Money And Inflation

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the product for.

Profit margins can have a direct impact on the consumer. The more an item
cost, the less a consumer will want to purchase that particular good. Higher
profit margins may be able to balance a company's budget, but unless their
product is in very high demand, most people will want to buy the product. The
lack of people purchasing the item may cause the company to lose money and have
no alternative other than to lay off workers. People out of work means that
less consuming will take place, meaning that other businesses will hurt due to
the lack of sales, perhaps causing those other businesses to move up their own
profit margin, in turn creating the same cycle at a faster rate.

With businesses under, the unemployment rate would be phenomenal. People
would be seeking government assistance while the government itself is so far in
debt and tied up in credit. The government assistance would add to the already
huge problem of the federal government spending ...

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