Or math
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I’ll take this one: He does not.
You can, if you MMT hard enough.
Apt. As is, “People who haven’t left their moms’ basements in 30 years, don’t understand anything.”
@castoli711: Since you disagree with the way everyone else has interpreted the graph, would you mind explaining your view of it?
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The graph, meaning as production has shot up, wages have been flat. So the money created went to the top of the heap, not the workers.
And what conclusion is that which I’m inferring from the chart? An increase in production makes more profit. And the flat wages tells me all the new money creation went to the top. You mean that conclusion?
Now we enter into a real fear of inflation.
Who said this?
That was caused by the owners taking it. If one believes that increased production leads to greater profit, then one can ask, why have wages stagnated? The profits were made regardless of going off the gold-standard. So one can easily see that is NOT a determining factor.
No one said they are. Are we resource constrained now?
No you cannot. Not enough chickens then not enough eggs. Sounds like a resource and production constraint to me. A very real reason for inflation. NOT the “printing” of money.
Resource are one factor that drives inflation of many. Issuing too much money also impacts it.
That’s something I could infer off the graph as based on only seeing th picture. Without knowing the data sets or what done to them the chart by itself is pointless. It’s way to easy to lie with statistics.
See @usmccds423 s post above discussing exactly this. It’s like when people claim that women make less than men (.77 for every dollar or whatever). That stat only takes into account all hours worked by my men vs all hours worked by women. It’s a nice sound bite but under deeper look falls apart. If you compare salaries of women to men for the same jobs you see that they make more in many cases.
So, what dataset you use and how one manipulate the numbers are more important than whatever pretty graph is produced off of it.
Not based on this chart. One cannot come to that conclusion based on what you presented.
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Thank you for that thorough analysis. Can you offer any explanation for it, or does the graph just help us pinpoint the emergence of human greed?
What if profit per unit decreased?
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Yep, looking at total profit is pointless. Percent profit is the only thing that matter since it adjusts inflation.
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Productivity =/= profitability.
You cannot look at the graph you posted and infer the conclusions you’ve made.
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He can’t fathom this. To him, making more widgets means more profitability. This isn’t even meant as an insult, he just has no clue at all.
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The company I work for produced more of our product this year (2022) than in any year I’ve worked there and had higher gross sales than ever before. Our profit margin was down about 4%.
Again, he’s just clueless.
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Which I am sure showed as record revenue (something he rails on companies for nowadays) but he can’t comprehend the difference between revenue and realized profit margin year over year.
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Ya, it’s been interesting managing morale as annual increases have been minimal and our bonuses were much smaller than previous years. I don’t really blame most people because I don’t expect them to understand these things.
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Past a certain point, costs can skyrocket as production ramps up.
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That’s okay - just issue more money 
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Yeah, but its tax money, so it doesn’t count. Its not like money people make.
Unless they are making it, which is taxed…
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Don’t forget taxed when we spend it too.
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Well yeah, theres that.
But still, its tax money. Its not like money you make.
See, they issue the money and people get it then they spend it, and its taxed every step of the way. That way they can give it back to you so that you can spend it.
Hakuna matada MMT style. Or something.
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As long as the resources are there and production is up an increase in money supply will not cause inflation.
And IF this happened on many different graphs could one confer this is most likely legit?
If one believes that increased productivity translates into more profits, what other conclusion would one determine?
With the widening wealth gap it isn’t hard to figure out. Accept for someone trying to make excuses.