… but they’re more than happy to put other people’s money where their mouths are.
Here’s a letter to NPR:
Editor:
Interviewed this morning by Ayesha Rascoe, Sen. Bob Casey (D-PA) repeated the economically nonsensical claim that today’s inflation is caused by greed (“What to know about the ‘shrinkflation’ bill mentioned in the State of the Union”). To support his assertion – and his pending legislation to empower government to police against ‘shrinkflation’ – Mr. Casey asserted that corporate profits are unusually high.
How refreshing it would be if at least once your reporters would ask people, such as Sen. Casey, who assert that corporations have unchecked power to raise prices or shrink package sizes this question: “If what you say is true, why don’t you start a company that charges more reasonable prices or offers larger portions? You’d make a fortune by attracting away from the price-gougers all the consumers who you assert are now suffering terribly. Rather than siccing the government on the alleged price-gougers, if you instead went into competition with them you’d enrich yourself and consumers! Can you explain to me why you don’t put your money where your mouth is?”
Sincerely,
Donald J. Boudreaux
Professor of Economics
and
Martha and Nelson Getchell Chair for the Study of Free Market Capitalism at the Mercatus Center
George Mason University
Fairfax, VA 22030
