And that's where central planning always ends up hitting the fan, isn't it?
In real life, the price levels, exemptions, rules, and other bureaucratic nonsense will not be decided on high economic concepts--even assuming that was possible--but on political pull, business and other lobbying, protests, interest groups, and exactly the kind of crap that has put us in this energy shortage in the first place.
The gasoline costs what it costs. It's cheap in Mexico because they pump government money into the system to pay the difference. That comes from elsewhere in the system. There's no easy answer.
It's the "switch myth" again--the deep suspicion that somewhere there's a dial in the hallowed offices of oil company CEOs that they could turn down to $2.00 a gallon if they ever decided to stop being evil.
Has anyone noticed that the same people who claim to be concerned about the impact of price increases on the poor consumer are often quite enthusiastic about adding huge tax increases to the price of gas? This might lead a casual observer to think that the upset is more about who's getting the loot than any real concern for the end users.
Current Events » in reply to What did Marie Antoinette allegedly say?
"Economists could figure out the details..."
The whole thread (39 posts)
- Gas is cheaper in Mexico because of a government subsidy intended to keep inflationary forces in check.
- What did Marie Antoinette allegedly say?
- You know...
- "If it just helps to keep SUVs on the highway......"
- "Economists could figure out the details..."
- What did Marie Antoinette allegedly say?