Pricing Power : The phenomenon where the value of money falls below the price of goods is called inflation , and it is said we are currently in an era of inflation. However, it’s not that simple. Inflation is realistically characterized by prices not rising all at once during an inflationary period but rather increasing rapidly for some items and slowly for others over several years. This phenomenon is known as the ‘ Cantillon Effect .’ In other words, inflation is neither uniform nor regular. Conversely, when prices fall below the value of money, it is referred to as deflation . To survive deflation, companies must innovate, often by reducing costs and expenses. During inflation, rising costs must be passed on to other economic agents through increased prices, a concept known as Pricing Power. Since companies cannot pass on all the rising costs, many go bankrupt during periods of inflation. - Joseph’s “just my thoughts”
Maturity doesn’t equate to being old and worn out. When I was younger, I shouted my words at the world, hoping it would recognize them. As I’ve matured, I’ve started to listen to what the world has to say to me instead of merely expressing my own thoughts. The world’s voice, which I hadn’t noticed before, becomes oddly clear to my ears. As I grow older, I find that I can’t hear the world’s voice. I don’t hear it because I enthusiastically spoke out when I was younger, and I don’t hear it again in my old age due to a hearing impairment. Life teaches us to perceive authentic sounds from outside rather than from within, and this awareness lasts only a brief moment. That’s the mystery of life. - Joseph’s “just my thoughts”