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[–] 6 points 2 years ago (9 children)

You know what slows down inflation? An upper limit on the cost of goods. But hey im just a filthy commie.

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  • [–] 1 point 2 years ago (8 children)

    It didn't, not in the US, not in Soviet Union

    In the Soviet Union it caused rationing instead. Here's your coupon for 1 stick of butter

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  • [–] 1 point 2 years ago (7 children)

    Sure buddy those are the only two countries that have existed in the world. So can't work anywhere.

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  • [–] 4 points 2 years ago (4 children)

    What country would you point to as a success for this policy?

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  • [–] -1 points 2 years ago* (3 children)

    Can i have your list of valid countries to choose from so that my answer doesn't get disqualified for picking a third world country.

    a maximum retail price exists for most if not all goods in India. And it helps slow down inflation.

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  • [–] 3 points 2 years ago (2 children)

    India would be perfectly valid if it wasn't experiencing high inflation just like everyone else. Which it is.

    https://finimize.com/content/rbi-chief-urges-india-to-cut-inflation-despite-strong-growth

    You can't fix inflation just by setting a max price. It leads to shortages or (more common in India's case) retailers finding loopholes:

    https://www.thehindu.com/opinion/op-ed/maximum-retail-price-is-an-archaic-dysfunctional-mechanism/article7452745.ece

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  • [–] 1 point 2 years ago (1 child)

    Didn't say it solves inflation. You cant stop a global phenomenon happening. You can ease it.

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  • [–] 1 point 2 years ago (1 child)

    It doesn't work because it's a stupid idea.

    If there's a cap on the price of a type of good, then obviously only the lowest quality things get made. If you cap shoes to $10, they will only sell shoes imported from sweatshops.

    If you specify exactly how something is made, like $20 for made in USA shoes, they will import it from a sweatshop and sew a logo on it in the US.

    If you specify how much labor must be done in the US, there's a chance nobody would bother since selling the $10 sweatshop shoe has better profit margins

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