Inflation is not caused by greed
Satyajit Das
Nikkei Asia
The return of high inflation was accompanied by a neologism: “greedflation”. The idea is that higher prices are a result of corporate greed for higher profits, and has become accepted by many as an explanation, says Satyajit Das. But as H.L. Mencken said, “There is always a well-known solution to every human problem – neat, plausible, and wrong”. True, there is evidence that corporate profits have risen disproportionately. But averages and aggregates can be deceptive, and
