Sunday, November 2, 2014

Empty Shelves in Venezuela for Christmas?

President Nicolas Maduro announced Friday that he is deploying hundreds of inspectors to enforce the government's price regulations, which set the cost of everything from milk to toothbrushes artificially low.

"Today we deploy, and in November and December you will see that we have guaranteed a happy Christmas for the people," he said during televised remarks.

He is an economic ignoramus, such price controls and inspectors will insure that the shelves will be empty during the Christmas season.

The new inspection team will be responsible for verifying that prices remain below government-issued caps at supermarkets as well as at stores selling shoes, toys, appliances and hardware, among other goods. Maduro promised to be "relentless" in tracking down and punishing violators.

Caracas Chamber of Commerce head Victor Maldonado correctly notes,"Experience tells us that with measures like these, you're left with empty shelves, little to no supplies, and closed businesses."

You can't overrule free markets. You can only make things worse and cause all kinds of distortions.


  1. It really does seem like Atlas Shrugged coming alive in Venezuela.

  2. This has been going on for, oh , 6000 years or so. It doesn't matter how many times price controls have failed in the past. They keep trying it. It never works. It never will work.