Can governments regulate how much profit margin companies can have?

223 views

I keep seeing comments about how companies are having record profits, and consumers are paying for inflationary prices. Can governments regualte profit margins as a form of consumer protection?

In: 0

10 Answers

Anonymous 0 Comments

They sort of do via taxation, which effectively penalizes a company for making too much profit.

However there are so many ways now for a company to get round those loopholes, not the least being shareholder dividends, that it isn’t really effective any more.

You are viewing 1 out of 10 answers, click here to view all answers.