Corporate Greed the ‘Real Culprit Behind Rising Prices,’ Researchers Say
Amid mounting data showing that people are paying more for food at grocery stores around the United States, a new analysis out Wednesday reveals how corporate power is “the real culprit behind rising prices at the checkout line.”
“Addressing this crisis means recognizing these price increases for what they are: the result of deeply entrenched concentrated corporate power.”
After the U.S. Labor Department announced that the Consumer Price Index increased by 0.4% in September, researchers at the Groundwork Collaborative, a progressive think tank, explained the connections between “price hikes, monopoly, and corporate greed.”
“The more sway mega-corporations have over our economy, the more power they have to gouge customers, squeeze Main Street, and exploit workers,” Rakeen Mabud, chief economist at the Groundwork Collaborative, said in a statement.
Since September 2020, food prices overall have increased by 4.6%, with the price of meats, poultry, fish, and eggs surging the most over the past 12 months, at 10.5%.
The higher inflation rate in those industries, researchers noted, can be attributed to decades of consolidation, which has given a handful of corporations an ever-greater degree of market control and with it, the power to set prices.
According to the Groundwork Collaborative:
Just four meat processing conglomerates control more than 80% of the beef industry and more than 60% of the pork industry. This enables them to dictate prices that both flatten returns for farmers and ranchers and inflate prices for consumers at the meat counter. As a result, consumers have seen a 12% increase in the cost of beef and a nearly 10% increase in the cost of pork over the last year…
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