Keeping the price level low

Abstract

The article "Keeping the Price Level Low" by Prof. Dr. M. Azizur Rahman, published in The Daily New Nation on 26 April 2013, examines the mechanisms of capitalism in maintaining stable and low prices. Rahman explains how a capitalist economy, driven by private enterprise, free-market competition, and supply-demand equilibrium, naturally regulates prices without excessive government intervention. He highlights the roles of entrepreneurs in minimizing production costs, optimizing resource allocation (land, labor, capital, technology), and responding to market competition to ensure efficient production and affordable pricing. The article also discusses labor market dynamics, wage determination, and the influence of trade unions, emphasizing that economic growth hinges on increased production of goods and services under competitive market conditions.