<
https://www.theage.com.au/politics/federal/corporate-profits-heat-up-inflation-oecd-20230607-p5deou.html>
"Corporate profits contributed far more to Australia’s rise in inflation
through the past year than from wages and other employee costs, according to
international research that challenges the official view of the Reserve Bank
and federal Treasury.
Compiled by the Organisation for Economic Cooperation and Development, and
released on Wednesday, the research shows that as inflation accelerated in
Australia early last year it was profits pushing up prices.
But through the second half of 2022, as inflation peaked at 7.8 per cent, both
profits and labour costs added as much as each other to the rise in prices.
There is a growing global debate about whether some companies, or some industry
sectors, have used the war in Ukraine and easing of COVID-19 restrictions to
drive up profits and add to the world’s inflation pressures.
This week, the president of the European Central Bank, Christine Lagarde
conceded to a parliamentary committee that there appeared to be cases of
increased corporate profits making the European Union’s inflation problems
worse."
Via
Guardian Australia.
Cheers,
*** Xanni ***
--
mailto:xanni@xanadu.net Andrew Pam
http://xanadu.com.au/ Chief Scientist, Xanadu
https://glasswings.com.au/ Partner, Glass Wings
https://sericyb.com.au/ Manager, Serious Cybernetics
