Corporate profits increase inflation - The prices of many goods and services have increased dramatically across Australia since 2021. This has resulted in hardship for many households—along with $100 billion in increased profits

Over The impacts of the pandemic and Russia’s invasion this time, the share of national income going to of Ukraine increased costs globally. [...] At over the world increased their prices to cover these the same time, the share going to wages and small increases in costs. [...] According to Even after the impacts of the pandemic and Russian Australia Institute research, these rising profits invasion have receded, some businesses have made up more than half of the inflation above the kept prices—and profits—high. [...] The profit margins Reserve Bank of Australia (RBA)’s target range of 2% of Coles and Woolworths, for example, are much to 3%.1 higher now than before the pandemic.3 The link between profits and inflation in Australia Australia is particularly vulnerable to profit- was replicated in research by the Organisation for influenced inflation because many Australian Economic Cooperation and Development (O. [...] The RBA aims to keep annual price rises These could include the reforms suggested in the between 2% to 3%.