By preventing the price mechanism from working, we make disasters worse than they already are.
So, when the price mechanism is allowed to work, consumption regulates itself and technology creates substitutes.
Second, there is no functioning price mechanism in healthcare.
At which point the problem reverts back to the previous problem facing any central bank trying to manage a fiat currency a problem the post-Bretton-Woods experience has revealed to be insoluble without a market-based link to a hard commodity like gold to reveal money demand through the price mechanism.
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As pointed out by wireless analyst Roger Entner, U.S. carriers have only one-third of the spectrum available in Italy (on a MHz-per-million-subscribers basis), and one-fifth of the spectrum as France, Germany, and the UK. Given this relative scarcity of spectrum, U.S. carriers must prevent overuse of their LTE networks through the price mechanism else their data networks would be worthless.
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Of course, in order to use this as an argument that inflation is not a problem, he has to assume that the market has enough wisdom in it to properly gauge future inflation, but then he immediately turns around and forgets the wisdom of the markets when he overrules its price setting mechanism with an unprecedented series of operations, from open market to twist.
Economic liberals argue that the market itself is the greatest price-discovery mechanism known to man.
Fairtrade's price-adjustment mechanism is intended to insulate small producers from volatile commodity markets and the free-trading, no-holds-barred capitalism that multinational companies espouse.
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The oil market is tight, but price is a wondrous mechanism, and rising prices have spurred investment.
It was instrumental in designing the Clean Development Mechanism, which it is doing very nicely out of, and it fears that flooding the market for carbon credits with new supply from tropical forests would depress the price and destroy the mechanism.
This, of course, is why Democrats would likely insist on using a tax mechanism as their price for supporting such big Medicare changes.
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It was to no avail: the participants failed to agree on a global mechanism to put a price on emissions, making it harder for energy firms to justify big investments in unproven green technologies, such as advanced biofuels or carbon capture and storage.
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Indeed, an important element of the monetary transmission mechanism works through the asset price channel.
You see, the company has an innovative mechanism called a gold-price-linked dividend.
Price said Hendricks developed several personalities as a coping mechanism during the abuse.
One, labouring under the term of "contracts for difference", is a mechanism under which the government will guarantee a price that energy firms can obtain for producing and selling electricity generated either by wind farms or new nuclear power stations.
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This arrangement would provide an automatic, independent mechanism of checks and balances to enforce the gold-price rule.
By making the rules clear in advance, the price band also promises to shine a spotlight on the cartel's opaque mechanism.
They will bring forward a new support mechanism - a Contract for Difference - to provide long-term price certainty for low carbon electricity generation.
That the rate mechanism is charitably feckless in an unstable world speaks to the importance of the Treasury and Fed adopting a price rule.
Unlike the classical gold standard, there is no market feedback mechanism to bring the quantity of money in line with the demand for money while maintaining long-run price stability.
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