{"id":255051,"date":"2025-03-09T06:08:05","date_gmt":"2025-03-09T06:08:05","guid":{"rendered":"https:\/\/news.talkwithrattan.com\/index.php\/2025\/03\/09\/echoing-a-roman-emperor-croatia-tries-to-cap-soaring-prices\/"},"modified":"2025-03-09T06:08:05","modified_gmt":"2025-03-09T06:08:05","slug":"echoing-a-roman-emperor-croatia-tries-to-cap-soaring-prices","status":"publish","type":"post","link":"https:\/\/news.talkwithrattan.com\/index.php\/2025\/03\/09\/echoing-a-roman-emperor-croatia-tries-to-cap-soaring-prices\/","title":{"rendered":"Echoing a Roman Emperor, Croatia Tries to Cap Soaring Prices"},"content":{"rendered":"<div style=\"text-align:center\"><img decoding=\"async\" src=\"https:\/\/i2.wp.com\/static01.nyt.com\/images\/2025\/02\/27\/multimedia\/xxcroatia-prices-cfmk\/xxcroatia-prices-cfmk-facebookJumbo.jpg?ssl=1\" class=\"attachment-post-thumbnail size-post-thumbnail wp-post-image\" alt=\"Echoing a Roman Emperor, Croatia Tries to Cap Soaring Prices\" title=\"Echoing a Roman Emperor, Croatia Tries to Cap Soaring Prices\" \/><\/div><p> <br \/>\n<\/p>\n<div data-testid=\"companionColumn-0\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">In 301 AD, the Emperor Diocletian made a bold but ultimately unsuccessful bid to address the inflation that was rampaging across the eastern half of the divided Roman Empire.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Prices of everything from purple thread and feathers to slaves and cattle were dictated by his Edict on Maximum Prices. Violators <a class=\"css-yywogo\" href=\"https:\/\/scholarship.law.upenn.edu\/cgi\/viewcontent.cgi?article=7817&amp;context=penn_law_review\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">faced the death penalty<\/a>. Diocletian gave up power about four years after issuing his edict, watching his measure fail from his sprawling retirement palace in the heart of what became the city of Split in Croatia.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Now Croatia\u2019s government is trying a similar tactic to rein in prices that have soared in recent years and sparked protests and retail boycotts by the country\u2019s beleaguered consumers.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">On Feb. 7, the government introduced price controls for retailers, targeting supermarket items such as bread, pork and shampoo. The penalties are less drastic than those decreed by Diocletian, mandating a fine of up to 30,000 euros, or $31,400, for retailers breaking the rules.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-1\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">It is unclear whether the new edict will be any more successful than Diocletian\u2019s, which economists say ended up being counterproductive by causing shortages, fueling a black market and enabling profiteers.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">For the moment, consumers are still figuring out how to navigate the new system, which caps the price of 70 common grocery store products.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">In Split, whose tight limestone streets and alleyways attract tourists from around the world, Anita Kargotic, 62, went shopping recently at a Spar supermarket, where two signs were posted outside listing the maximum prices allowed for a range of goods.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">She tied her dog, an American Akita named Maja, to a post outside, and later emerged from the supermarket, with a haul of Kaiser rolls, popcorn kernels, soy flakes and crackers. Most were store-brand generics, already less expensive than more recognizable labels.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Ms. Kargotic said her money did not go as far as it once did, and caring for herself and Maja has become a vexing exercise in prioritization.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-2\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Flea collars and dry dog food? Those are necessities. Grapes? No, too expensive.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Staples like rice and pasta? Pass. \u201cThose prices have become completely unreasonable,\u201d she said, adding that she doesn\u2019t think the new price controls will make much difference to her since she mainly buys whatever is cheapest.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cI\u2019m always looking at lower prices, paying attention to sales,\u201d she said.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Croatia, which joined the European Union in 2013, should be basking in a successful post-pandemic recovery. The economy has been growing at an average of 6.6 percent over the past four years, <a class=\"css-yywogo\" href=\"https:\/\/www.reuters.com\/world\/europe\/croatias-tourist-arrivals-rise-4-2024-ministry-says-2025-01-03\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">tourism has been booming<\/a> and wages have been steadily rising. But that has also helped drive a surge in <a class=\"css-yywogo\" href=\"https:\/\/ec.europa.eu\/eurostat\/web\/products-euro-indicators\/w\/2-03022025-ap\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">prices<\/a>, with inflation hitting 5 percent in January after remaining stubbornly above 3 percent throughout 2024.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The rules that came into effect this month are the Croatian government\u2019s third attempt at controlling prices by fiat since Sept. 2022. The first two efforts were largely ineffective, with retailers simply refusing to stock most price-controlled goods.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The government says it is serious this time, with the law requiring that price-controlled products be available and it has promised regular inspections and fines for violators.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-3\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Under the new rules brought in by Prime Minister Andrej Plenkovic, shop entrances must display a list of all 70 items that fall under the government\u2019s pricing regime.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-4\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Centuries ago, Diocletian\u2019s edict accused some citizens of price gouging, and said their greed needed to be reined in.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">In January, Mr. Plenkovic struck a similar tone when introducing his government\u2019s measures.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cWe support companies that work well and make a profit, but within realistic frames. That can\u2019t be at the expense of the little guy,\u201d he said at a stormy meeting with retailers in January.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Rudolf Nardelli, 80, another recent shopper at the Spar in Split, said he moved to Haarlem, in the Netherlands, five decades ago and recalls often leaving Split with his car\u2019s trunk full of provisions.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cNow the prices in Holland are lower,\u201d said Mr. Nardelli, who still divides his time between Haarlem and Split, as he strapped groceries to his bike. \u201cRetailers here are inflating prices for no reason.\u201d<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-5\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Economists blame the increases on a three-headed hydra of pandemic-era economic rescue packages that flooded the country with cash, increases in public sector wages and retailers rounding up prices after Croatia adopted the euro in 2023.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Those with tighter budgets are facing unexpected sacrifices.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Leonardo Inacio, 28, was shopping at the Spar for protein, mostly chicken, to aid in his physical recovery from the demands of his job as a ballet dancer.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">He said a monthly grocery budget of \u20ac350 used to be enough when he moved to Split from Brazil two years ago. That figure has jumped to \u20ac450, he said.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cI\u2019m passing up on supplements,\u201d Mr. Inacio said of the sacrifices he was making to make ends meet. \u201cI\u2019d much rather spend that money on something that helps me professionally, but I can\u2019t.\u201d<\/p>\n<p class=\"css-at9mc1 evys1bk0\">He said he had participated in the boycotts against retailers, but knew nothing about the government\u2019s price regulations. He glanced curiously at the list of discounted items outside the supermarket.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-6\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">\u201cThis could actually be useful,\u201d he said, snapping a photo of the list with his phone.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">But many people say price controls are not the answer.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">John H. Cochrane, an economist and <a class=\"css-yywogo\" href=\"https:\/\/www.hoover.org\/profiles\/john-h-cochrane\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">fellow at the Hoover Institute<\/a>, a research center, pointed to the role Diocletian\u2019s edict played in causing shortages and fueling a black market.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cIt\u2019s like trying to stem the symptoms rather than treating the underlying disease,\u201d Mr. Cochrane said of price controls. \u201cIt offers people the appearance of help for a while, and then it takes a few weeks or, a month or two, for all the problems to break out.\u201d<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<p><br \/>\n<br \/><a href=\"https:\/\/www.nytimes.com\/2025\/03\/09\/world\/europe\/echoing-a-roman-emperor-croatia-tries-to-cap-soaring-prices.html\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>In 301 AD, the Emperor Diocletian made a bold but ultimately unsuccessful bid to address the inflation that was rampaging across the eastern half of the divided Roman Empire. Prices of everything from purple thread and feathers to slaves and cattle were dictated by his Edict on Maximum Prices. Violators faced the death penalty. Diocletian [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":255052,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"tdm_status":"","tdm_grid_status":"","fifu_image_url":"https:\/\/static01.nyt.com\/images\/2025\/02\/27\/multimedia\/xxcroatia-prices-cfmk\/xxcroatia-prices-cfmk-facebookJumbo.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[197167,24590,3962,35080,43104,177115,164392,4673,170285,167707,197166,2364,170284,163229,26440,5806],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/posts\/255051"}],"collection":[{"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/comments?post=255051"}],"version-history":[{"count":1,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/posts\/255051\/revisions"}],"predecessor-version":[{"id":255053,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/posts\/255051\/revisions\/255053"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/media\/255052"}],"wp:attachment":[{"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/media?parent=255051"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/categories?post=255051"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/tags?post=255051"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}