Kamala will empty store shelves if the wins by forcing stores to sell everything at a loss
Posted by John Reed on
Tens of millions of Dem voters love the idea of anti-price gouging laws. I have said I expect to head for Canada as a tourist if and when hyperinflation happens. But I need to do the same if we get price controls withOUT hyperinflation.
.
Hyperinflation destroys the purchasing power of all USD-denominated assets like cash, bank accounts, bonds, certificates of deposit. But hyperinflation does not make you leave the country. Not at all.
.
What makes you need to leave the country is the combination of hyperinflation and the five bad laws government always pass once hyperinflation starts:
.
• Capital controls (force you to sell gold to the government at a lousy price and force you to sell foreign currency to the federal government at a lousy price and prohibit using foreign currency in the US)
• Price controls, another name for anti-price gouging laws
• Rationing
• Anti-hoarding laws (prohibit you ever having more of something than your ration coupon let you buy)
• Financial repression laws (force you to put all savings in banks and force the banks to pay a below-market interest rate)
.
The stark result of all these technical terms is empty store shelves, red flags at the gas stations, and empty shelves at pharmacies. Starvation and inability to drive anywhere and medical consequences of not taking your medicines.
.
In other words, Kamala is going to give us the empty store shelves that always accompany hyperinflation without hyperinflation. So the question now is not whether hyperinflation will happen but whether Kamala will happen. IF she wins, she promises empty store shelves withOUT hyperinflation.
.
Kamala says grocery stores and making huge profits. That is a lie The average grocery chain profit margin is 2% to 3%. That means if they sell you a bag of groceries, they make $2 or $3 profit.
.
So if Kamala orders lowering prices 2% or 3%, they make no profit at all. That means they will close. They have no choice. All food produced in the US will then be exported because price controls never apply to exports. One of the places to which they will export American food is Canada. Canada and other nations’ food producers will demand tariffs on American food to avoid their being unable to compete with a massive new addition to supply.
.
Profit margins of grocery chains are published in quarterly and annual SEC filings. False SEC filings are a criminal offense.
.
.
Hyperinflation destroys the purchasing power of all USD-denominated assets like cash, bank accounts, bonds, certificates of deposit. But hyperinflation does not make you leave the country. Not at all.
.
What makes you need to leave the country is the combination of hyperinflation and the five bad laws government always pass once hyperinflation starts:
.
• Capital controls (force you to sell gold to the government at a lousy price and force you to sell foreign currency to the federal government at a lousy price and prohibit using foreign currency in the US)
• Price controls, another name for anti-price gouging laws
• Rationing
• Anti-hoarding laws (prohibit you ever having more of something than your ration coupon let you buy)
• Financial repression laws (force you to put all savings in banks and force the banks to pay a below-market interest rate)
.
The stark result of all these technical terms is empty store shelves, red flags at the gas stations, and empty shelves at pharmacies. Starvation and inability to drive anywhere and medical consequences of not taking your medicines.
.
In other words, Kamala is going to give us the empty store shelves that always accompany hyperinflation without hyperinflation. So the question now is not whether hyperinflation will happen but whether Kamala will happen. IF she wins, she promises empty store shelves withOUT hyperinflation.
.
Kamala says grocery stores and making huge profits. That is a lie The average grocery chain profit margin is 2% to 3%. That means if they sell you a bag of groceries, they make $2 or $3 profit.
.
So if Kamala orders lowering prices 2% or 3%, they make no profit at all. That means they will close. They have no choice. All food produced in the US will then be exported because price controls never apply to exports. One of the places to which they will export American food is Canada. Canada and other nations’ food producers will demand tariffs on American food to avoid their being unable to compete with a massive new addition to supply.
.
Profit margins of grocery chains are published in quarterly and annual SEC filings. False SEC filings are a criminal offense.
.
Share this post
0 comment