99 sats \ 3 replies \ @siggy47 17 Apr \ parent \ on: Japanese Yen continues to crash, almost 155 Yen to USD 📈 econ
Thanks for your input. I don't think it would be a case of price gouging if the falling yen causes price increases. It may not be controllable. Please keep us updated if you sense a change.
Yes I must of edited my comment to be more precise after you replied, sorry. I don't believe the narrative of greedy businesses price gouging, but more likely the supermarkets would "take the hit" to maintain a stable price and either reduce the quality in the least damaging way possible or otherwise cut costs elsewhere while maintaining high standards.
E.g. in my experience if word got out that a place is "expensive" it would kill it and someone else would come in and work harder to undercut them.
One could probably write a book on the dynamics of "Japanese society", but there are expectations around price and quality and a very strong anchoring bias as the place has not had inflation for 30 years. That may change soon, you see stickers with new prices written in restaurants etc, but price increases are still emerging as a "thing".
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I think that not having had inflation for the last 30 years will be quite hard for the average young Japanese, who does not understand how Fiat and the economy work. By living anchored to the JPY all the little savings power you have, you will see how the purchasing power in your hands is diluted... fact: for periods of high inflation "money is of no use and merchandise works better to save saving power." buy so to speak, although if you are reading this, you already know bitcoin and will not suffer from the inflation of Fiat money
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