This is what macroeconomic analysts think about the future of food price caps

By: Trademagazin Date: 2023. 01. 11. 12:55

While László Parragh spoke about the effects of the introduction of price stops, several analysts planted interesting seeds of thought on the topic.

“The price caps must be removed as soon as possible, because they have a grossly distorting market effect. On the one hand, it really gave some help to families, but a shortage of several products with price caps quickly appeared, and on the other hand, it quickly became clear that the traders tried to realize the lost profits in other products profit, which was lost with the price cap. In the case of several products, we have been talking about a price cap since last February, which also caused great damage.”

– Péter Virovácz, senior analyst at ING, told Pénzcentrum, according to whom the introduction of price caps will push the galloping inflation, but its effect will be insignificant compared to if the current situation continues.