Excess DemandThankfully the BoC narrative has switched from Supply to Demand
"Overall, excess demand in the economy looks to be more persistent than anticipated."
Blaming inflation only on supply was laughable to anyone with a functioning noodle. Its supply AND demand. Demand curves are downward sloping. Revenues are price times volume.
Example: RW&Co has monopolistic characteristics in so far as RET can set prices. No one else can sell that brand. RW&Co also has a lot of competition from Zara, H&M, etc. so consumers can easily switch between retailers. When revenues, gross and operating margins increased in Q2 and Q3 that was a function of demand more than an increase in supply costs. If demand did not increase then the company would lower prices through promotions