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What do you mean by "allowed"? Inflation happens because we print more money than there are goods to buy and all costs begin to rise because there's still only
by Natsu 4y ago
What do you mean by "allowed"? Inflation happens because we print more money than there are goods to buy and all costs begin to rise because there's still only the same amount of stuff to go around, but more demand.
You can mandate price fixing, but that just tends to cause death spirals where the cost of producing something rises above what you're allowed to charge, so you either keep producing and can't pay your own workers or you stop producing and there's no further supply at any price.
Of course, the fact that this has played out before means that I know that people will just ignore the lessons from Brazil, Zimbabwe, etc. and screw themselves yet again because inflation solves political problems while causing real ones.