Eli5, Why do people raise prices during inflation?

Question

Doesn’t that make inflation worse?

In: 0

Answer 1

They aren’t concerned with the impact on inflation, instead the costs that the workers are having to pay in the shops has gone up so to keep the workers from losing out they raise workers wages, in addition fuel, electricity and other costs also have been rising so they raise the costs of the goods that they provide to maintain the profit margin.