Article may be outdated

This article is 19 days old. Some details may have changed since publication.

Hacker News·4 min read·hard

When the shortage is the strategy

S
speckx
AI Summary

This article argues that corporations are intentionally maintaining supply shortages to justify high prices and record profits, a strategy solidified during the pandemic. It highlights the growing economic strain on American consumers, noting record-high credit card debt and stagnant real wages.

Why it matters

It provides a critical perspective on modern inflation, suggesting that corporate behavior rather than just market forces is driving the cost-of-living crisis.

Dive DeeperCreate a free account to unlock

I commonly hear two different responses when people discuss whether the United States is in a recession. I hear “What recession?” and “Everything is expensive now!” All while credit card debt hit an all-time high last year ($1.28 trillion, Q4 2025). More “regular” people are living paycheck to paycheck, and closer to homelessness than ever before. 111 million Americans, ~40% of adults cannot pay their credit card balance in full each month. [ 1 ] Contributing to the issue is a single, simple business practice: constrain supply, raise prices far beyond what the constraint justifies, and then refuse to lower them.

Continue reading on Headlinne

Create a free account to read the full article.

Read full article →
economybusinesssocial justice

Get smarter about the news

Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.

Create free account

Already have an account? Sign in