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Cato Daily Podcast

Harris's Price-Control Free Plan to Control Grocery Store Prices

Aug 29, 2024
Scott Lincicome, an expert on economic policies in grocery operations, delves into Kamala Harris's plan to combat corporate price gouging. He questions the practicality of the proposal, highlighting a disconnect between policy intentions and grocery market realities. The discussion covers why concerns about price gouging may be overstated as grocery inflation declines. Lincicome warns of the unintended consequences of price controls, emphasizing how government actions can lead to reduced availability and increased prices, reflecting the perils of populism in economic policy.
16:16

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Quick takeaways

  • Kamala Harris's vague plan to ban corporate price gouging raises concerns about its effectiveness and potential political motivations.
  • The rise in grocery prices is largely driven by broader economic factors, challenging the notion that corporate greed is the sole cause.

Deep dives

The Ambiguity of Price Gouging Policies

The proposed crackdown on corporate price gouging related to groceries lacks clarity and specific details, making it difficult to analyze its potential impact. The vagueness stems from the absence of comprehensive guidelines from the Kamala Harris campaign, leaving many experts uncertain about what the initiative entails. Concerns have been raised that this may merely be a political maneuver rather than a concrete policy aimed at a defined problem. Additionally, even congressional Democrats have suggested that the initiative may not lead to formal law, further complicating its viability.

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