West Chester wrote:
See Cliff it is basic economics, if a meat company is subsidized by the government then they can sell their product at a lower price and still hit their profit target. This makes meat inexpensive because the government has stepped in to alter the supply and demand for a product. meat being less expensive has a higher demand, salad having a higher cost has a lower demand.
Plow wrote:supply and demand
But to use some of the knowledge gained in the second day of Econ, we can see by the disproportionate subsidies given to the meat and dairy industries, that this competitive situation is quite imperfect. The federal government is granting over 150x the amount to producers of foods that should be consumed 1/4 as much as fruits and vegetables. Given that subsidies, if used at all, are supposed to "support the public good" something's fucked up here.
The public is consuming too much of foods that cause heart disease, etc, because the federal government's actions artificially deflate those foods' prices.
My proposal: make the subsidies match the USDA pyramid, or shitcan them altogether. (Being a moderate,, I'll say five years are allotted to achieve this.)
Buy better hooks and bourbon.