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TheSilverOak t1_jdz6w44 wrote

Reply to comment by n1ck90z in Who is taking the extra profit here? by n1ck90z

>prices did not come down

Are we looking at the same graph?

It's normal for long-term contracts to trail spot prices. This is common in a wide range of markets

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n1ck90z OP t1_jdz7qli wrote

I mean the imported goods prices did not come down for the consumer

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SateliteDicPic t1_jdzgis7 wrote

Prices for the consumer will not fall unless the economy enters a deflationary phase which economists tend to view as negative.

Consider an example. Back in or after the GFC oil spiked higher and airlines added fees that were implemented so they could “survive.” All those fees are still being charged today (baggage fees, etc) to my knowledge. Once an industry manages to condition consumers to certain fees, price points, etc they will not roll those changes back until forced to by market conditions or regulation.

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