Joe's Economy And Bidenomics

IVCguy said:
Yesterday one of the 15 people who attended a Biden rally asked him about what he will do about the inflated cost of food staples like eggs.

His response: Get corporate profits under control.

My, oh my. Wowzers. You just have to laugh.
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Paid $1.44 for 18 today. At 8 cents an egg they might as well be giving them away
 
bob22 said:
Paid $1.44 for 18 today. At 8 cents an egg they might as well be giving them away
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That wasn't the experience of the urban black man who asked Biden the question. I pay 2.50 a dozen at my Amish neighbors. But it's not about eggs. You and I, overall, are paying 17.9% more than we did a few years ago for food.

The reasons for that are multifactorial, but a few of them are higher energy prices due to Biden's war on fossil fuels. The cost to produce, move, and store/refrigerate food has a cost added at each stage. The dollar has been inflated due to Biden blowing out the spending and pumping 6T unearned, printed dollars into the economy - the definition of inflation being too many dollars chasing too few products and services. In this case we get a dollar that buys less and products that cost more.

The medicine you take for inflationary policies is a recession, and then you get a reset, but recessions lose political candidates and parties elections, so it's pretty clear to me that this administration has tried to stave that off until Nov and then manage it in a 2nd term - or it will be the other guy's problem. But without a recession, you get stagflation which carries with it its own issues that affect family finances.

That's the economic and political problem that Biden and Dems are facing. They tried telling people that things were really good, they just didn't realize it. Lol. Now, they are getting creative with lipsticking the pig they created.
 
joesports said:
robertreich.substack.com

Where are the record corporate profits coming from? Your thinning wallets

A big part of why the public isn’t crediting Biden
robertreich.substack.com robertreich.substack.com
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I laughed so hard at you posting an article by that little eco-Marxist, Robert Reiccccccchuh. Rush used to make so much great fun of him. Good times!

Here's the problem with this very common leftist nonsense. Prices get set by costs that go into the product, profit margins, what consumers are willing to pay, AND what competotors are selling the product for. The other factor is the comparative quality, durability, etc.

The purpose of a corporation is maximum profits for their investors. But assuming we have comparable products in quality (a food, for example) then having the lowest price gives a primary incentive for consumers to purchase it from the company that's willing to provide that price.

So, the maximum profit motive that leftists so despise and demonize, actually provides the incentive to lower wholesale price in order to get consumers to pick their product. That's how it really works.

There is a price point where you can't cover cost and meet your profit goals. If government wants lower prices they can lower energy costs with pro-domestic energy policies, they can lower tax and regulatory costs, and they can create a sound and stable dollar with spending discipline and fed monetary policy.

Biden wants to do none of that and he doesn't want to get the political blame for the shiety economy, so... it's corporate greed. It's so silly.
 
IVCguy said:
That wasn't the experience of the urban black man who asked Biden the question. I pay 2.50 a dozen at my Amish neighbors. But it's not about eggs. You and I, overall, are paying 17.9% more than we did a few years ago for food.

The reasons for that are multifactorial, but a few of them are higher energy prices due to Biden's war on fossil fuels. The cost to produce, move, and store/refrigerate food has a cost added at each stage. The dollar has been inflated due to Biden blowing out the spending and pumping 6T unearned, printed dollars into the economy - the definition of inflation being too many dollars chasing too few products and services. In this case we get a dollar that buys less and products that cost more.

The medicine you take for inflationary policies is a recession, and then you get a reset, but recessions lose political candidates and parties elections, so it's pretty clear to me that this administration has tried to stave that off until Nov and then manage it in a 2nd term - or it will be the other guy's problem. But without a recession, you get stagflation which carries with it its own issues that affect family finances.

That's the economic and political problem that Biden and Dems are facing. They tried telling people that things were really good, they just didn't realize it. Lol. Now, they are getting creative with lipsticking the pig they created.
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Biden’s war has resulted in the most energy production in the history of the nation and we are currently the largest producer in the world. Yes please. You are a goof.
 
IVCguy said:
I laughed so hard at you posting an article by that little eco-Marxist, Robert Reiccccccchuh. Rush used to make so much great fun of him. Good times!

Here's the problem with this very common leftist nonsense. Prices get set by costs that go into the product, profit margins, what consumers are willing to pay, AND what competotors are selling the product for. The other factor is the comparative quality, durability, etc.

The purpose of a corporation is maximum profits for their investors. But assuming we have comparable products in quality (a food, for example) then having the lowest price gives a primary incentive for consumers to purchase it from the company that's willing to provide that price.

So, the maximum profit motive that leftists so despise and demonize, actually provides the incentive to lower wholesale price in order to get consumers to pick their product. That's how it really works.

There is a price point where you can't cover cost and meet your profit goals. If government wants lower prices they can lower energy costs with pro-domestic energy policies, they can lower tax and regulatory costs, and they can create a sound and stable dollar with spending discipline and fed monetary policy.

Biden wants to do none of that and he doesn't want to get the political blame for the shiety economy, so... it's corporate greed. It's so silly.
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100% total hogwash.
 
Reich has a couple of real gems in that article. First, he emphasizes that inflation is down. Then further down, expecting the criticism, he explains that the RATE of inflation is down. But consistent with him being wrong on everything he says, the rate actually ticked up last month. Lol. But it doesn't matter. The truth he doesn't want the idiots reading him to know is that things are getting more expensive every month at an atypical rate for a healthy, sound economy.

He talks about corporate price-fixing, relating it to the need for enforcement of anti-trust law (I didn't know the DOJ had stopped enforcing that, lol) and the need for more anti-trust law. Yes, more federal law always makes things better and fixes everything. Lol

Here is what I know about business. If my product is going out the door at a rapid rate at a high price, it would be crazy for me to lower the price. However, once it starts going out the door at a slower pace, I need to get it out so that I can make and sell more in the coming months. At that point, I will make it more attractive by lowering the price. Pricing is trying to achieve the maximum price I can move product at the rate I want to move it.

Reich doesn't tell you that in his little substack. That would be inconvenient. The collective decisions about that is what controls our economy and the pricing of products. What the government controls or influences is taxes, legal and industrial regulation, the availability and cost of energy, and government spending and monetary policy that impacts costs to business, the availability of money, the cost of borrowing money, and the soundness and value of the dollar.
 
IVCguy said:
Reich has a couple of real gems in that article. First, he emphasizes that inflation is down. Then further down, expecting the criticism, he explains that the RATE of inflation is down. But consistent with him being wrong on everything he says, the rate actually ticked up last month. Lol. But it doesn't matter. The truth he doesn't want to idiots reading him to know is that things are getting more expensive every month at an atypical rate for a healthy, sound economy.
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It is measured on a YoY basis you fool.
IVCguy said:
He talks about corporate price-fixing, relating it to the need for enforcement of anti-trust law (I didn't know the DOJ had stopped enforcing that, lol) and the need for more anti-trust law. Yes, more federal law always makes things better and fixes everything. Lol
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We do not need more laws. We need more people to understand the actual reasons for rising prices which do include the impact of capitalism.
IVCguy said:
Here is what I know about business. If my product is going out the door at a rapid rate at a high price, it would be crazy for me to lower the price. However, once it starts going out the door at a slower pace, I need to get it out so that I can make and sell more in the coming months. At that point, I will make it more attractive by lowering the price. Pricing is trying to achieve the maximum price I can move product at the rate I want to move it.]
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Products are still going out the door at a rapid rate. That is the issue. The underlying economy is strong. Demand is still very high. Corporations know people will pay and they charge accordingly.
IVCguy said:
Reich doesn't tell you that in his little substack. That would be inconvenient. The collective decisions about that is what controls our economy and the pricing of products. What the government controls is legal and industrial regulation, the availability and cost of energy, and government spending and monetary policy that impacts costs to business, the availability of money, the cost of borrowing money, and the soundness and value of the dollar.
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Of course availability of money, cost to borrow, and value of the dollar matter. Our monetary policy has been inflationary of many years and way before Biden. In fact, monetary policy today is less inflationary than it was under Trump. That is a fact.
 
ProV1 said:
It is measured on a YoY basis you fool.

We do not need more laws. We need more people to understand the actual reasons for rising prices which do include the impact of capitalism.

Products are still going out the door at a rapid rate. That is the issue. The underlying economy is strong. Demand is still very high. Corporations know people will pay and they charge accordingly.

Of course availability of money, cost to borrow, and value of the dollar matter. Our monetary policy has been inflationary of many years and way before Biden. In fact, monetary policy today is less inflationary than it was under Trump. That is a fact.
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Do you find it odd that a Communist like Reich has a following as a serious economic voice?
 
IVCguy said:
I laughed so hard at you posting an article by that little eco-Marxist, Robert Reiccccccchuh. Rush used to make so much great fun of him. Good times!

Here's the problem with this very common leftist nonsense. Prices get set by costs that go into the product, profit margins, what consumers are willing to pay, AND what competotors are selling the product for. The other factor is the comparative quality, durability, etc.
Click to expand...
Cost of production … prices are going up faster/higher than the cost of production … but corporations are still selling the notion that prices are only going up because of cost production … for example, the cost production goes up a $1 … yet they are raising their prices $2 … they are taking advantage of cost of production going up to gouging us. I have no problem with companies making money … just don’t tell me that the prices are going up because of cost of production… when you are raising the price up much more than your cost have gone up … second, did you read the article? … the main reason they can get away with it is lack of competition … these big corporations are buying up most of their competitors … thus having a near monopoly … and almost nothing is being done about it … the rich just get richer.
 
joesports said:
Cost of production … prices are going up faster/higher than the cost of production … but corporations are still selling the notion that prices are only going up because of cost production … for example, the cost production goes up a $1 … yet they are raising their prices $2 … they are taking advantage of cost of production going up to gouging us. I have no problem with companies making money … just don’t tell me that the prices are going up because of cost of production… when you are raising the price up much more than your cost have gone up … second, did you read the article? … the main reason they can get away with it is lack of competition … these big corporations are buying up most of their competitors … thus having a near monopoly … and almost nothing is being done about it … the rich just get richer.
Click to expand...

Then donate to the dems because they know how well their propaganda works and that you are definitely not paying attention.
 
joesports said:
Cost of production … prices are going up faster/higher than the cost of production … but corporations are still selling the notion that prices are only going up because of cost production … for example, the cost production goes up a $1 … yet they are raising their prices $2 … they are taking advantage of cost of production going up to gouging us. I have no problem with companies making money … just don’t tell me that the prices are going up because of cost of production… when you are raising the price up much more than your cost have gone up … second, did you read the article? … the main reason they can get away with it is lack of competition … these big corporations are buying up most of their competitors … thus having a near monopoly … and almost nothing is being done about it … the rich just get richer.
Click to expand...
Yes, lefties always are up in other people's business - with opinions about what they should and should not be doing, how they should be pricing, and resenting how much money they are making. It's unreal.

I doubt they would tolerate anyone with no involvement with their job telling them how much they should be making. Lol.

Again, it's really this simple: regardless of what costs and profit margins are, the purpose of business is to make maximum profits, whether that is done may lowering prices or by getting the maximum price.

But when you are a leftist, business is supposed to have some other purpose that it is supposed to serve above profit.

There are places in the world that have tried that. They are called socialist economies - and they have failed everywhere they have been tried.
 
A simple example:

I really love the breakfast cereal, Wheaties. Maybe it was the branding with sports heroes and the slogan "Breakfast of Champions" as a kid. Regardless, I acquired a taste for them.

I bought only one box last year because they have been priced at $7.15 for an average sized box at our local grocery and I think that's way too much. I refuse to be bent over the buggy rail and am budgetarily opposed to paying that much for that product. I bought that one box when I saw them on sale for $4.75.

But Wheaties doesn't put their product on sale often. What that tells me is that they are moving that product out the door because there are enough people willing to pay the top price for it. Good for them!

But when Wheaties start piling up at their production and storage facilities, you will see them lower the price and then I can be a regular consumer again. Or they won't, presumably because they are selling plenty to those who are willing to pay the max price. If so, good for them!
 
Happier said:
Two huge plants being built on Ohio for chips and batteries for EV. Thousands of new tech jobs. Trump spiked the football on Carrier not sending jobs to Mexico.
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You do realize that investment has come here because of the safety and predictability of Ohio Republican politics, and because of Ohio workers, right ?

I know it’s not part of your chosen narrative, but you’re not stupid enough to miss those realities. I do understand why you don’t want to talk about them.

Pat G’s semi-retirement to the family farm in western Pennsylvania, affordable real estate in location with good people and leadership, and the hard work of DeWine’s staff had more to do with the selection of Ohio by Intel than anything.
 
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IVCguy said:
I laughed so hard at you posting an article by that little eco-Marxist, Robert Reiccccccchuh. Rush used to make so much great fun of him. Good times!

Here's the problem with this very common leftist nonsense. Prices get set by costs that go into the product, profit margins, what consumers are willing to pay, AND what competotors are selling the product for. The other factor is the comparative quality, durability, etc.

The purpose of a corporation is maximum profits for their investors. But assuming we have comparable products in quality (a food, for example) then having the lowest price gives a primary incentive for consumers to purchase it from the company that's willing to provide that price.

So, the maximum profit motive that leftists so despise and demonize, actually provides the incentive to lower wholesale price in order to get consumers to pick their product. That's how it really works.

There is a price point where you can't cover cost and meet your profit goals. If government wants lower prices they can lower energy costs with pro-domestic energy policies, they can lower tax and regulatory costs, and they can create a sound and stable dollar with spending discipline and fed monetary policy.

Biden wants to do none of that and he doesn't want to get the political blame for the shiety economy, so... it's corporate greed. It's so silly.
Click to expand...
From a simpleton, for simpletons.
FJB and the idiots that vote for him
 
IVCguy said:
Yes, lefties always are up in other people's business - with opinions about what they should and should not be doing, how they should be pricing, and resenting how much money they are making. It's unreal.

I doubt they would tolerate anyone with no involvement with their job telling them how much they should be making. Lol.

Again, it's really this simple: regardless of what costs and profit margins are, the purpose of business is to make maximum profits, whether that is done may lowering prices or by getting the maximum price.

But when you are a leftist, business is supposed to have some other purpose that it is supposed to serve above profit.

There are places in the world that have tried that. They are called socialist economies - and they have failed everywhere they have been tried.
Click to expand...
You guys whine unmercifully about inflation … then turn around and defend the one of the major causes of inflation …😂😂😂😂😂

… and you whine about companies taking their factories over seas … where it is cheaper to produce their goods … isn’t that also a way to make maximum profits … the purpose of business.

PS … thanks for the business 101 class … really informative!
 
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IVCguy said:
A simple example:

I really love the breakfast cereal, Wheaties. Maybe it was the branding with sports heroes and the slogan "Breakfast of Champions" as a kid. Regardless, I acquired a taste for them.

I bought only one box last year because they have been priced at $7.15 for an average sized box at our local grocery and I think that's way too much. I refuse to be bent over the buggy rail and am budgetarily opposed to paying that much for that product. I bought that one box when I saw them on sale for $4.75.

But Wheaties doesn't put their product on sale often. What that tells me is that they are moving that product out the door because there are enough people willing to pay the top price for it. Good for them!

But when Wheaties start piling up at their production and storage facilities, you will see them lower the price and then I can be a regular consumer again. Or they won't, presumably because they are selling plenty to those who are willing to pay the max price. If so, good for them!
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Duh. They will charge the outrageous price as long as they can. That’s the f’ing point.
 
joesports said:
You guys whine unmercifully about inflation … then turn around and defend the one of the major causes of inflation …😂😂😂😂😂

… and you whine about companies taking their factories over seas … where it is cheaper to produce their goods … isn’t that also a way to make maximum profits … the purpose of business.

PS … thanks for the business 101 class … really informative!
Click to expand...
He literally made the point for you. lol.
 
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