Steve Horwitz reviews the damage unleashed when government prohibits so-called “price gouging.” Here’s Steve’s conclusion:
The laws of economics are not suspended in an emergency, no matter what the laws of politicians attempt to do. When goods are more scarce, they will be costly to obtain, whether those costs are in terms of money or something else. The importance of letting market prices do their job and determining who gets what is that this process is also the way in which we make sure that there is stuff to be allocated in the first place. The only way to make sure we have sufficient production is to let market prices determine consumption.
Mike Munger will be Bob Zadak’s guest on Sunday, 11:00am-12:pm EDT. The topic is Nancy MacLean’s fabulist tale Democracy in Chains.
So does Attorney General Jeff Sessions, who preaches fire-and-brimstone law and order when he is not encouraging legalized theft under “civil forfeiture,” whereby government enriches itself by seizing the property of persons not convicted of crimes. Sessions, whose canine loyalty to Trump is not scrupulously reciprocated, seemed to relish the privilege of announcing Trump’s policy that, absent action from a Congress that is especially loath to act on immigration, could punish 690,000 children for what their parents did long ago.