see that.
  14. ^ a b c Smith, Molly; Wasson, Erik (2022-05-19). "Democrats' 'Greedflation' Claims Run Up Against Scant Evidence - Some Democrats accuse companies of bilking US consumers". Bloomberg News. Many Democrats blame price-gouging companies for the worst surge in Americans' cost of living in more than a generation. But economists, including several who are left-leaning, disagree.
  15. ^ a b c Brooks, Khristopher J. (May 27, 2022). "Companies use inflation to hike prices and generate huge profits, report says". CBS News. Archived from the original on June 25, 2022. Some of the nation's largest retailers have been using soaring inflation rates as an excuse to raise prices and rake in billions of dollars in additional profit, a corporate watchdog group charged on Friday. ... The report highlights an ongoing debate about the causes of inflation, with some consumer advocates arguing that corporations are using inflation as a justification for passing on even higher price hikes to consumers. ... To be sure, inflation is rising sharply due to a number of underlying economic issues, such as supply-chain bottlenecks, labor shortages and strong demand from consumers.
  16. ^ a b c d e DePillis, Lydia (June 3, 2022). "Is 'Greedflation' Rewriting Economics, or Do Old Rules Still Apply?". The New York Times. Archived from the original on June 25, 2022. When thinking about greedflation, it's helpful to break it down into three questions: Are companies charging more than necessary to cover their rising costs? If so, is that enough to meaningfully accelerate inflation? And is all this happening because large companies have market power they didn't decades ago? ... There is not much disagreement that many companies have marked up goods in excess of their own rising costs. ... When all prices are rising, consumers lose track of how much is reasonable to pay. ... But most of the public argument has been about whether companies with more market share have been affecting prices once goods are finished and delivered. And that's where many economists become skeptical, noting that if these increasingly powerful corporations had so much leverage, they would have used it before the pandemic.
  17. ^ Niels-Jakob Hansen; Frederik Toscani; Jing Zhou (June 26, 2023). "Europe's Inflation Outlook Depends on How Corporate Profits Absorb Wage Gains". International Monetary Fund. As the Chart of the Week shows, the higher inflation so far mainly reflects higher profits and import prices, with profits accounting for 45 percent of price rises since the start of 2022. That's according to our new paper, which breaks down inflation, as measured by the consumption deflator, into labor costs, import costs, taxes, and profits. Import costs accounted for about 40 percent of inflation, while labor costs accounted for 25 percent. Taxes had a slightly deflationary impact.
  18. ^ Hannon, Paul (May 3, 2023). "Why Is Inflation So Sticky? It Could Be Corporate Profits". The Wall Street Journal. Inflation has proved more stubborn than central banks bargained for when prices started surging two years ago. Now some economists think they know why: Businesses are using a rare opportunity to boost their profit margins...According to economists at the ECB, businesses have been padding their profits. That, they said, was a bigger factor in fuelling inflation during the second half of last year than rising wages were
  19. ^ Donovan, Paul (2 November 2022). "Fed should make clear that rising profit margins are spurring inflation". Financial Times. Retrieved 12 February 2023.
  20. ^ Glover, Andrew; Mustre-del-Río, José; von Ende-Becker, Alice (2023-01-12). "How Much Have Record Corporate Profits Contributed to Recent Inflation? - Firms raised markups during 2021 in anticipation of future cost pressures, contributing substantially to inflation" (PDF). The Federal Reserve Bank of Kansas City Economic Review. doi:10.18651/er/v108n1glovermustredelriovonendebecker. ISSN 0161-2387. S2CID 256654064.
  21. ^ Smith, Talmon Joseph; Rennison, Joe (May 30, 2023). "Companies Push Prices Higher, Protecting Profits but Adding to Inflation". The New York Times. Retrieved 31 May 2023.
  22. ^ Inman, Phillip (December 7, 2023). "Greedflation: corporate profiteering 'significantly' boosted global prices, study shows". The Guardian. Retrieved January 6, 2024.
  23. ^ Perkins, Tom (2024-01-19). "Half of recent US inflation due to high corporate profits, report finds". The Guardian. ISSN 0261-3077. Retrieved 2024-08-17.
  24. ^ Bhattarai, Abha; Stein, Jeff (2024-02-03). "Inflation has fallen. Why are groceries still so expensive?". Washington Post. ISSN 0190-8286. Retrieved 2024-08-17.
  25. ^ a b Vanek Smith, Stacy (2022-11-29). "The mystery of rising prices. Are greedy corporations to blame for inflation?". NPR. Wolfers says companies are always trying to charge as much as they possibly can. In fact, the only reason we're not all paying $800 for a pair of socks or a cheeseburger is simply due to greed in another form: competition. ... "Inflation is coming from demand," says Wolfers. In spite of inflation, demand hasn't really blinked. Companies have been raising prices and we have been paying them. In fact, in many parts of the economy, spending has been rising right along with prices. ... And when our buying slows down, Wolfers says, companies will start lowering prices to entice us to buy: Prices will fall and inflation will ease. But, until demand drops, companies will push prices up as much as they can. It's elementary.
  26. ^ ""Greedflation" is a nonsense idea". The Economist. Archived from the original on 6 July 2023.
  27. ^ Goldman, David; Buchwald, Elisabeth (2024-08-20). "The truth behind Harris' inflation and corporate greed claims | CNN Business". CNN. Retrieved 2024-08-21.
  28. ^ "Harris zeroes in on high food prices as inflation dominates the presidential race". PBS News. 2024-08-15. Retrieved 2024-08-21.
  29. ^ Eavis, Peter; Talmon, Joseph Smith (2022-05-31). "After a Bumper 2021, Companies Might Struggle to Increase Profits - Businesses face headwinds as demand weakens, the Federal Reserve raises rates and government stimulus programs end". New York Times. A New York Times analysis of over 2,000 publicly traded companies outside the financial sector found that most of them increased sales faster than expenses, a remarkable feat when the cost of wages, raw materials and components was rising and supply chains were out of whack. As a result, profit margins, which measure how much money a business makes on each dollar of sales, rose well above the prepandemic average. On the whole, companies made an estimated $200 billion in additional operating profits last year because of that increase in margins.
  30. ^ Phillips, Matt (March 31, 2022). "Corporate profits hit a new record high in 2021". Axios.
  31. ^ Inman, Phillip (2023-03-24). "Greedflation: are large firms using crises as cover to push up their profits?". The Guardian. Andrew Bailey, the Bank of England governor, says he has no evidence that excessive profits are pushing up inflation beyond where it would be if companies simply passed on extra costs to consumers, ... Albert Edwards, a senior analyst at Société Générale, ... "Companies [have] under the cover of recent crises, pushed margins higher," he said in a note. "And, most surprisingly, they still continue to do so, even as their raw material costs fall away. Consumers are still 'tolerating' this 'excuseflation', possibly because excess [government] largesse has provided households with a buffer. ... Isabella Weber, an economist at the University of Massachusetts Amherst, has shown which kinds of companies are able to benefit from a crisis, giving academic support for what she considers a rational capitalist reaction to a crisis, one that allows them to make even bigger profits when consumers are primed to expect prices to rise in leaps and bounds.
  32. ^ Cronin, Brittany (7 May 2022). "The good times are rolling for Big Oil. 3 things to know about their surging profits". NPR. Archived from the original on May 21, 2022. Retrieved 25 May 2022.
  33. ^ Bussewitz, Cathy (July 29, 2022). "Unprecedented profit for major oil drillers as prices soared". Associated Press.
  34. ^ Simonetti, Isabella (July 29, 2022). "Exxon and Chevron Report Record Profits on High Oil and Gas Prices". The New York Times.
  35. ^ Klauss, Clifford (October 28, 2022). "Oil Giants, With Billions in Profits, Face Criticism and an Uncertain Outlook". The New York Times.
  36. ^ Sanicola, Laura (July 14, 2022). "U.S. gasoline prices are finally falling. Why?". Reuters.
  37. ^ "UK lawmakers approve windfall tax on oil and gas producers". Reuters. July 11, 2022.
  38. ^ Baker, Peter (October 31, 2022). "Biden Accuses Oil Companies of 'War Profiteering' and Threatens Windfall Tax". The New York Times.
  39. ^ Koester, Gerrit; Lis, Eliza; Nickel, Christiane (2022). "Inflation Developments in the Euro Area Since the Onset of the Pandemic". Intereconomics. 2022 (2): 69–75.
  40. ^ Van Doorslaer, Hielke; Vermeiren, Mattias (2021-09-03). "Pushing on a String: Monetary Policy, Growth Models and the Persistence of Low Inflation in Advanced Capitalism". New Political Economy. 26 (5): 797–816. doi:10.1080/13563467.2020.1858774. ISSN 1356-3467. S2CID 230588698.
  41. ^ Newman, Rick (July 25, 2023). "High profit margins on gasoline are costing drivers more". Yahoo Finance.
  42. ^ Taylor, David (2024-01-24). "Are you being gouged at the supermarket check-out? Here's what we know". ABC News. Retrieved 2024-08-20.
  43. ^ Taylor, David (2024-02-27). "'No-one has to earn a 30pc profit rate': Coles accused of gouging shoppers as they struggle to put food on table". ABC News. Retrieved 2024-08-20.
  44. ^ Hurst, Bree; Richards, Carol; Johnson, Hope; Messner, Rudolf (2024-05-08). "Yes, Australia's big supermarkets have been price gouging. But fixing the problem won't be easy". The Conversation. Retrieved 2024-08-20.
  45. ^ Barrett, Jonathan (2024-06-19). "Typical Aldi grocery bill 25% cheaper than at major supermarkets, Choice research finds". The Guardian. ISSN 0261-3077. Retrieved 2024-08-20.
  46. ^ Staszewska, Ewa (January 10, 2024). "What to know about the looming supermarket price-gouging review". SBS News. Retrieved 2024-08-20.
  47. ^ Ainsworth, Kate (2024-04-15). "Woolworths and Coles will be asked to explain their profits and higher prices today. Here's what to expect". ABC News. Retrieved 2024-08-20.
  48. ^ Tankersley, Jim (February 1, 2024). "Biden Takes Aim at Grocery Chains Over Food Prices". The New York Times.
  49. ^ "The costly economic trend here to stay". BBC. September 24, 2023.
  50. ^ Kaplan, Juliana (December 17, 2023). "The 10 products that have shrunk the most under shrinkflation". Business Insider.
  51. ^ "Biden calls out 'shrinkflation' as part of a broader strategy to reframe how voters view the economy". AP News. 2024-03-08. Retrieved 2024-08-21.
  52. ^ Bojorquez, Manuel (2022-03-09). "Inflation or "corporate greed"? Meat prices increased by double digits during pandemic". CBS news. According to quarterly reports for Tyson, the nation's largest meat processor, the company posted $3 billion in profit in 2021. ... Other major meat suppliers are also posting similar profits. Some analysts like Salvador believe the numbers don't add up. ... But what we see at the same time is that their profitability has been able to increase because the demand increases for their products have more than offset their cost increases. ... Salvador said there is nothing to keep the prices from increasing as long as "there isn't competition that will help drive down the prices so that they have a reason to actually be more reasonable."
  53. ^ a b Ngo, Madeleine (March 21, 2024). "Large Grocers Took Advantage of Pandemic Supply Chain Disruptions, F.T.C. Finds". The New York Times.
  54. ^ Burns, Tobias (2024-03-29). "FTC calls out profits as a driver of grocery prices". The Hill. Retrieved 2024-08-17.
  55. ^ Lydia DePillis; Jeanna Smialek (May 20, 2023). "Why Is Inflation So Stubborn? Cars Are Part of the Answer". The New York Times.
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