Tuesday, January 14, 2014

Big Milk and Soviet-style central planning

Great article yesterday in the WSJ uncovering the political machinations of both House and Senate pols on both sides working on behalf of, among other huge corporations, Land 'O Lakes and Big Milk.  Here's an excerpt:
Mr. Peterson, the ranking Democrat on the House Agriculture Committee whose state is home to 470,000 cows, wants to create an insurance program without a cap so Big Milk can get in on the action too. MILC has already cost $3.6 billion since it began in 2003 and the Peterson blowout would lead to exorbitant payments and political blowback.
So Mr. Peterson wants consumers to pay for hidden corporate welfare for the huge dairy cooperative Land O'Lakes instead. He wants to create a bureaucracy that would control the milk supply and artificially inflate prices for milk and staples like cheese, ice cream and yogurt.
The winners, as always with cronyism, are large corporations -- Big Milk -- and the politicians that use their powers on their behalf. And the losers are everyone else.  And ask yourself: who can handle these abuses better financially, middle/upper income families, or poor families? Exactly.  Good thing we have the Progressives to help out the poor in our country! [ht: Don Boudreaux]