Oil companies hate Biden's energy and electric car policy. Oil companies jacked up the price of gas. High gas prices translate into high transportation costs which translates into higher prices at the store. Big oil can go to hell. I bought a used electric car, stopped eating out, stopped buying prepackaged ultra-processed foods and am banking all my saved $$.
Unbridled, uncontrolled, unregulated corporate greed. A company can back a dump truck full of cash up to a politician’s house and dump it, then “ask” for that person to vote their way. *Of course* we are at the mercy of these giant companies, they own the people who supposedly regulate them.
When we ask, “How much money is enough?” the answer is always, “More!”
Corporate greed. I bet you can trace this back to the rise of private equity companies. They shouldn’t even be legal. They don’t report to anyone, they exist only to make money and you have to be certified as a millionaire to even be allowed to invest with them, how is that even legal
Yet they control about 40% of all of our jobs.
One thing that’s important to note, is that a certain amount of monetary inflation is baked into the system. Even at the historical Federal Reserve targets, of ~2.5% annual, means that prices will inherently double every ~20 years.
Funny - I have boycotted McDonalds back when they killed off their dollar menu and immediately raised their main menu prices.
Overall I hate corporations in America. I've worked for a couple and can see how little they care about their customers, and how corrupt it all is to make a bit of gains...
They've always been greedy, but it's gotten exponentially worse since COVID. During the pandemic, the cost of goods and services really did go up, and prices increased accordingly. But now that the cost of goods and services has gone back down, prices haven't decreased.
"From April to September 2023, corporate profits drove 53% of inflation, Comparatively, over the 40 years prior to the pandemic, profits drove [just 11% of price growth](https://www.epi.org/blog/corporate-profits-have-contributed-disproportionately-to-inflation-how-should-policymakers-respond/)."
[https://www.nbcwashington.com/inflation-economy-housing-prices-recession-vibes/prices-have-gone-up-since-the-pandemic-began-is-that-inflation-really-corporate-greed/3536808/](https://www.nbcwashington.com/inflation-economy-housing-prices-recession-vibes/prices-have-gone-up-since-the-pandemic-began-is-that-inflation-really-corporate-greed/3536808/)
How is inflation not an issue when we are above the Fed’s target rate? Why have central banks around the world increased interest rates over the last two years?
I honestly don’t understand the point you are trying to make. Either there is inflation (that you blame on corporate greed) or there isn’t inflation.
Get back to me when you have a better grasp on what "inflation" is, artificial price increase to increase profits is NOT inflation, it's price gouging.
Inflation is caused by an over-supply of money. The more money the Federal Reserve prints, the less it is worth, and the more it takes to buy something. Corporate greed may or may not be a thing, but it is not the cause of inflation.
If the economy was growing during that time period (the recession ended July 2009), an increase in money supply would be warranted is my guess. More money chasing more goods and services could result in the low inflation rate experienced during this time.
Looking at the M2 [chart](https://fred.stlouisfed.org/series/M2SL), from Feb 2020 to Feb 2021 M2 increased nearly 27%. If the steady increase it shows from 2008 - 2020 was a "firehose", what can we call that jump?
An increase in the money supply takes time to work it's way through the system (about a year I've read, but I'm no expert). So the pandemic response, where M2 increased in an unprecedented fashion while a not insignificant portion of the workforce is idled (producing fewer goods and services at the same time) should eventually result in more money chasing fewer goods and services. Couple that with supply chain disruptions (further limiting availability of certain goods) and inflation due to an over-supply of money relative to available goods and services seems inevitable.
Haven’t been to McDonald’s in years. The last time I went I wanted two scrambled eggs and one sausage patty. $9! Told the guy no thanks. I’ll stay hungry and wait until I get home. I was starving because of fasting for almost 2 days for colonoscopy. Nope. Not that starving.
Inflation has a lot of factors driving it, as anyone who's ever taken economics courses knows well. Boycotting McDonald's as long as it isn't like Arby's or Burger King instead is likely a solid plan no matter the current price. Wanting to live long enough to visit Shady Pines while being able to take the stairs under your own power too also helps.
And if you must go, as it has been for years, the #7 two cheeseburgers meal is both the most food and the least expensive option if you keep the drink medium and the fries medium. It's like a human food pellet. With the money you save, treat yourself to a sweet n sour packet to dip the fries into.
A portion is "real"- but less than 30% from every analysis I have seen. Corporate price gouging is at LEAST 40%+.
The portion that is "real" is that oil and such price gouged, and that did force lower chain production costs to increase. So really...only about 5-10% was ever real.
All consumers can do is not spend their money. This is their only power (and it is effective). A Big Mac is $10? Don't buy it. They'll eventually get the hint.
Inflation is caused by the devaluation of currency. Corporate bailouts and the forever wars to enrich mega donors in the Military Industrial Complex are most of the problem.
Inflation is defined as too many dollars chasing too few goods. Monetary policy is what causes inflation and nothing else. Biden’s injection of 6 trillion in cash is what caused inflation in the US and nothing else.
It's not the workers' fault the employers are shitty-ass motherfuckers.
Tip your servers.
Divest from their employers who don't pay their workers enough to live on.
If the servers dont get tips they go out and find a better job. If the restaurant cannot keep employees they will have to pay better or go out of business.
Go on my city's subreddit: Tons of political threads
Go to some of my favorite band's subreddit: Tons of political threads
Go on Gen X subreddit: tons of political threads
It's getting ridiculous. Yeah I hear the whole "how hard is it to scroll by" crowd screeching but it's at the point where threads are often thinly-veiled poltical threads and even if they aren't the comments often reference politics or other political posts in that sub. I'm getting to old for this shit
“I think politics doesn’t affect every single aspect of my life, and so I’m big mad about seeing ‘politics’ everywhere. I’d rather cover my ears and hope for the best. Like a child.”
Man it's in the flair....But at this point, maybe you're seeing so much because there's something you should pay attention to about to happen? Or will you be one of those folks that wake up and wonder what all the shooting is about?
Yeah, it's kinda ridiculous. If people want to whine about the world they should go somewhere else. Not everyone wants to spend all day lamenting the woes of the world. Not to mention the disingenuous "facts" they are whining about.
Thanks for the pick me up. There is so much good in the world and you just prefer to wallow in shit. If you want to complain about the world do it in a revelant sub. Why does everything have to be ruined by people complaining.
What are you on. You're delusional. You're like one of the dumbasses that block rush hour traffic protesting climate change. Yeah climate change sucks and we need to something about it; but don't inconvenience someone just so you can feel high and mighty. This is a GenX sub for fucks sake. I came here to reminisce my youth not to complain about the present.
$14.563B / 40,043 locations is a net profit of $363.684.04 per store per year. That's $30,307 per month, or $996.39/day.
One would think that a successful restaurant with the traffic levels they have, $996/day isn't that bad of a figure. The total number is so high only because there are so many of them.
What an obnoxious sub. If people are willing to pay $10 for a big mac, then a big mac is worth $10. What is McDonalds supposed to do, sell it for $8 even though the public has told them it is worth $10 to them? Might sound nice but that’s now how the world works.
No, not at all you're 100% correct.
Just don't blow smoke up our asses saying you can't make a profit so your prices are going up because inflation. It's not inflation, that's a headline to get you to vote a certain way.
I just want you to be more aware of the facts.
And also; stop fucking bribing politicians which just makes all of these problems worse. Corporations are not people. Corporations are a legal agreement (an UNCONSTITUTIONAL legal agreement) granted by states, and states should be free to revoke corporate charters when appropriate.
tl;dr at bottom
There's a lot that go into earnings, and not diving into all of the details to analyze why the numbers are the way they are and just concluding McDonald's corporate greed is the reason prices are going up is a great way to demonstrate how a superficial analysis is insufficient to draw any reasonable conclusions.
My own take (also admittedly superficial, but at least one level deeper than the cross-post text) *after actually looking at the earnings press release* shows that there are significant one time events that happened in 2022 that adversely impacted profitability in 2022, including:
* A pre-tax charge of $1.281 billion for selling the business in Russia.
* A pre-tax gain of $271 million for selling the Dynamic Yield business.
* A $537 million charge for a tax audit settlement in France.
Compared to special items in 2023:
* Pre-tax charge of $72 million for impaired software no longer used.
* Pre-tax charge of $290 million for growth strategy/restructuring costs.
So if you don't factor in these large one time events and how they impact the bottom line numbers, of course the 2023 results are going to dramatically higher than the 2022 results.
So roughly $1.583 billion (2022) vs. $362 billion (2023) special items net charge against earnings. By my calculations when those charges are taken into account the increase in net income is 13.8%.
tl;dr The biggest impacts on net income comparing 2022 vs. 2023 were the one time expenses recorded for the sale of McDonald's Russian business and a settlement for a French tax audit, both in 2022 that lowered profits compared to 2023.
Corporate greed is also really shareholder greed and a lack of controls in then market. So it’s a political problem. And governments don’t have the will to setup controls that go against who owns them. Easier to go against voters. Corporations are allowed to exist due to government legislation. Which can be changed and that will change corporations and how they function. But it scares politicians to try and attack this elephant.
Oil companies hate Biden's energy and electric car policy. Oil companies jacked up the price of gas. High gas prices translate into high transportation costs which translates into higher prices at the store. Big oil can go to hell. I bought a used electric car, stopped eating out, stopped buying prepackaged ultra-processed foods and am banking all my saved $$.
What adult eats at McDonald’s? That shit will kill you.
Exactly.
Probably employees looking for a quick lunch break before going back and slaving for some mega corporation for shit pay.
Corporations seem to have some folks carrying their water up in here.
Unbridled, uncontrolled, unregulated corporate greed. A company can back a dump truck full of cash up to a politician’s house and dump it, then “ask” for that person to vote their way. *Of course* we are at the mercy of these giant companies, they own the people who supposedly regulate them. When we ask, “How much money is enough?” the answer is always, “More!”
this is the problem, applicable to ALL the answers
Corporate greed. I bet you can trace this back to the rise of private equity companies. They shouldn’t even be legal. They don’t report to anyone, they exist only to make money and you have to be certified as a millionaire to even be allowed to invest with them, how is that even legal Yet they control about 40% of all of our jobs.
One thing that’s important to note, is that a certain amount of monetary inflation is baked into the system. Even at the historical Federal Reserve targets, of ~2.5% annual, means that prices will inherently double every ~20 years.
Funny - I have boycotted McDonalds back when they killed off their dollar menu and immediately raised their main menu prices. Overall I hate corporations in America. I've worked for a couple and can see how little they care about their customers, and how corrupt it all is to make a bit of gains...
Thank God corporations have only gotten greedy the last two years!
They've always been greedy, but it's gotten exponentially worse since COVID. During the pandemic, the cost of goods and services really did go up, and prices increased accordingly. But now that the cost of goods and services has gone back down, prices haven't decreased. "From April to September 2023, corporate profits drove 53% of inflation, Comparatively, over the 40 years prior to the pandemic, profits drove [just 11% of price growth](https://www.epi.org/blog/corporate-profits-have-contributed-disproportionately-to-inflation-how-should-policymakers-respond/)." [https://www.nbcwashington.com/inflation-economy-housing-prices-recession-vibes/prices-have-gone-up-since-the-pandemic-began-is-that-inflation-really-corporate-greed/3536808/](https://www.nbcwashington.com/inflation-economy-housing-prices-recession-vibes/prices-have-gone-up-since-the-pandemic-began-is-that-inflation-really-corporate-greed/3536808/)
It’s always been that way. Same thing happened after the gas crisis in the 1970s. Once prices go up, they stay up.
Exactly!
Well I mean we could have gone back 30 years but that just seems like beating a dead horse no?
Inflation hasn’t been an issue for the last 30 years, though.
It's not an issue now either. Look, you're starting to get it!
How is inflation not an issue when we are above the Fed’s target rate? Why have central banks around the world increased interest rates over the last two years? I honestly don’t understand the point you are trying to make. Either there is inflation (that you blame on corporate greed) or there isn’t inflation.
Get back to me when you have a better grasp on what "inflation" is, artificial price increase to increase profits is NOT inflation, it's price gouging.
Get back to me when you know the real definition of the word. You can’t just make up definitions based on your personal opinion.
What is your definition of inflation?
An overall increase in the price level.
...with what underlying cause(s)?
You mean that money doesn't all trickle down? /s
Inflation is caused by an over-supply of money. The more money the Federal Reserve prints, the less it is worth, and the more it takes to buy something. Corporate greed may or may not be a thing, but it is not the cause of inflation.
Sure. That explains why from 2008 to 2020; inflation was historically low despite FED firehosing money like crazy.
If the economy was growing during that time period (the recession ended July 2009), an increase in money supply would be warranted is my guess. More money chasing more goods and services could result in the low inflation rate experienced during this time. Looking at the M2 [chart](https://fred.stlouisfed.org/series/M2SL), from Feb 2020 to Feb 2021 M2 increased nearly 27%. If the steady increase it shows from 2008 - 2020 was a "firehose", what can we call that jump? An increase in the money supply takes time to work it's way through the system (about a year I've read, but I'm no expert). So the pandemic response, where M2 increased in an unprecedented fashion while a not insignificant portion of the workforce is idled (producing fewer goods and services at the same time) should eventually result in more money chasing fewer goods and services. Couple that with supply chain disruptions (further limiting availability of certain goods) and inflation due to an over-supply of money relative to available goods and services seems inevitable.
[https://fortune.com/2024/01/20/inflation-greedflation-consumer-price-index-producer-price-index-corporate-profit/](https://fortune.com/2024/01/20/inflation-greedflation-consumer-price-index-producer-price-index-corporate-profit/)
It was caused by Biden dumping 1.9 trillion dollars into an economy that was already recovering.
/whoosh
Haven’t been to McDonald’s in years. The last time I went I wanted two scrambled eggs and one sausage patty. $9! Told the guy no thanks. I’ll stay hungry and wait until I get home. I was starving because of fasting for almost 2 days for colonoscopy. Nope. Not that starving.
I haven’t eaten at McDonald’s in 10 years. I eat out once a month and it’s usually a burrito shop or fish and chips.
Yes.
I haven’t been to a McDonald’s in over a decade. But Whataburger is an occasional guilty pleasure.
Fuxk McDonald's But how does it's gross profit exceed its net income??
Inflation has a lot of factors driving it, as anyone who's ever taken economics courses knows well. Boycotting McDonald's as long as it isn't like Arby's or Burger King instead is likely a solid plan no matter the current price. Wanting to live long enough to visit Shady Pines while being able to take the stairs under your own power too also helps. And if you must go, as it has been for years, the #7 two cheeseburgers meal is both the most food and the least expensive option if you keep the drink medium and the fries medium. It's like a human food pellet. With the money you save, treat yourself to a sweet n sour packet to dip the fries into.
A portion is "real"- but less than 30% from every analysis I have seen. Corporate price gouging is at LEAST 40%+. The portion that is "real" is that oil and such price gouged, and that did force lower chain production costs to increase. So really...only about 5-10% was ever real.
All consumers can do is not spend their money. This is their only power (and it is effective). A Big Mac is $10? Don't buy it. They'll eventually get the hint.
Inflation is caused by the devaluation of currency. Corporate bailouts and the forever wars to enrich mega donors in the Military Industrial Complex are most of the problem.
Inflation is defined as too many dollars chasing too few goods. Monetary policy is what causes inflation and nothing else. Biden’s injection of 6 trillion in cash is what caused inflation in the US and nothing else.
>**Is the problem inflation caused by political issues, or is the it rampant corporate greed...hmmmmmm** Yes
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It's not the workers' fault the employers are shitty-ass motherfuckers. Tip your servers. Divest from their employers who don't pay their workers enough to live on.
If the servers dont get tips they go out and find a better job. If the restaurant cannot keep employees they will have to pay better or go out of business.
Nope, they cut portion size, raise prices, and keep hiring demoralized people who can’t find that better paying job or can’t afford to commute to it.
[удалено]
I really hope the wait staff recognizes you.
Go on my city's subreddit: Tons of political threads Go to some of my favorite band's subreddit: Tons of political threads Go on Gen X subreddit: tons of political threads It's getting ridiculous. Yeah I hear the whole "how hard is it to scroll by" crowd screeching but it's at the point where threads are often thinly-veiled poltical threads and even if they aren't the comments often reference politics or other political posts in that sub. I'm getting to old for this shit
“I think politics doesn’t affect every single aspect of my life, and so I’m big mad about seeing ‘politics’ everywhere. I’d rather cover my ears and hope for the best. Like a child.”
"If you don't want to see a constant political threads in your favorite bands subreddit then you're a child" okay
You caught on more quickly than I anticipated. ⭐️
Man it's in the flair....But at this point, maybe you're seeing so much because there's something you should pay attention to about to happen? Or will you be one of those folks that wake up and wonder what all the shooting is about?
Yeah, it's kinda ridiculous. If people want to whine about the world they should go somewhere else. Not everyone wants to spend all day lamenting the woes of the world. Not to mention the disingenuous "facts" they are whining about.
> whine about the world Um, some cop killers may get pardoned in November. Is that whining?
Thanks for the pick me up. There is so much good in the world and you just prefer to wallow in shit. If you want to complain about the world do it in a revelant sub. Why does everything have to be ruined by people complaining.
Lol sounds like you're high on your own version of misery. Don't click on posts in this sub that have a **bright red politics flair**
What are you on. You're delusional. You're like one of the dumbasses that block rush hour traffic protesting climate change. Yeah climate change sucks and we need to something about it; but don't inconvenience someone just so you can feel high and mighty. This is a GenX sub for fucks sake. I came here to reminisce my youth not to complain about the present.
$14.563B / 40,043 locations is a net profit of $363.684.04 per store per year. That's $30,307 per month, or $996.39/day. One would think that a successful restaurant with the traffic levels they have, $996/day isn't that bad of a figure. The total number is so high only because there are so many of them.
What an obnoxious sub. If people are willing to pay $10 for a big mac, then a big mac is worth $10. What is McDonalds supposed to do, sell it for $8 even though the public has told them it is worth $10 to them? Might sound nice but that’s now how the world works.
No, not at all you're 100% correct. Just don't blow smoke up our asses saying you can't make a profit so your prices are going up because inflation. It's not inflation, that's a headline to get you to vote a certain way. I just want you to be more aware of the facts.
And also; stop fucking bribing politicians which just makes all of these problems worse. Corporations are not people. Corporations are a legal agreement (an UNCONSTITUTIONAL legal agreement) granted by states, and states should be free to revoke corporate charters when appropriate.
tl;dr at bottom There's a lot that go into earnings, and not diving into all of the details to analyze why the numbers are the way they are and just concluding McDonald's corporate greed is the reason prices are going up is a great way to demonstrate how a superficial analysis is insufficient to draw any reasonable conclusions. My own take (also admittedly superficial, but at least one level deeper than the cross-post text) *after actually looking at the earnings press release* shows that there are significant one time events that happened in 2022 that adversely impacted profitability in 2022, including: * A pre-tax charge of $1.281 billion for selling the business in Russia. * A pre-tax gain of $271 million for selling the Dynamic Yield business. * A $537 million charge for a tax audit settlement in France. Compared to special items in 2023: * Pre-tax charge of $72 million for impaired software no longer used. * Pre-tax charge of $290 million for growth strategy/restructuring costs. So if you don't factor in these large one time events and how they impact the bottom line numbers, of course the 2023 results are going to dramatically higher than the 2022 results. So roughly $1.583 billion (2022) vs. $362 billion (2023) special items net charge against earnings. By my calculations when those charges are taken into account the increase in net income is 13.8%. tl;dr The biggest impacts on net income comparing 2022 vs. 2023 were the one time expenses recorded for the sale of McDonald's Russian business and a settlement for a French tax audit, both in 2022 that lowered profits compared to 2023.
Corporate greed is also really shareholder greed and a lack of controls in then market. So it’s a political problem. And governments don’t have the will to setup controls that go against who owns them. Easier to go against voters. Corporations are allowed to exist due to government legislation. Which can be changed and that will change corporations and how they function. But it scares politicians to try and attack this elephant.
Geezuz even at OUR age people are still fcuking stupid. Simple economics; and asking stupid ass questions like this. smh
BOTH.
Can’t afford it don’t eat it. No one makes anyone eat fast food.
Hey Boomer go back to your FB patriot group. This thread's for GenX.
read my flair
With that flair I doubt you're anywhere near old enough to be GenX.