Source: Cobden Centre
by Dr. Frank Shostak
“Some commentators are of the view that an important driver in the increases of the prices of goods is businesses that push prices higher in order to secure higher profits. According to the Ground Work Collaborative think tank report, Prices are simply the sum of costs and corporate profits. While rising costs of inputs can drive up what Americans pay at the gas pump or the grocery store, corporate profits can just as easily. The report, found corporate profits accounted for about 53% of inflation during the second and the third quarter of 2023. But does it make any sense that profits cause price inflation? We suggest that businesses cannot raise prices to secure higher profits without the buyers’ agreement.” (10/14/25)