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Price Controls: For Full Employment Without Inflation

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  • Tim Hazledine

Abstract

This paper proposes a system of permanent controls over prices of consumer goods. Together with appropriate aggregate demand policies, these price controls would enable full employment without inflation. Prices of commodities would be periodically adjusted up or down in line with changes in relative costs, subject to the constraint that the net effect of on the Consumer Price Index be zero. Prices of intermediate product and wages would not be explicitly controlled.

Suggested Citation

  • Tim Hazledine, 1982. "Price Controls: For Full Employment Without Inflation," Working Paper 467, Economics Department, Queen's University.
    • Handle: RePEc:qed:wpaper:467
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