How Govt. Warps Markets and Prosperity: Milk Edition

Remember this old post on Collusion, Price-Gouging, or Predatory-Pricing? Worth a chuckle. ;-)

Need more evidence of how govt. warps markets and sensible behavior?

State regulators crack down on grocery chain for selling cheap milk – The Daily Caller: Louisiana state regulators recently cracked down on a supermarket chain’s weekly promotional deal because it was selling milk too cheaply — which violates state law. The upscale Fresh Markets was selling gallons of milk for $2.99 as part of a weekly promotional deal. Louisiana requires that retailer price markups be at least six percent above the invoice and shipping costs of the product.

At least one Fresh Market shopper was outraged when he found that the state government had intervened to control the store’s milk prices.

“Should we do the same thing with bread? Should we do the same thing with soft drinks?” asked Lafayette stockbroker Kenneth Daigle. “If retailers want to take a loss, so be it.”