Thursday 12 March 2020

"When governments prevent price hikes, they unwittingly ... make it harder for people to recover from disasters or, today, to protect themselves from the coronavirus." Bonus #QotD



"Government officials (and pundits) never seem to learn (or remember) that in times of crisis, naturally rising prices are necessary to guarantee that goods, services and inputs are used to maximum social advantage. When governments prevent price hikes, they unwittingly create shortages of vital supplies. Unfortunately, such government intervention makes it harder for people to recover from disasters or, today, to protect themselves from the coronavirus."
~ Veronique de Rugy. from her post 'Supply and Demand, Hoarding, Price Gouging -- and the Coronavirus'
[Hat tip Cafe Hayek]
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