Pirate's Cove

This is the first thing she’s going to release as her “economic policy”

Harris to unveil economic agenda that would crack down on ‘price gouging’ on food, groceries

Vice President Kamala Harris is set to release her economic agenda on Friday following calls for her campaign to zero in on policy after their unprecedented rise to the top of Democratic ticket.

Harris is set to outline her plans at an event in Raleigh, North Carolina — a pivotal battleground state both Harris and former President Donald Trump will work to win in November. Among the economic policies Harris is set to announce is a plan to provide up to $25,000 in down payment support for first-time homeowners, according to a campaign official.

The campaign is vowing that during her first term, the Harris-Walz administration would provide working families who have paid their rent on time for two years and are buying their first home up to $25,000 in down-payment assistance, with more generous support for first-generation homeowners.

Oh, good, another cash giveaway, ie, bribe. Where’s this money going to come from? The Biden-Harris admin has already seen home values double and triple, this would see them go up even more

Harris is also set introduce is a federal ban on “corporate price gouging” on food and groceries, the campaign said.

“In her first 100 days, Vice President Harris will work to enact a plan to bring down Americans’ grocery costs and keep inflation in check,” the campaign said.

Has Kamala ever worked a retail job? Does she understand what goes into running a supermarket? Does she understand that post-COVID inflation, some of which is the fault of her and Biden and their Congressional Democrats, along with Democrats at the state level, along with higher gas prices, and much more impact prices at the supermarket? No one is really gouging anyone.

Harris Plans to Ban Grocery ‘Price Gouging.’ What Does the Evidence Say?

In detailing her presidential campaign’s economic agenda, Vice President Kamala Harris will highlight an argument that blames corporate price gouging for high grocery prices.

That message polls well with swing voters. It has been embraced by progressive groups, which regularly point to price gouging as a driver of rapid inflation, or at least something that contributes to rapid price increases. Those groups cheered the announcement late Wednesday that Ms. Harris will call for a federal ban on corporate price gouging on groceries in an economic policy speech on Friday.

Even if there was gouging going on, who the heck will figure it out? What is gouging? Why is a can of soup more expensive at the regular grocery stores than at my Walmart? Why can I buy a pack of guitar strings for less via Amazon than at the local guitar store? Is that gouging? If milk is $1.78 at Lidl buy $2.49 at Food Lion, is that gouging?

Economists have cited a range of forces for pushing up prices in the recovery from the pandemic recession, including snarled supply chains, a sudden shift in consumer buying patterns, and the increased customer demand fueled by stimulus from the government and low rates from the Federal Reserve. Most economists say those forces are far more responsible than corporate behavior for the rise in prices in that period.

Obviously, the Biden-Harris admin blames companies, despite never sitting down and listening to them explain why the prices went up and will mostly not come down.

Mr. Furman, by contrast, said there was a risk that policies meant to curb corporate price gouging could instead keep the economy from adjusting. If prices do not rise in response to strong demand, new companies may not have as much inclination to jump into the market to ramp up supply.

“This is not sensible policy, and I think the biggest hope is that it ends up being a lot of rhetoric and no reality,” he said. “There’s no upside here, and there is some downside.”

What is it called when the Government is in charge of the economy?

More: A very interesting piece by Catherine Rampell at the Washington Post

When your opponent calls you ‘communist,’ maybe don’t propose price controls?

….

It’s hard to exaggerate how bad this policy is. It is, in all but name, a sweeping set of government-enforced price controls across every industry, not only food. Supply and demand would no longer determine prices or profit levels. Far-off Washington bureaucrats would. The FTC would be able to tell, say, a Kroger in Ohio the acceptable price it can charge for milk.

At best, this would lead to shortages, black markets and hoarding, among other distortions seen previous times countries tried to limit price growth by fiat. (There’s a reason narrower “price gouging” laws that exist in some U.S. states are rarely invoked.) At worst, it might accidentally raise prices.

That’s because, among other things, the legislation would ban companies from offering lower prices to a big customer such as Costco than to Joe’s Corner Store, which means quantity discounts are in trouble. Worse, it would require public companies to publish detailed internal data about costs, margins, contracts and their future pricing strategies. Posting cost and pricing plans publicly is a fantastic way for companies to collude to keep prices higher — all facilitated by the government.

Worth reading the whole thing. Commies.

Read: Kamala Wants To Crack Down On Price Gouging Or Something »