Lidl puts that greedflation idea to bed

That greed exists among capitalists we’ve no doubt. We’re not sure whether we think it just the nature of the breed or their purpose but the existence, yes. Where we differ with received opinion is in the effect.

As we’ve pointed out if everyone’s greedy then those making excess profits soon face more competition which then kills those excess profits. Given that new ways to make excess profits constantly appear, even are created, this is what drives a free market capitalist system forward. We’ve also that empirical evidence that while many might have tried to increase their profits in recent times very few succeeded and on average they didn’t. We’re fine with both those outcomes, they show the system is working.

Sure, people strive to make excess profits. They end up not being able to do so.

And one more little evidential stick to add to the fasces:

Discount supermarket chain Lidl has revealed its British arm swung to an annual loss after battling to keep a lid on prices as its costs rose “across the board”.

The group reported pre-tax losses of £76m for the year to 28 February against profits of £41.1m the previous year as it also invested heavily in the business.

Greedflation is an attempt, not an outcome. It’s the capitalism that provides the greed, the free markets that limit the success. Excellent, the system works, we have both the drive and the restraint.

Which leaves us, really, wondering why so many spout the greedflation line - the line that the success of it, the success that hasn’t happened, is what caused the recent inflation. Ah, but that’s just politics, no connection with either the reality or the truth. Sad, but there it is.

Sometimes people will tell untruths in order to gain political power. Alert your relevant Maiden Aunt to this fact.