Price controls won’t work

There is no rationale behind wage and price controls, which is why they have failed every time politicians have tried them.

Not only do they fail, but they distort and damage the economy in which they are tried.

No matter how dismal the historical record is, there are still some people around who think they can legistlate the economy.

Well, they cannot.

If they set prices too high, they will get a surplus, which is what happened in Canada when railway cars full of rotten eggs were criss-crossing Canada looking for a market.

If they set prices too low, they will get a shortage, which is what happened in the US in the 1970s when cars lined up around the block to buy gasoline.

Market distortions included carrying large gas cans in car trunks, very unsafe, planning your trips around the chances of buying gasoline, ludicrous laws specifying when it was legal to buy gasoline, etc.

OK, so what it the bureaucrats happen to set the price just right?


In that case you do not need them and have never needed them.

Now, when you get rid of them, that is real savings.

Gerry Miller