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Covid made things worse, but the fundamentals were bad.
We are in the middle of a massive tightening of the labor market as boomers retire and there aren't enough young adults to fill the gap. This is causing major ripples in the market, with a very antagonistic relationship forming between capital trying to keep labor costs down and labor tired of the bullshit.
This is causing some mild inflation, so companies are jacking up prices since they have an excuse to. This increased inflation is making the time value of money cost more. So now you have companies that were losing money having to scramble to finally generate a profit. This is causing the enshittification of the Internet and the loss of jobs in the tech sector.
The worse economy is causing political problems as it is harder for politicians to justify their positions in power. This encourages conflict between nations and the justification to deny some people of social benefits to create an underclass to benefit voters.
I agree with this, and I'd like to add that the wealth gap focusing on funneling money to the top is obviously not helping the quality of products, responsible production , or fair compensation for most of the world.
Yeah, but I'm trying to explain why it is happening. You've hit market saturation in so many companies when the only way to fuel growth now is to reduce costs.
Cumulative generational focus on acquiring and consolidating capital explains the why comprehensively, at least in the states.
Monopolies, market saturation, minimizing cost at all costs, poor labor compensation are all symptoms of a system focused primarily on acquiring and consolidating capital.