Rabobank researchers regret introducing the term “inflation grab”. In a recent study, researchers sought to determine whether high inflation is being used by companies to boost profits. The term “Graaiflation” has also been used. Researcher Hugo Erken later regrets it, he tells the FD.
The choice was the right one for ‘recognizability’ in the debate, Erken tells the paper. “But there’s a moral judgment hidden in it, and that evokes emotion.” Even a neutral term like “profit inflation” could have been used, says FD journalist Marijn Jongsma, who wrote the article. “But then no one will know what you’re talking about.”
In retrospect, the researchers regret the moral judgment that companies are “grabbing.” “Everyone has run away with that report, even if they’re not saying there’s really ‘inflation takeaway,'” Jongsma explains. “They say there are strong signals, but they are not sure. That relationship took on a life of its own.”
Labor unions
Unions in particular have enthusiastically used the term. ‘It helped, because unions like to sift through reports they haven’t made themselves. It comes from an unexpected perspective, one could almost say,’ says Jongsma. He thinks, however, that the inflation hoax debate would have flared up even without the Rabobank report. “Like many things, it has already arrived from the United States.”
Source: BNR
Andrew Dwight is an author and economy journalist who writes for 24 News Globe. He has a deep understanding of financial markets and a passion for analyzing economic trends and news. With a talent for breaking down complex economic concepts into easily understandable terms, Andrew has become a respected voice in the field of economics journalism.
