Banning loss leaders will interfere in the market, causing a net economic loss for society.  By requiring retailers to sell items at least at cost level, the government is creating an artificial price floor, which will cause prices to rise and create a net loss for society. Basic economics explains that artificial price floors upset the free market, costing a net economic loss for society, which will eventually be paid by all sectors involved.  The harm that prohibiting loss leaders causes to prices is well documented. According to a study by the French newspaper La Tribune, a basket of identical items costs 30% more in France than it does in Germany, partly because of the ban on loss leaders1. In fact, this is the very reason why Ireland repealed its loss leaders ban. The Minister for Enterprise, Trade &amp; Employment said at the time, "The single most important reason for getting rid of the [law] is that it has kept prices of groceries in Ireland at an artificially high level." Indeed, a study published in the British Food Journal concluded that the Irish law had caused prices to rise, and a separate study came to the same conclusion regarding France's loss leader prohibition. More generally, a report from the American Anti-Trust Institute shows that throughout history, such price laws have typically raised prices to consumers. 1 Economist . "Purchasing-power disparity: French shoppers want lower prices, but not more competition." May 15, 2008.