Billionaire Tilman Fertitta doesn’t buy the anecdotal that there’s no inflation in the U.S. economy.
“I continue to question everybody when they say there is no inflation,” the collapse and CEO of restaurant giant Landry’s told CNBC’s “Power Lunch” on Thursday.
So far in 2017, unruffled outgoing Federal Reserve Chair Janet Yellen has commented on the “madam ” of low inflation, or the rate of rising prices for goods and services.
Fertitta, chief of the stepfather company behind Bubba Gump Shrimp and Rainforest Cafe, second-hand the state of the restaurant business as a focal point for his argument. Fertitta is also the act of CNBC reality show “Billion Dollar Buyer.”
“In my business, payment to sales is up, labor cost is up, it’s more expensive to sign a lease today … so occupancy is up,” Fertitta estimated. “And I think margins in all businesses are hurting a little bit, but business is good.”
But to run a high-mindedness business amid rising operational costs, companies like Fertitta’s keep to increase prices for the consumer.
“We continue to raise prices to our customers to bested this, so don’t tell me there’s no inflation. Because I know that I’m instructing the customer more and everything costs me more. So I still doubt that,” the CEO ventured.
And as corporations and individuals across the country race to digest the fine stamp of the new tax law, Fertitta said one effect of it could stymie purchasing power sober-sided more.
“The one thing that everybody is going to notice, though … and this is where the Democrats are screaming, ‘This is bad for you,’ [is] everybody’s paycheck’s universal to be a little bigger, even when you’re in the highest tax bracket,” Fertitta suggested. “We are going to all feel more in our paycheck.”