Sunday, November 25, 2012

Is This What Keynesians Think Will Be a Great Future for Us?

Militarized Keynesians claim that World War II was a great thing and caused the economy to finally move out of the Great Depression. Robert Higgs has shown this is a myth.

Below is a newspaper clipping from the era showing how things really were. Government intervention in the economy during the period included price controls. The controls resulted in the inevitable shortages and rationing was instituted.

With Bernanke printing money very aggressively, price inflation is likely to not be too far away. Once the price inflation hits will politicians institute price controls once again and when the shortages come because of the price controls, will rationing be next?

Politicians love to exercise power, just keep in mind the anti-gouging price controls that were enforced after Hurricane Sandy, which led to gas rationning.

Click on pic for larger view.

Click on pic for larger view.

(ht Adam Muntner)

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