Author Topic: Higher prices due to gov programs (Read 402 times)

Tiffany · « **on:** May 27, 2013, 08:28:12 AM »

One thing is that these government programs cause higher prices. If 98% of people in a poor neighborhood have a big sum to buy food with, then they can charge more for food and it's still purchased. If 98% of children without private healht insurance have health insurance from the gov, they can charge more for a pediatrician visit. The prices can become outrageous. The poor not on assistance not only do not receive help but they pay a higher prices for things.

TKGS · « **Reply #1 on:** May 27, 2013, 10:28:45 AM »

The clearest and most easily discernible examples of this is in the areas of:

1. College and university education. Government programs to make college "affordable" give the colleges the ability to continually increase tuition and fees.

2. Medical services. Beginning with Medicare and Medicaid prices of medical services began to skyrocket.

But the principle applies equally to any good or service. If the amount of money available to pay for something increases, the prices will necessarily increase since all goods and services are limited while the desire for the same goods and services are virtually unlimited.

Telesphorus · « **Reply #2 on:** May 27, 2013, 10:40:27 AM »

The USDA can regulate prices. I've never seen potatoes as cheap as I have recently, and I suspect that's a deliberate policy.

Tiffany · « **Reply #3 on:** May 27, 2013, 10:51:16 AM »

Quote from: Telesphorus

The USDA can regulate prices. I've never seen potatoes as cheap as I have recently, and I suspect that's a deliberate policy.

I'm grateful they are..