Moshe Feiglin: Free Market Instead of Government Regulation
“Finance Minister Lapid’s latest magic solution for the high prices of food in Israel is to add more and more items to the list of government regulated food. This solution is no different than his previous magic solution for the housing shortage,” said MK Moshe Feiglin. “The Finance Minister does not solve the problem, which is a result of supply and demand. Instead, he sweeps it under the regulation carpet, which just exacerbates the crisis.”
“Food prices in Israel are high because there is too much oversight and regulation (particularly on imports) – not the opposite,” Feiglin added. “Instead, the food market must be opened to competitive imports, completely free market. In a short time, the food market in Israel will react in the same way as the cell phone market, in which prices were reduced by 50% after competition was introduced.”
“By the way, did any cellular phone company go bankrupt after the price revolution? Were any workers fired from Cellcom?” Feiglin asked.
“Open Israel’s food market to competition on the free market and watch the prices go down by more than 50%.”