You can get all of the people to pay higher prices some of the time and you can some of the people to pay higher prices all of the time, but you can’t get all of the people to pay higher prices all of the time.
Let’s chat price elasticity: for a given good, there are fewer willing buyers at higher prices (excluding giffen goods). The goal of a business is to maximize total profits (profit margin * units) not to maximize unit profits.
So they will lower prices again, because it is good for business 1/2
Here’s the thing about the tariffs: there will be no “short term pain”. Only long term. Every time a company realizes they can get away with charging you extra they don’t ever lower the price again. They just gouge. Whatever price hikes there are will be here for good.
April 3, 2025 at 9:42 PM
You can get all of the people to pay higher prices some of the time and you can some of the people to pay higher prices all of the time, but you can’t get all of the people to pay higher prices all of the time.
Wishing everyone everywhere peace and inspiration. Come what may, let us stand strong for all that is right and just. Let us defend those who are being mistreated, and live with kindness and respect as Martin Luther King hoped we would . Our task is clear. ❤️
January 20, 2025 at 1:53 PM
Wishing everyone everywhere peace and inspiration. Come what may, let us stand strong for all that is right and just. Let us defend those who are being mistreated, and live with kindness and respect as Martin Luther King hoped we would . Our task is clear. ❤️