[cuuupid]

Everyone has been repeating this for months but inflation remains relatively normal so prices are not rising. Maybe it's a delayed effect that we won't see until later in the year, but at this point it is a theory and far from a fact, not something that needs to be repeated.

We have already observed that the opposite does not hold - in 2017 we slashed corporate income tax by 14% across the board, roughly the same as the tariffs but with far more surface area, and yet prices did not react and the benefits were not passed along to the consumer.

All we _know_ right now is that this is going to negatively impact economic growth by hitting corporations, the same way slashing corporate income tax positively impacted economic growth by benefitting corporations.

[marcosdumay]

Tariffs don't inherently cause inflation.

The noise about inflation is very likely propaganda trying to focus people on something that the government can control. (Yet, it looks like the US government is giving up on controlling it.)

Instead, tariffs have complex effects on the real economy. Universal tariffs do cause the concentration of wealth the GP was talking about (but it's way worse than the GP's claim) and deindustrialization. Inflation may or may not happen, it's not a given.

[freen]

Companies have reserves, local stock etc.

Fixed prices are a bet on TACO and hoping to avoid the orange rage: see what happens when you blame price increases on tariffs.

Lots and lots of bribes have been paid. This is yet another.

[cuuupid]

We will definitely see but it's still a theory at this point, and one that has not played out the other way in the past with a reduction on corporate tax _across the board_

> Fixed prices are a bet on TACO

Having been part of some of these conversations it's mostly a bet that democrats will win back control sometime in the next decade and do a full reversal. When that happens, you don't want to be caught out with less market share because you adjusted your prices to maintain your bottom line. Same logic as startups burning VC cash on offering free compute, 80% discounts on tokens, etc. to grab market share.

If you're in an elastic market, your priority is not to maximize profit, it's to make the market inelastic.