Inguna Gulbe, head of the Agricultural Market Promotion Department at the Institute of Agrarian Resources and Economics, explained on the TV24 program Dienas personība that high prices are not such a big problem compared to the low incomes of the population.
"Our greatest problem is that we have a relatively poor population. The second problem, which is becoming more pronounced, is that we have 'scissors': part of the population lives very well, while another part lives very poorly," said Gulbe.
According to her, a normally developed country aims for the largest number of people in the middle class. This means that the majority of residents are neither rich nor poor, but earn a decent average income.
"There are many countries where prices are much higher than ours, but their residents are not as concerned about it because they simply have more money. Our problem lies in the low purchasing power of the population," the expert stated.
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