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Thread: Government intervention can solve this problem?

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[quote=ICEBERG,265462]What is the fatal menace to China's economy? Most people may tell you that inflation and soaring prices of food and other stuff. Exactly. they are two big problems for those Chinese top economists. If prices of food and other products can not be controled well, inflation will break sooner or later. In order to cope with increaing prices, the government made an announcement that the prices of oil, natural gas and electricity shouldn't be increased in recent days. Otherwise, those who break the rule will be punished severely. Actually, not only China faces inflation but also the whole world suffers it too. Some people even say that China's soaring prices is might escalate global inflation. Do you think so?

It seems that the government has made up its mind to combat soaring prices. However, there is a cerntain amount of people who don't think government intervention will solve this problem. Or it might be effective in short term but the situation might be more severer.

What do you think? Government intervention can solve inflation?[/quote]

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