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There's 'overwhelming evidence' tariffs have raised consumer prices, says Bank of America (www.businessinsider.com)

submitted 1 day ago by MicroWave@lemmy.world to c/economics@lemmy.world

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Analysts at the Bank of America said tariffs have raised prices for consumers.

They wrote in a note that consumers have covered about 50% to 70% of the cost of levies to date.

This suggests tariffs will continue to put "upward pressure" on inflation, they said.

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[–] shalafi@lemmy.world 7 points 1 day ago

Worst part is that prices can't go down without causing deflation, and that's economic disaster for all of us.

Even if the top executives voluntarily took a pay cut (LMFAO), that pay is a drop in the bucket vs. any given company's profit and total employee pay.

No way any CEO or board of directors voluntarily takes a hit on stock prices. How can they? They would simply be replaced by the largest shareholders. Even the smallest want a positive return on their retirement accounts. Stock slipping? Then the fund manager pulls that stock from that fund and moves on. It's a monstrous, circular clusterfuck.

Worked at one company where the board applauded the CEO saying we were going in the red for two years. But that included a plan to build staff and products. Bet they're no longer expanding in this uncertain economy. (Funny thing, through a bit of luck and being an awesome group, we made a profit those years anyway.)

Anyway, I don't see the radical system change/shock we need coming without Great Depression 2.0. Taxing the snot out of the rich ain't in the cards ATM. :(