Fuel Price Cap Comes to an End: Why Market Interventions Rarely Work in the Long Term

The temporary cap on petrol and diesel prices will come to an end this weekend, allowing the market to return to normal pricing. Although the measure may have helped soften the immediate impact of rising fuel costs following the escalation of tensions in the Middle East, it also highlighted the limitations of price intervention. Speaking to TV Nova, our economist Jan Boubín explained why keeping prices artificially low over an extended period is both inefficient and challenging for fuel retailers.