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Regulation and price controls aren’t the same thing, which you seem to be implying.


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I think you're deliberately avoiding what I am saying, which is "price controls" and pretending that I am saying "regulation". Those are completely different concepts.

The article itself is showing exactly what happens when you have price controls - supply dries up and the market falls apart.


Regulation could be good or bad depending on how it is crafted. That doesn't change the economic fact that price controls cause supply shortages.

This isn't about regulation this is about Market control

This isn't about regulation this is about Market control

“Regulation” is what permits the price discrepancy in the first place.

Price fixing and regulation are forms of control.

Less regulation = not breaking up a monopoly = higher prices.

I never said "price regulation". The government should take steps to ensure things are priced fairly and (even more important) transparently. That will look different for different markets, products, market structures (sometimes the government needs to break up the monopoly), ... The situation in healthcare is very complicated and has a lot of moving parts, but the situation in energy less so (AFAIK), it's just that some externalities are not accounted for at all. Opposing that you have lobbyists (e.g. oil) and ideologically-driven players (e.g. some people want to ban meat).

There is a difference between oversight and control. Maintaining market inefficiencies to the detriment of consumers, simply for the sake of maintaining status quo and profit allocation to the establishment, goes beyond mere regulation.

Regulations distort true market prices.

They make them not price competitive. Which is a classic thing that regulation does. Less regulation here would have been better.

So TL;DR, prices are high because of poorly done / too much regulation?

That’s not what I said. There’s good and bad regulation. Things aren’t black and white; a truly free market with no government intervention at all will harm consumers, and governments with a hand in everything will harm consumers too.

Bad regulation is not the same as deregulation.

Those are two different things. I didn't say we need less regulation. I said that the deregulation that happened over the last few years is irrelevant.

Believe it or not, there are people whose opinions on market regulation differ from yours.

The regulation also doesn't do price fixing. It sets additional standards, or what I refer to as 'quality fixing'. The effect is that prices go up and competition go down, but quality will at least be something people will complain about less.

We don't know either of these things, and economists don't agree as well. It's a question well worth asking.

Public utility energy regulation. Health Economics.

Price controls are common worldwide and don't always do what you think.


And it doesn't work for housing and about a million other goods and services that have been subject to price controls.

Just look at California's water shortage issues. Water prices are basically fixed so huge farms suck up all the water to irrigate a desert while ordinary people are told to stop bathing. Seems like an externality of price regulation, no?

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