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| Inflation versus price control is a complicated problem. Minimum wages law might be an excuse for merchants to ask for higher price but keeping minimum wages low do not ensure that the merchant would not raise prices. Actually, double wammy of having high inflation and low wages are very likely to happen, like it was in the US in the early 70s. A better question to ask should be: how would the government do to keep inflation in check, by monetary policy, or physical policy, or law enforcement? |
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