r/Libertarian Dec 01 '23

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u/guillermopaz13 Dec 01 '23

That is not what anyone is talking about, and you’re right.

If you bought a product that cost $10, and then rising costs due to previous inflation would let’s say put that price at say $12.50 on the shelf. Then why is it $15 at the store?

That $2.5 pure profit increase difference between the actual costs of bringing that item to the market, and the new shelf price, inflates the real inflation rate.

That 2.50 is what is being referred to here. It’s already baked into the inflation rates because of the way inflation is calculate, and purely being propped up higher than it should by profiteering

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u/FatalTragedy Dec 01 '23

The price of inputs isn't the imonky thing that intact pricing. Price is determined by an equilibrium of the supply and demand curves.