> But there are growing fears of a wage-price spiral in which workers, seeing rising prices, demand higher pay — and companies, having to pay their workers more, start charging higher prices. These higher prices lead workers to demand even higher pay, leading companies to charge higher prices, and so on. It's the inflationary cycle of nightmares.

Can someone explain to me how this works? I'd assume wages to prices are a bit asymmetric. E.g., McD's sells 100 burgers per employee per hour at $2 each. It raises wages from $10 to $15/hour. To keep margin, it now needs to charge $2.05 - which is an increase, sure, but asymmetric: a 50% increase in wages implies a 2.5% increase in prices.

Assuming that occurs everywhere - why do workers need to now demand still-higher pay?