While the US inflation skyrocketed, the White House blame the monopolies, economist demands price controls-economy
While the US inflation skyrocketed, the White House blame the monopolies, economist demands price controls-economy
The US inflation is glowing hot and a number of analysts and economists predict that America will be faced with further economic problems, since politicians and bid administration are responsible for this. This perspective of increasing inflation has caused financial authors such as Isabella Weber to assume that price controls in America could relieve economic stress.
The government of Biden makes inflation due to the greed and the monopolistic behavior of companies
America has struggled with the worst inflation for over four decades, and the White House believes that a harder anti-monopoly policy could fix the situation. In addition, some congress leaders want online e-commerce giant such as Amazon with suggestions such as that of Senator Amy Klobuchar (D-Minn.) Law on innovation and online competition . Senator Tom Cottons (R-Ark.) Platform competition and Opportunities Act (PCOA) should also reform antitrust law.
The White House blames monopolistic behavior for loss of purchasing in America. Last month, the white house Common data The claim that four corporate units in the meat -processing industry had fueled inflation. Nyu-professor Marion Nestle told the New York In an interview that "your goal is to control the market so that you can control the price". Despite the statement of bidens government, the North American Meat Institute says the claims are wrong .
economist believes that it is time to think about price controls
This has led to a violent debate and only recently the financial author Isabella Weber published a opinion editor about the Guardian, who says: "We have a powerful weapon to combat inflation: price controls. It is time that we think about it." Weber's editorial states that US economists recommended "strategic price controls" during the Second World War. The activities of the free market are essentially called in, since prescribed prices and restrictions are introduced and enforced by governments. This means that the manufacturer has no say in the pricing of goods and services and the government has full control.
Weber ideas are not very popular and even the Nobel Prize winner and economic Paul Krugman has blown up the concept. In a tweet, Krugman Schrieb : "I am not a zealer of the free market. But that's really stupid." The next day, however, Krugman apologized to Weber and said he deleted the tweet. Krugman said :
, with an extreme apology, my tweet via Isabella Weber to price controls. No excuses. It is always wrong to use this tone against anyone who argues in good faith, no matter how much you disagree - especially if there is so much malaver.
price control concept mocked, Harvard economist insists that "there is no basis for the assumption that the monopoly has increased"
Another person made fun of the idea of price control and said: " 'F ***, we need price controls'. ” "Anyone who calls themselves economists and is also a supporter of price controls deserves it to be mocked, ashamed and insulted," says the Twitter account hazlitt tweeted . The moderator of the Podcast "Smart People Sh*T" Dennis porter said :
price controls are what every government carries out before the whole thing collapses.
Even the democratic economist and high-ranking civil servants of the Obama administration, Larry Summers insists that the strengthening of the Cartel laws of the US economy will not help. In a tweetstorm said: "The arbitration law can combat inflation, mirror the "Symptoms of science. Finally, the Harvard economist emphasized that the monopolistic behavior did not accelerate like inflation.
"There is no basis for the assumption that the monopoly power has increased last year, in which inflation has accelerated greatly," tweeted Summers.
What do you think of increasing inflation in the USA and the White House that accuses monopolistic behavior? What do you think of the concept of using price controls? Let us know your opinion on this topic in the comments below.
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