"It's Communism": Kamala's First Economic Plan Proposes Price Controls To "Combat Inflation"

By ZeroHedge - Tyler Durden - Aug 15, 2024 - 08:45 AM

After the unoriginal Vice President Kamala Harris stole former President Trump's proposed 'no tax on tips' policy, she's at it again with yet another recycled idea. This time, she's echoing President Biden's actions and rhetoric to crack down on sky-high food prices by proposing the first-ever federal ban on "corporate price-gouging in the food and grocery industries"—a move that reeks of socialism.

"There's a big difference between fair pricing in competitive markets, and excessive prices unrelated to the costs of doing business," the Harris campaign wrote in a statement, adding, "Americans can see that difference in their grocery bills."

News: Harris to propose “federal ban on corporate price-gouging” on groceries and “impose stiff penalties in the food industry,” campaign announces.— Philip Melanchthon Wegmann (@PhilipWegmann) August 15, 2024

The Harris campaign said the vice president will unveil the new federal proposed ban on Friday at a campaign rally in the battleground state of North Carolina as part of a broader economic policy platform. The proposal will ensure food companies can't exploit consumers to increase profits, according to CBS News, citing Harris-Walz campaign officials. 

Harris' policy speech will also call on the Federal Trade Commission and state attorneys to examine corporations violating price-fixing rules. Her remarks are expected to echo Biden's actions and rhetoric, especially with his war against meat processing companies that he alleges are responsible for higher burger prices at the supermarket.

VP Harris' campaign argues that lowering Americans' costs is a function of socialist-style price controls. Yet this is the quickest way to understand that Harris' economic team has no actual understanding of inflation. 

Here comes the real Kamalanomics: price controls

To follow: mile-long lines for food, meat coupons, shortages, food black market. https://t.co/EGx0dQMhxY— zerohedge (@zerohedge) August 15, 2024

Heritage Foundation's EJ Antoni explained, "Here's your "price gouging" narrative: average costs paid by businesses have risen just as much as costs charged to consumers - if businesses are being "greedy," they're doing it all wrong..." 

Here's your "price gouging" narrative: average costs paid by businesses have risen just as much as costs charged to consumers - if businesses are being "greedy," they're doing it all wrong... pic.twitter.com/ALiw72MXSf— E.J. Antoni, Ph.D. (@RealEJAntoni) August 14, 2024

Instead of curbing out-of-control government spending, which debt rises $1 trillion every 100 days, and understanding that monetary inflation driven by the Federal Reserve's money creation is the root cause of inflation, Harris deflects the actual problem: The Fed. She instead goes after big corporations for 'illegal price gouging.' 

Here's a snippet of Money Metals Midweek Memo's Mike Maharrey commenting on Harris' proposed price-fixing ban on big food companies: 

The second "dumb" idea Maharrey discussed came from Vice President Kamala Harris, who was recently asked about her plan to combat inflation. Maharrey criticized her response, which he described as "word salad," pointing out that she merely acknowledged the problem without offering any concrete solutions. Instead, she promised to take on "big corporations" engaging in "illegal price gouging," corporate landlords, and big pharma.

Maharrey argued that Harris's approach misses the root cause of inflation, which is monetary inflation driven by the Federal Reserve's money creation. He cited the July budget deficit data, revealing that the Biden administration spent another $574 billion in just one month, running a $243 billion deficit. Maharrey emphasized that inflation is not caused by corporate greed but by the government's excessive spending and borrowing.

"Price inflation is a symptom of monetary inflation, which has everything to do with money creation by the Federal Reserve," Maharrey explained. He warned that Harris's proposed policies, including price controls, would likely lead to shortages and exacerbate the problem rather than solve it.

.. 

"We are no longer talking about hypothetical communism, we are talking about two straight up communists who want to institute a federal price ban on food and a federal minimum wage that is going to make every corporation go out of business.