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Summers Compares Price-Gouging Bill to Trump’s Bleach Injections

  • Former Treasury chief says moves could prove counterproductive
  • Summers says too early yet to abandon 2% inflation target
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Former Treasury Secretary Lawrence Summers calls moves by Democratic lawmakers to counter alleged price gouging with legislation “dangerous nonsense.”  Source: Bloomberg

Former Treasury Secretary Lawrence Summers dismissed moves by Democratic lawmakers to counter alleged price gouging by companies with legislation as “dangerous nonsense.”

“There is no material prospect that, in any enduring way, gouging legislation can have any substantial effect on inflationary pressure,” Summers told Bloomberg Television’s “Wall Street Week” with David Westin. “But it can cause and contrive all kinds of shortages” and undermine companies’ moves to boost supply in reaction to higher prices, he said.