I’ll rephrase what the other user said: businesses are not typical consumers. An... | Hacker News

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orra on Nov 3, 2022 | parent | context | favorite | on: Stripe laying off around 14% of workforce

I’ll rephrase what the other user said: businesses are not typical consumers. And CPI measures typical consumer price inflation.

Hence, it's disingenuous for businesses to put up prices by CPI. In fact, businesses putting up prices is often a driver of CPI.

Businesses face their own changes in prices, yes, but not by CPI.

zeroonetwothree on Nov 3, 2022 | [–]

They also have the PPI, which measures costs to businesses. It's roughly equal to CPI: https://www.bls.gov/ppi/

orra on Nov 3, 2022 | | [–]

Using PPI is probably more honest than CPI. But the other problem remains, that a 'typical' measure doesn't reflect each individual business.

whimsicalism on Nov 3, 2022 | [–]

Businesses price at willingness to pay.

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