This story in the New York Times relates to chapter six with how the government stepped in to lower grocery prices so that the poor can afford groceries to feed themselves as well as their families. Now however the companies making these goods and selling goods cannot make any money and if they do it is very little so they have stopped manufacturing or carrying certain items that families need for everyday life. Which is causing the people of Venezuela to wait in line for hours to get some flour or cooking oil.
If price controls would have been imposed on bottles of water after Hurricane Katrina it would have ended up much the same as it did in Venezuela. The people in the front of the line waiting for water could get as much as they could grab and pay for all of it and those later in the line would not receive any if price controls had been imposed. However with having price controls everyone could receive a few bottles of water because the people at the front of the line couldn't take as much as they wanted because they could only afford a few bottles of water.
In this article it talks about Los Angeles minimum wage increase to $15.00 dollars an hour making it into the biggest city to raise the minimum wage. However many people do not think about the downsides to raising minimum wage while it may seem a good way for everyone to make more money. If you look at it from the manufacturers standpoint they now must raise all of their workers wage to $15 dollars an hour which in turn will increase their manufacturing costs and that will also raise they price of their goods or force the company to lay off some of their workers to make the same amount.
http://www.latinpost.com/articles/59621/20150614/los-angeles-becomes-biggest-city-to-raise-minimum-wage-to-15-an-hour.htm
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