Ron Johnson, a Republican senator from Wisconsin, has recently made headlines after expressing his shock at learning that corporate profits can lead to inflation. Johnson’s comments came as a surprise to many, as it is a well-established economic principle that excessive corporate profits can indeed contribute to inflation.
In a recent interview, Johnson stated, “I was always told that inflation was caused by an overheated economy, but now I’m starting to wonder if it’s actually happening because corporations are making too much money.” This statement has raised eyebrows among economists and politicians alike, as it demonstrates a fundamental misunderstanding of how inflation works.
Inflation is typically caused by a variety of factors, including an increase in the money supply, rising demand for goods and services, and yes, even excessive corporate profits. When companies make too much money, they may raise prices to increase their profits even further. This can lead to a general increase in prices across the economy, resulting in inflation.
Economists have long recognized the role of corporate profits in driving inflation. In fact, some argue that powerful corporations can wield significant influence over prices in the market, leading to inflationary pressures. For example, if a few large companies dominate an industry, they may be able to raise prices without fear of competitive pressure, leading to inflation.
Johnson’s comments highlight the need for policymakers to have a solid understanding of economic principles. In order to effectively address issues like inflation, lawmakers must be willing to engage with experts and consider a wide range of factors that can impact the economy. Ignoring the role of corporate profits in inflation could lead to misguided policy decisions that fail to address the root causes of rising prices.
It is clear that Ron Johnson’s understanding of economics may be lacking, but his comments serve as a reminder of the importance of economic literacy in policymaking. As inflation continues to be a pressing issue for Americans, it is essential that policymakers educate themselves on the various factors that can contribute to rising prices, including the impact of corporate profits. Ultimately, a better understanding of how inflation works will enable policymakers to develop more effective solutions to address this economic challenge.
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Does anyone think this stooge cares? If the Three Stooges were in the Senate, he's definitely at least a Larry.
The shareholders are investment firms, the investment firms inclue retirement funds, like the one you're retirement account is with, so you are the shareholders.
If the previous "record profits" were 100,000$ last year and inflation is at 10%, then this year they would need to make 110,000$ just to have the same purchasing power as last year. We can work on shapes tomorrow if you need help with that as well.
Ronnie "clueless" Johnson is abysmal a d hopefully wont be a senator much longer….
A person could always move back to Istanbul Turkey where Free Speech is Controlled by Turkish Authorities.
Then again stay in the United States and IF the Demoncratic party get their way they'll ensure only favorable supportive speech of the party is allowed.
Assimilate or VACATE and change your native country for the better.
Left up to conservatives, we'd still be a British colony. They would've supported the royal overlords the same way they're supporting the corporate overlords.
Fake news
Republicans hate truth and despise facts.
When You Are So Busy, Taking Their Money, YOU DON'T REALLY PAY ATTENTION, TO THE DETAILS!!!!!!!!!!!!!!!!!!!!!!!!!
Assets of the USA are over 200 trillion
There is no deficit.
Of course Bizarro Robin Hood doesn't "believe" it. He's in on all of it.
He's a frumpbulican, truth is not in their vocabulary….
Ron Johnson is just another republikan idiot that lives off big business. My question is “Why are there so many lying criminals in the republikan party”.
Stop buying their shit. If it's not absolutely necessary for survival then skip it. You'll thank yourself.
ANA neither side is moving toward taxing profits above a x amount. The Maga's want to see us back to the Robber Barons and people starving.
TYT is still full of scumbags. Albeit very few, but still amassed enough scumbaggery that equate to large corps… go figure.
Trusting for-profit corporations to prioritize the common good over uncommon greed is a losing proposition. That simple.
Wow it's because they bribed him
23 trillion dollar economy? Wow, it certainly doesnt seem that wealthy to me, and i live here. maybe there are two worlds and it isnt race, it is class. Think about who is putting money into your opinions, then wonder how a class war turns into a gender/race/war against the poor.
Ron Johnson is just another greedy PAB!
It is corporate greed by the green n brown noses
He wasn't shocked. He didn't care.
"we're not going to agree" on anything you're committed to ignoring "Senator".
Corporate profits do not lead to inflation.
Government is the ONLY reason for inflation.
I am shocked that there is gambling in this country.
As more money is printed, and we have nothing backing that extra money i.e. gold, prices rise because a dollar is no longer a dollar, so printing more money lowers the value of money. Thats what causes inflation, prices raise because our money is not worth as much as it used to be.
ransack their stores….send a message to them