To: robert b furman who wrote (7947 ) 9/21/2021 4:06:37 AM From: elmatador Respond to Hi Bob!the two automakers plan to limit sales of the finest cars, permanently fix higher prices and boost inflation, even if the chip shortage is mitigated. .. Interview with the Financial Times I am concerned that a temporary disruption in the international supply chain could lead to higher prices. Logistics Chain UPS Executive This week, multinationals said they have already withdrawn from globalization as a result, shifting production to more expensive but closer locations. He said this would cause permanent damage to the economy.Higher inflation combination of high consumer savings, easy monetary policy and government stimulus has boosted total spending, but the economic capacity to supply goods and services to meet that demand has lockdown limits and other bottles . Daimler and BMW’s belief that their ability to charge more is due to their own pricing power will be tested by competitive pressure in the market . Potential buyers of luxury cars face waiting times and rising prices no matter who they buy from . Once the bottleneck is mitigated, consumers may instead have the option of paying more for luxury BMWs or less for one of their competitors’ cars. The rate of return that can be maintained in one market is not always sustainable in all.“Just in case” instead of “just in time” the labor market that the central bank is most closely watching for signs that temporary bottlenecks and shortages are leading to more permanent price increases. Truck driver And others in certain high-demand professions have enjoyed their first pricing power in decades, and there are still few signs of a significant rise in wages. The ability of today’s workers to limit the same kind of supply that their stronger unionized predecessors enjoyed in the 1970s, the last period of sustained inflation in many rich countries. It is unlikely that you will have one. Source link The many faces of ‘pricing power’
