According to economic studies, producers have not been able to maintain or lift profits and sit at a production cost passing only 60% of their higher costs to consumers. As the assumption that lower gas prices signal a better economy, large corporate restaurants and stores like Bennigan’s and Linens 'n Things continue declaring bankruptcy. To stay in the market many companies and restaurants are decreasing their product quality to be able to compete and stay in the market. Other companies as airlines are charging for any extra commodity as pillows, blankets and foods etc. In conclusion it is unreasonable to think that the economic crisis headed towards inflation is done. Lower gas prices have secondary effects not exposed to the naked eye.
See the article here. -S
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