Of course, the cap would ultimately raise utility rates.
Already the government has felt obliged to squeeze wages, raise utility prices and put up taxes and import barriers.
He has frozen the biggest of the island's public pension funds, raised utility rates sharply, imposed new taxes and stepped up enforcement of existing taxes.
In March, the International Monetary Fund froze payments on a $15.6 billion bailout for Ukraine because the government failed to raise utility rates.
The government has raised utility prices and, given rising unemployment, public anger over perceived corruption and growing security concerns, Mahama's government will have to work hard to win back voters.
Mr. Cardenas, the Budget Committee chairman, said that it would be hard to ask taxpayers to carry much of the burden, but that there was little appetite for raising utility rates sharply.
A serious effort to combat inflation would also entail implementing policies they have publicly denounced: reducing transport and energy subsidies, raising utility tariffs, increasing interest rates, appreciating the currency and keeping a lid on wages.
"Those people are tough, and they don't negotiate easily".Mr Kirchner could do his wife a favour by taking some unpopular measures, such as raising utility tariffs and export taxes on farm products, over the next month.
Should borrowing costs rise, the city, which is known for its famous Mission Inn hotel and as the birthplace of California's citrus industry, would raise utility rates on residents and might also postpone plans to improve electric and water infrastructure.
Given the Nash assumption that Q k ( - j ) ∗ is given, partner j can raise utility by increasing Q k j which contradicts equation (2).
