Inflation & Corporate Profits
Based on a chart of corporate profits, Cal Berkeley professor Robert Reich claims that corporations “used inflation as cover to get rich” because “their profits have skyrocketed since 2020” and “hit a record high in Q4 2023.”
IN FACT, S&P 500 profit margins are lower than before Biden took office and inflation exploded. Reich’s chart fails to account for increases in population, GDP, and inflation. The last of these was caused by social spending and money printing that he supported.
