The Crackdown on ‘Price Gouging’ Helps No One, Except Politicians and The Media


PREMO Member
One outstandingly bad case of government and media double teaming against an honest business is what’s happening to Menards in Michigan.

The hardware store got hit with two cease-and-desist letters from the state’s attorney general in as many weeks. The first was for price gouging, which Menards denies, and the second was for dropping their prices too low! Advertising a sale is now a crime in capitalist America.

Jokes should be left to comedians, but sometimes economists can’t help themselves. Walter Block is among the latter, but he illustrates a key truth about government policing prices.

There are three prisoners in jail for economic crimes, the joke goes. The first inmate charged higher prices than anyone else, so he was guilty of profiteering and gouging. The second charged lower prices than anyone else, so he was guilty of predatory pricing. The third convict charged the same price as everyone else, so he was guilty of collusion.


Active Member
From the letter. “The Attorney General has probable cause to believe Menards has violated the Michigan Consumer Protection Act through a systemic effort to exploit the public fear about Coronavirus.” :lmao: