United States: Vice President of the United States and Democratic presidential candidate Kamala Harris is advocating for Soviet-esque price controls as a remedy to the very economic dilemmas her administration has exacerbated.
Rather than taking accountability for the inflation and escalating cost of living that have afflicted Americans in recent years, Harris is directing the blame toward businesses that have had no choice but to raise prices due to the policies she endorsed. Her solution? Amplified governmental intervention, a move that history unequivocally shows will culminate in food shortages, inflated prices, black markets, and a perilous amplification of governmental authority.
Harris’s recent propositions come on the heels of years spent championing “Bidenomics,” a term she employed to laud what she claimed to be a robust economy. Yet, under her stewardship, the purchasing power of the dollar has diminished significantly, leaving Americans grappling with financial hardship, according to reports.
Now, as part of her presidential bid, Harris is vowing to crack down on so-called “price gouging” by large corporations and impose new federal controls on food prices. However, this is merely a diversionary tactic meant to obfuscate the true source of economic suffering: government policy.
Reportedly, the reality is unmistakable—governmental actions, not corporate avarice, are the root cause of the current inflationary crisis. In response to the pandemic, the US government inundated the economy with USD 5 trillion in stimulus, much of it freshly printed currency. This surge in demand, coupled with constrained production, has driven prices upward across the board.
Even the Federal Reserve has conceded that fiscal stimulus has contributed to price pressures. Since Harris and Biden assumed office, inflation has skyrocketed, with USD 100 in January 2021 now equivalent to just USD 120.25 in July 2024.
Harris’s allegations of price gouging within the grocery industry crumble under scrutiny. Grocery stores operate on razor-thin profit margins, with an average net margin of just 1.18 percent in 2023. Industry behemoth Kroger experienced slightly higher profits, but even at its zenith, the company’s margins were far from excessive. The notion that these businesses are responsible for escalating prices is a convenient yet deceptive narrative.
The most disconcerting aspect of Harris’s agenda is her advocacy for price controls, a policy that has failed time and time again. From the Code of Hammurabi to President Nixon’s ill-fated experiment in the 1970s, price controls have invariably resulted in shortages, diminished quality goods, and flourishing black markets. According to the reports, Harris’s proposals would only intensify the very problems they purport to resolve by disrupting the free market.
Kamala Harris’s push for Soviet-style price controls is a perilous distraction from the genuine issues afflicting our economy. Rather than addressing the fundamental causes of inflation and rising costs, she is doubling down on failed policies that will inflict further harm on Americans. The solution lies not in increased government control but in allowing the free market to operate without interference from Washington.
