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Reason Together's avatar

This is simply the most basic of economic intersections. Prices based on supply and demand. Government inflated the price of cheese by buying at a set price higher than demand. This incentivized increased production of cheese, which resulted in a mountain of excess.

The opposite is true as well. When socialists put in price controls, supply goes down resulting in shortages.

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Charles Clemens's avatar

I get SUCH an education from you, Jason. The figures you cited were staggering. But I would offer a counterargument that the 1949 Agricultural Act may have been created by God's infinite wisdom. Certainly, no one in 1949 could have anticipated that Jimmy Carter would ever be elected and it was wonderful that this mountain of cheese could be given to the poor by the Reagan administration. As I learned just now in a conversation with my wife, that government cheese was delicious and, since families got these large slabs of cheese, more than they could eat, it led to poor families helping other poor families and confirmed the decency, the humanity, and the Christianity that existed in America just 40 years ago.

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