Prohibitive cost of goods and services

Over-priced goods and services
Inflated prices of goods and services

Nature

Because of high material and labour costs in countries producing goods, the base costs within price schemes are also high. This results in limited market access, since a number of countries do not have adequate buying power. Future development is geared towards the production of the goods which countries can afford to buy; and some parts of the world either do not get the goods that they need or else pay more than their buying power justifies.

Incidence

A 2022 report by the World Bank found that over 700 million people globally live in extreme poverty, with many unable to afford essential goods and services such as healthcare, education, and nutritious food. In high-income countries, rising inflation has also led to a significant increase in the cost of basic necessities, with the OECD reporting an average inflation rate of 9.6% in 2022, disproportionately affecting low-income households.
In 2021, Argentina experienced a surge in food prices, with the cost of basic food baskets rising by over 45% in Buenos Aires. This sharp increase rendered staple goods unaffordable for many families, leading to widespread food insecurity and public protests.

Claim

The prohibitive cost of goods and services is a critical issue that undermines the very fabric of our society. It exacerbates inequality, pushing essential items beyond the reach of countless families and stifling economic mobility. This crisis not only burdens the most vulnerable but also stifles innovation and growth. We must urgently address this escalating problem to ensure that everyone has access to basic necessities, fostering a fairer, more equitable future for all.

Counter-claim

The notion that the prohibitive cost of goods and services is a significant problem is exaggerated. In a thriving economy, prices reflect supply and demand, driving innovation and efficiency. Consumers have the power to choose alternatives, fostering competition that ultimately benefits everyone. Instead of lamenting costs, we should embrace the market's natural fluctuations and focus on personal responsibility and financial literacy. Overemphasizing this issue distracts from more pressing societal challenges that truly warrant our attention.