As I understand it they will introduce maximum prices, right? You are right, producers will be trying to export what they can but in general it leads to shortages because companies can't cover their costs and will be limited to scale their production. Real prices will occur on growing black markets that will lead to higher prices to cover legal risks. It's a good strategy to empoverish the middle class and to destroy the poor. Famous historic example: the diocletianean edict that combined price controls with limited freedom of movement...
Thanks for the history example. That edict is a good look at the debasing that is so often mentioned that characterised Rome's decline.
reply