In a piece on rising food prices Alex Renton says this:
But the factors behind the price rises in Leith are exactly the same as those in Mexico, or in China – where, last Wednesday, the government introduced price controls on dairy products, meat, vegetables and cereals. And while food price inflation hit 18 per cent last year in China, there\’s no good reason why they should not do that here. In fact, there are a lot of reasons why they should.
So there are no reasons why there should not be price controls on food and reasons why there should. A few paragraphs up he says:
Habits will change, although it\’s unlikely we\’re going to see Soviet-style queues at empty shelves.
A complete idiot, obviously. The fixing of prices below the cost of production means that no one will produce and thus we will get Soviet-style queues at empty shelves.
Why is it that journalists are ignorant of the most basic concepts of economics?