This has to be the most asinine thing I have read
The government can’t run a grocery store, so lets just have them tell them what they can charge. And then make the credit card companies subsidize it.
It makes absolutely no sense, grocery inflation is down to 2.1%. Wages are up 3.7% over the last 13 months.
I don’t see this going anywhere.
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Not now, but the author of this abomination chaired Biden’s Council of Economic Advisors. So as ludicrous as this is, real decision makers are the ones that are putting it forward.
grocery stores are very low margin. This would be a very bad idea. It’s one thing to cap a high margin industry, it’s another when it’s a low margin industry.
After reading the article, this is a really dumb idea.
And it is coming from a person who, less than two years ago, was crafting economic policy for the White House. “Fringe” economic policy has taken over one of our major political parties.
One?
Are the Democrats now following Richard Nixon? Wage and price controls were tried in 1971 and were dismal failures.
Yes, the one that brought us 9% inflation.
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The issue I see is that capping prices means the stores will have to put pressure on suppliers. If the suppliers can’t make a profit, they won’t grow or will sell somewhere else. The stores if they lose money, won’t purchase. The credit companies just get screwed which means they wil raise fees elsewhere
If stores can’t make profit they will close under performing stores, then lefties will whine about minority communities becoming food deserts and blame the mean stores.
Why would they close stores over strawberries? They’d just stop selling strawberries