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by mattbrewsbytes 1094 days ago
You can't compare prices and profits. Increased demand and short supply can cause prices to rise. Prices. Not Profits. Profits are typically after costs of selling goods/services. If pandemic caused various factors to cost a lot more and that cost was passed onto consumers at a similar rate as in the past then profits should remain same-ish. Its possible and logical that companies raised prices during the pandemic due to some cost increase (parts, shipping, etc.) and then never lowered prices even though that cost increase faded away.

If over a long period of time there has been consolidation (aka acquisitions) in an industry and there are only a few conglomerates around, they essentially have a market to themselves and can do what they want without actually legally being considered a monopoly.

1 comments

Increase demand in short supply can absolutely cause profits to increase.

If people are willing to pay more, you expect profits to climb.

People are downvoting this, but this is really basic stuff with tons of empirical grounding.