Brownstone Institute
Grocery Rationing within Four Years
From the Brownstone Institute
By
There is a lack of public comment and debate about Kamala Harris’s call for price controls on groceries and rents, the most stunning and frightening policy proposal made in my lifetime.
Immediately, of course, people will reply that she is not for price controls as such. It is only a limit on “gouging” (which she variously calls “gauging”) on grocery prices. As for rents, it’s only for larger-scale corporations with many units.
This is nonsense. If there really are national price-gouging police running around, every single seller of groceries, from small convenience stores to farmers’ markets to chain stores, will be vulnerable. No one wants the investigation so they will comply with de facto controls. No one knows for sure what gouging is.
Don Boudreaux is correct: “A government that threatens to punish merchants for selling at nominal prices higher than deemed appropriate by government clearly intends to control prices. It’s no surprise, therefore, that economists routinely analyze prohibitions against so-called ‘price gouging’ using exactly the same tools they use to analyze other forms of price controls.”
As for rental units, the only result will be fewer amenities, new charges, new fees for what used to be free, less service, and a dramatically reduced incentive to build new units. That will only lead to a pretext for more subsidies, more public housing, and more government provision generally. We have experience with that and it is not good.
The next step is nationalizing housing and rationing of groceries because there will be ever fewer available.
The more the betting odds favor Kamala, the stronger the incentive to raise prices as high as possible now in anticipation of price controls come next year. That will provide even more seeming evidence for the need for more controls and a genuine crackdown.
Price controls lead to shortages of anything they touch, especially in inflationary times. With the Federal Reserve seemingly on the verge of cutting rates for no good reason – rates are very low in real terms by any historical standard – we might see wave two of inflation later next year.
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Next time, however, merchants will not be in a position to respond rationally. Instead, they will confront federal price investigators and prosecutors.
Kamala is wrong that this will be the “first-ever” ban on price gouging. We had that in World War II, along with rationing tickets on meat, animal fats, foil, sugar, flour, foil, coffee, and more. It was a time of extreme austerity, and people put up with it because they believed it was saving resources for the war effort. It was enforced the same as we saw with covid lockdowns: a huge network enlisting state and local institutions, media, and private zealots ready to rat out the rebels.
Franklin Roosevelt issued Executive Order 8875 on August 28, 1941. It claimed broad powers to manage all production and consumption in the US. On January 30, 1942, the Emergency Price Control Act granted the Office of Price Administration (OPA) the authority to set price limits and ration food and other commodities. Products were added as shortages intensified.
And yes, all of this was heavily enforced.
In case you are doing the math, that’s a $200,000 fine today for noncompliance. In other words, this was very serious and highly coercive.
Technology limited enforcement, however, and black markets sprung up everywhere. The so-called Meatleggers were the most famous and most demonized by government propaganda.
In a nation with more agriculture in demographic proximity, people relied on local farmers and various methods of bartering goods and services.
Years went by and somehow people got through it but production for civilian purposes came to a near standstill. The GDP for the period looked like growth but the reality was a continuation and intensification of the Great Depression that began more than a decade earlier.
There are fewer people alive now that recall these days but I’ve known some. They adopted habits of extreme conservation. I once had a neighbor who simply could not bear to throw away tin-foil pie pans because she had lived through rationing. After she died, her kids discovered her vast collection and it shocked them. She was not crazy, just traumatized.
How would such a thing transpire today? Look at the program SNAP, the new name for food stamps. For those who qualify, the money goes into a special account managed by the federal government. The recipient is sent an EBT (Electronic Benefits Transfer) card, which is used like a credit card in stores. It costs taxpayers some $114 billion a year, and works out as a huge subsidy to Big Agriculture, which is why the program is administered by the Department of Agriculture.
Transitioning that program to the general population would not be difficult. It would be a simple matter of expansion of eligibility. As shortages grow, so too could the program until the entire population would be on it and it would be mandatory. It could also be converted into a mobile app instead of a piece of plastic as a fraud-prevention measure. With everyone carrying cell phones, this would be an easy step.
And where could people spend the money? Only at participating institutions. Would non-participation institutions be entitled to sell food, for example, at local farmers’ co-ops? Maybe at first but that’s before the media demonization campaigns come along to decry the rich who are eating more than their fair share and the sellers who are exploiting the national emergency.
You can sell how this all unfolds, and none of it is implausible. Only a few years ago, governments around the country canceled gatherings for religious holidays, limited the numbers of people who could gather in homes, and banned public weddings and funerals. If they can do that, they can do anything, including the rationing of all food.
The program that Harris has proposed is not like other matters that she has flip-flopped on. She is serious and repeats it. She spoke about it even during the debate with Trump but there was no followup or critique of the scheme offered. Nor does such a crazy plan require some legislation and a vote by Congress. It could come in the form of an executive order. Yes, it would be tested by the Supreme Court but, if recent history holds, the program would be long in effect before the Court weighed in. Nor is it clear how it would rule.
The Supreme Court in 1942 heard the case of Albert Yakus, a Boston-based meat seller who was criminally prosecuted for violating the wholesale beef price ceiling. In Yakus vs. United States, the Supreme Court ruled for the government and against the meat-selling criminal. That’s the existing precedent.
Nor does all this have to unfold immediately following the inauguration. It can happen as matters become ever worse following anti-gouging edicts and when inflation worsens. After all, a presidency that believes in central planning and forced economic austerity would last a full four years, and the coercion could grow month after month until we have comprehensively enforced deprivation by the end, and no one remembers what it was like to buy groceries at market prices with their own money.
I wish I could say that this is an outlandish and fear-mongering warning. It is not. It is a very realistic scenario based on repeated statements and promises plus the recent history of government management of the population. There is likely another wave of inflation coming. This time it will meet with a promise to use every coercive power of government to prevent increases in prices on groceries and rents.
What if voters actually understood this? What then?
Keep in mind the main legacy of the Covid years: governments learned the fullness of what they could do under the right circumstances. That’s the worst possible lesson but that is what has stuck. The implications for the future are grim.
Brownstone Institute
The Most Devastating Report So Far
From the Brownstone Institute
By
The House report on HHS Covid propaganda is devastating. The Biden administration spent almost $1 billion to push falsehoods about Covid vaccines, boosters, and masks on the American people. If a pharma company had run the campaign, it would have been fined out of existence.
HHS engaged a PR firm, the Fors Marsh Group (FMG), for the propaganda campaign. The main goal was to increase Covid vax uptake. The strategy: 1. Exaggerate Covid mortality risk 2. Downplay the fact that there was no good evidence that the Covid vax stops transmission.
The propaganda campaign extended beyond vax uptake and included exaggerating mask efficacy and pushing for social distancing and school closures.
Ultimately, since the messaging did not match reality, the campaign collapsed public trust in public health.
The PR firm (FMG) drew most of its faulty science from the CDC’s “guidance,” which ignored the FDA’s findings on the vaccine’s limitations, as well as scientific findings from other countries that contradicted CDC groupthink.
The report details the CDC’s mask flip-flopping through the years. It’s especially infuriating to recall the CDC’s weird, anti-scientific, anti-human focus on masking toddlers with cloth masks into 2022.
President Biden’s Covid advisor Ashish K. Jha waited until Dec. 2022 (right after leaving government service) to tell the country that “[t]here is no study in the world that shows that masks work that well.” What took him so long?
In 2021, former CDC director, Rochelle Walensky rewrote CDC guidance on social distancing at the behest of the national teachers’ union, guaranteeing that schools would remain closed to in-person learning for many months.
During this period, the PR firm FMG put out ads telling parents that schools would close unless kids masked up, stayed away from friends, and got Covid-vaccinated.
In March 2021, even as the CDC told the American people that the vaxxed did not need to mask, the PR firm ran ads saying that masks were still needed, even for the vaxxed. “It’s not time to ease up” we were told, in the absence of evidence any of that did any good.
In 2021, to support the Biden/Harris administration’s push for vax mandates, the PR firm pushed the false idea that the vax stopped Covid transmission. When people started getting “breakthrough” infections, public trust in public health collapsed.
Later, when the FDA approved the vax for 12 to 15-year-old kids, the PR firm told parents that schools could open in fall 2021 only if they got their kids vaccinated. These ads never mentioned side effects like myocarditis due to the vax.
HHS has scrubbed the propaganda ads from this era from its web pages. It’s easy to see why. They are embarrassing. They tell kids, in effect, that they should treat other kids like biohazards unless they are vaccinated.
When the Delta variant arrived, the PR firm doubled down on fear-mongering, masking, and social distancing.
In September 2021, CDC director Walensky overruled the agency’s external experts to recommend the booster to all adults rather than just the elderly. The director’s action was “highly unusual” and went beyond the FDA’s approval of the booster for only the elderly.
The PR campaign and the CDC persistently overestimated the mortality risk of Covid infection in kids to scare parents into vaccinating their children with the Covid vax.
In Aug. 2021, the military imposed its Covid vax mandate, leading to 8,300 servicemen being discharged. Since 2023, the DOD has been trying to get the discharged servicemen to reenlist. What harm has been done to American national security by the vax mandate?
The Biden/Harris administration imposed the OSHA, CMS, and military vax mandates, even though the CDC knew that the Delta variant evaded vaccine immunity. The PR campaign studiously avoided informing Americans about waning vaccine efficacy in the face of variants.
The propaganda campaign hired celebrities and influencers to “persuade” children to get the Covid vax.
I think if a celebrity is paid to advertise a faulty product, that celebrity should be partially liable if the product harms some people.
In the absence of evidence, the propaganda campaign ran ads telling parents that the vaccine would prevent their kids from getting Long Covid.
With the collapse in public trust in the CDC, parents have begun to question all CDC advice. Predictably, the HHS propaganda campaign has led to a decline in the uptake of routine childhood vaccines.
The report makes several recommendations, including formally defining the CDC’s core mission to focus on disease prevention, forcing HHS propaganda to abide by the FDA’s product labeling rules, and revamping the process of evaluating vaccine safety.
Probably the most important recommendation: HHS should never again adopt a policy of silencing dissenting scientists in an attempt to create an illusion of consensus in favor of CDC groupthink.
You can find a copy of the full House report here. The HHS must take its findings seriously if there is any hope for public health to regain public.
Brownstone Institute
The Revolution of 2024: A Rare Victory for Anti-Establishment Fury
From the Brownstone Institute
By
The sudden coming together of three great sectors of anti-establishment fury – MAGA, MAHA, and DOGE – in the last two months of the election of 2024 is one for the ages.
People are out and about, smiling at each other. It’s been true since the morning after the election, the results of which defied every prediction. Who doesn’t like to see the smug elites who have ruled the world for five awful years taken down a peg?
More than that, there are hints of a return to sanity. Mainstream advertisers are suddenly returning to X, putting their economic interest above their tribalist loyalties. The editor of pro-lockdowns Scientific American, which had long blessed totalitarian measures as true science, has resigned.
The attempt to pillage InfoWars and give it to The Onion has been reversed by a federal judge. That might be a fluke or might not be: maybe the lawfare is dialing back too. The cabinet of the incoming administration is being filled by voices that were fully censored for years. Employees are reportedly packing their bags at the FDA and other agencies.
Mainstream news commentators are sputtering around with less bravado than they have shown in years. CNN is firing major personalities.
Trump is talking about abolishing the income tax and granting $10K in tax credits per homeschooled child, not to mention blowing up college accreditation systems, among other sweeping changes.
The American Bastille day is coming, not only freeing the political prisoners of January 6 but also many of the unjustly persecuted including Ross Ulbricht, Roger Ver, and Ian Freeman, among so many others. That will be a day of rejoicing.
Oh, and peace seems to have broken out in some contentious areas of the world, for now.
What is happening? This is not the usual transfer of the resident of the White House. This is starting to look like an actual transfer of power, not just from Biden to Trump but from the permanent government – ensconced in many sectors – that has been long in hiding to an entirely new form of government responsive to actual voters.
As it turns out, there was no late surge for Kamala Harris. All the polls were wrong, and the rest was media blather. What was correct were the betting odds on Polymarket, and only days later, the FBI raided the 26-year-old founder’s home and confiscated his phone and laptop.
There are still many millions of missing voters, people who supposedly showed up for Biden in 2020 but stayed home this time. Meanwhile, there has been a historic shift in all races, ethnicities, and regions, with even the possibility of flipping California from blue to red in the future.
After decades of academic slicing and dicing of the population according to ever more eccentric identity buckets involving race, ethnicity, gender, and sexual interest, along with countless thousands of studies documenting deep complexity over intersectionality, the driving force of the election was simple: class, and the few intellectuals and some wealthy entrepreneurs who understand that.
The division was not really left vs right. It was workers vs laptoppers, wage earners vs six-figure stay-at-homers, bottom half vs top 5 percent, people with actual skills vs weaponized resume wielders, and those with affection for old-world values vs those whose educations have beaten it out of them for purposes of career advancement.
The silent majority has never been so suddenly loud. It just so happened that the heavily privileged had come to inhabit easily identifiable sectors of American society and, in the end, had no choice but hitch the whole of the overclass wagon to the fortunes of a candidate like themselves (Kamala) but who was unable to pull off a compelling masquerade. Not even a parade of well-paid celebrity endorsements could save her from total rebuke at the polls.
Sylvester Stallone called Trump a second George Washington but another reference point might be Andrew Jackson. The overwhelming victory for Trump is on a scale not seen since 1828 when, four years after the presidency was stolen from Jackson, Old Hickory came back in a wild landslide and cleaned up Washington. Trump arrives in Washington with a mandate for the same, with 81% of the public demanding that the government shrink in size and power.
It has all happened so quickly. We are barely ten days into the realization of what just transpired and the entire lay of the land seems different, like a tectonic shift in politics, culture, mood, and possibilities. We are even seeing blunt and open talk about the horrendous Covid response that so utterly demoralized the country and the world, after years of silence on the topic. We have promised hearings coming, and court cases galore now on fast track.
The sudden coming together of three great sectors of anti-establishment fury – MAGA, MAHA, and DOGE – in the last two months of the election of 2024 is one for the ages. It provides the beginnings of an answer to the great question on our minds for decades: how precisely does an authentic revolution take root in an industrialized Western democracy? Are elections capable of delivering real results?
For now, the answer seems to be yes. That should thrill any responsible observer of social, cultural, economic, and political affairs. It means that the early architects of the American system were not wrong. The intolerable costs of political upheaval of ages past can be mitigated by planting power firmly in the hands of the people through the plebiscite. This was their view and their gamble. All the evidence of our time points to the wisdom of the idea.
In the darkest days of the last year of the first Trump presidency, the bureaucracy was riding high, in full revenge mode against an elected government it hated and sought to overthrow. The agencies were passing strange edicts that felt like laws but no one knew for sure. You are essential, you are not. You must stay home, unless you have an emergency. Your elective surgery needs to wait. The kids cannot go to school. That European vacation cannot happen. You can eat at a restaurant but only if you are six feet away from other patrons and you must put this China-made cloth on your mouth if you get up to go to the restroom.
The flurry of edicts was mind-boggling. It felt like martial law, because it was some form of exactly that. The best research points to the astonishing reality that this was never really a public-health response but a scheme by security and intelligence sectors to enact some kind of global color revolution, which is why the policies were so similar the world over. It was indeed an awesome display of power, one that invaded all our communities, homes, and families.
No one knows this better than Team Trump, even if there has been near silence on the topic for all these years. They have had time to put the pieces together and figure out what happened and why. And they carefully, and in seclusion worthy of a Cistercian monastery, plotted their return, leaving nothing to chance.
Meanwhile, the past two years have had the Covid insurrectionists quietly stepping away from the spotlight, while leaving as much of their newfound power in place: the censorship, the technology, the mandates, and the propaganda that all of this shock-and-awe was nothing more than “common sense health measures.” It was never tenable, and vast numbers have come to realize that something went very wrong, like a kind of evil settled over the world and burrowed itself within all institutions.
In an instant, the whole scheme seems to be crumbling. The incredible result is that the administration under which this calamity occurred is now coming back, which is probably the strangest irony of our times.
And yet, even though no one has yet been open about precisely what happened in the White House in March 2020 to cause Trump to greenlight the lockdowns, there is a widespread belief that it was never really his choice. It was some kind of coup – egged on even by his closest advisors and the VP – that he either could not stop or lacked the personnel to marshal effective resistance. Regardless, he has been forgiven because, implausibly, the next administration not only owned the worst of it but added even more on top of that, including the wicked combination of mask mandates, forced injections, and continued school closures.
The result has been a continuing economic crisis, one far worse than agencies admit, in addition to a health, education, and cultural crisis. Meanwhile, all those involved in causing this from behind the scenes have been rewarded with professorships, loving interviews in the mainstream media, and lavish security provisions to protect them from legions of what they suppose are angry workers and peasants.
Therefore, among many of the ruling class, the results of this election are certainly not welcome, and nor are many of the early appointments. They represent the coming together of MAGA, MAHA, and DOGE, the fulfillment of decades of cultivation of disparate groups of dissidents who had not previously realized their common interests and common enemies. It was the Covid era and the imposition of top-down rule that brought them all together.
It was like three groups wandering around in a giant maze who suddenly confront each other and then, realizing that they all shared the same predicament, figure the way out together. These new alliances have not only shattered right and left, as traditionally understood, but reshaped the structural basis of political activism for the duration. It turns out that medical freedom, food freedom, free speech, political freedom, and peace all go together. Who knew?
The incumbent world of academia, think tanks, and most media simply finds itself unprepared to deal with the new realities. They had hoped everyone would forget about the last five years as if it was just a thing that happened but is now over; everyone just needs to grapple with the great reset and learn to love our new lives of surveillance, propaganda, censorship, perpetual war, poison food, unaffordable everything, and endless injections of potions for our own health and well-being.
Well, times have changed. How much? Early signs point to a dramatic unfolding of revolutionary change over the coming months. Is believing this the triumph of hope over experience? Absolutely. Then again, no one believed five years ago that most people in the world would be locked in their homes and communities, stuck drinking and streaming movies until biotech could come up with a cure for a respiratory virus with a zoonotic reservoir. Then it did not work and made people more sick than ever.
That was nuts but it happened.
If that could happen, with predictable results, the response could be equally implausible and more much thrilling. What’s man made can be unmade by man, and something new built in its place.
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