Harris blames corporate greed for high prices, but some economists disagree
foxbusiness.comFormer Assistant Treasury Secretary for Economic Policy Michael Faulkender says there is nothing changing to cause a cutback on the inflationary pressures on 'Kudlow.'
Vice President Kamala Harris plans to unveil a first-ever federal price-fixing plan for corporations as part of a sweeping initiative intended to reduce grocery prices and other everyday expenses.
«There’s a big difference between fair pricing in competitive markets and excessive prices unrelated to the costs of doing business,» the Harris campaign said in a statement. «Americans can see that difference in their grocery bills.»
The Democratic presidential nominee will detail the proposal further during a speech in North Carolina today.
Yet some economists have cast doubt on whether corporations are truly to blame for high grocery prices.
HIGH INFLATION COULD HAUNT KAMALA HARRIS IN FIGHT AGAINST TRUMP
«Food prices are affected by a lot of things. The weather, geopolitics, the pandemic and all the supply chain issues and massive amounts of monetary and fiscal stimulus. And that caused prices to go haywire in a lot of industries,» Scott Lincicome, vice president of general economics and trade at the Cato Institute, told FOX Business.
«There's really not a lot of evidence that there's any sort of price gouging or profiteering or corporate greed.»
Vice President Kamala Harris, the 2024 Democratic presidential candidate, speaks at a campaign rally in Atlanta July 30, 2024. (Elijah Nouvelage/AFP via Getty Images / Getty Images)
Lincicome pointed to the latest data published by New York University, which shows the American grocery industry had a 1.18% net profit margin in 2023.
«When you actually look at the players in the market, they're just simply not
Read more on foxbusiness.com
