Chris Conlon on the Post-COVID Inflation Surge and the Greedflation Narrative
Macro Musings with David Beckworth
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The Role of Markups in Oil Production
Markup is a measure of economic profit because you're looking at marginal cost. It can be different than accounting profit and this may be the answer to the question I'm about to ask. If you look firm by firm, it's clear like you definitely did not want to be an oil producer in 2020. And so if you were one of the people who was producing, this was really great for your profits,. So you looked super profitable. Prices were high. For other markets, remember like, you know, where we see prices going up the most in 2021? It was things like used cars.
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