Wednesday, September 19, 2007

Zimbabwe inflation under 7,000%

Zimbabwe inflation under 7,000%

The slowdown came in the midst of a price-control programme imposed by President Robert Mugabe in June. Businesses were ordered to cut or freeze prices for items such as bread and milk. But critics say the measures have just
deepened the chronic food shortages suffered by Zimbabweans. At the end of
August, President Mugabe introduced jail terms of up to six months for anyone
caught trying to raise prices or wages.


Sadly, the government isn't going to be able to regulate its way out of this. The more restrictions that are placed on the market, the harder the troubles will get for the country.

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