excited for the inevitable “oh no a shortage who could have predicted this!” sequel article.
Freewhale98 on
1. Summary
A sharp rise in domestic fuel prices following tensions in the Middle East has prompted the government to consider an unprecedented intervention in the gasoline market.
President Lee Jae Myung on Thursday ordered officials to prepare a “maximum price designation system” for gasoline. The measure would allow the government to set a ceiling on retail fuel prices if authorities determine that excessive increases are occurring.
2. How is this related to the sub
(1) Oil Shock: Trump’s Iran War is triggered oil crisis in East Asia.
(2) Price Cap: Korea is reviving Park Chung-hee era 1970 Inflation Stabilization Act to impose price cap on as oil price fluctuates out of control.
3. My opinion
Most recent activation of this law is during COVID crisis. This Inflation Stabilization Act has been triggered in 2020 to secure vital medical supplies and KF95 mask for Korean population. This law allows the government to impose widespread price control and rationing of certain items in the case of an inflation crisis. The fact this law came out again means the current Iran war will not be short term shock but a full scale crisis self-inflicted by the US.
3 Comments
excited for the inevitable “oh no a shortage who could have predicted this!” sequel article.
1. Summary
A sharp rise in domestic fuel prices following tensions in the Middle East has prompted the government to consider an unprecedented intervention in the gasoline market.
President Lee Jae Myung on Thursday ordered officials to prepare a “maximum price designation system” for gasoline. The measure would allow the government to set a ceiling on retail fuel prices if authorities determine that excessive increases are occurring.
2. How is this related to the sub
(1) Oil Shock: Trump’s Iran War is triggered oil crisis in East Asia.
(2) Price Cap: Korea is reviving Park Chung-hee era 1970 Inflation Stabilization Act to impose price cap on as oil price fluctuates out of control.
3. My opinion
Most recent activation of this law is during COVID crisis. This Inflation Stabilization Act has been triggered in 2020 to secure vital medical supplies and KF95 mask for Korean population. This law allows the government to impose widespread price control and rationing of certain items in the case of an inflation crisis. The fact this law came out again means the current Iran war will not be short term shock but a full scale crisis self-inflicted by the US.
https://preview.redd.it/8flx8lo8hfng1.jpeg?width=500&format=pjpg&auto=webp&s=08c21a525527b56dce5f6ac996c84e0d094634a6