Prices of the same tradable items in different places tend to converge in a perfectly efficient market. Theoretically, motivated by profits, individuals and entities act as arbitrageurs. They will continue to arbitrage until there are no more profits to be made. That is when prices equalized and that is the essence of the law of […]

On December 7 in the Parliament, based on the Hansard, Deputy Minister for International Trade and Industry Jacob Dungau Sagan was asked whether the government intends to abolish a policy that grants exclusive permits for imports to limited entities and effectively, the granting of monopoly power to several companies over certain commodities such as sugar […]

Ask a layperson what he or she thinks of the definition of economics. If they do not say it is the art of making money, many of them will mention that it is a study of supply and demand. In truth, economics is larger than either popular but otherwise misleading definitions. More accurately, it is […]

Not all dilemmas are really dilemmas. Open up the lid and upon closer inspection, the dilemma unravels without much investment in effort. One such apparent dilemma concerns the production of food and biofuel. There is really no dilemma between food and fuel however. Free price is the scissor to cut the fake Gordian knot. In […]

This is just for my own future use. Following is the list of 11 price-controlled items: Petrol Diesel Liquefied petroleum gas Steel Cement Flour Sugar Condensed milk Bread Chicken Cooking oil Following is the list of 20 supply-controlled items, whereby supplies are regulated ensure demand is always met. Sugar Milk (including condensed, powdered milk, cream) […]

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