Quote:I sincerely doubt that many business raise their prices as a result of rising cost. That's not the way the marketplace works. Generally speaking, businesses raise their prices because they can. Not because they have to. Look at it this way: if a business can raise their prices for ANY reason, why wouldn't they do so? Wouldn't they want to maximize their profits? They don't need to justify it by citing rising costs.


If I go to a restaurant and find out that the Lasagna now costs $20 when it used to cost $12, my decision to buy is not based on anything but whether I want to pay $20 for that lasagna. It has nothing to do with whether the restaurant owner now has to pay more for his labor. That's his problem, not mine.


It's like when people say high NFL ticket prices are a result of high player salaries. That is not true. NFL ticket prices are based on what people are willing to pay for tickets. It's the same with lasagna in a restaurant. The price of the lasagna is based on what people are willing to pay for it.