Post
Topic
Board Economics
Re: Inflation overpowers the value of money
by
yhiaali3
on 04/08/2023, 02:59:30 UTC
2. Unwanted and unstable government policy: the government policy most times are unfriendly and it is repeatedly done, just for example allowing the importation of already existing good to there country, instead of boosting the production of such goods to meet it's citizens consumption.
Yes, I can give an example of this from my country. We had local sugar production here through the cultivation of sugar beets, but due to the government's stupid policy and corruption, one of the merchants was allowed to import sugar at high prices, which caused the elimination of local sugar production.

Instead of the government encouraging and supporting farmers to continue growing beets to support the production of local sugar at cheap prices, it allowed merchants to import sugar from abroad, which caused the elimination of beet cultivation as well as local sugar production.