Friday, January 18, 2013

What Does "Cost" Mean?

Here's a bit of sensational (meaning "playing on the senses," not "really good") journalism warning that milk could "cost" $8 per gallon in 2013 unless Congress saves us.

If this is true, I contend a gallon of milk already costs $8 per gallon, but technocrats have declared some of that money should come from somewhere besides your wallet. Unless Congress is going to create new dairy cows or murder milk-drinkers, this article says "the equilibrium price of milk is something very different from what you've been paying."

Is this a call for our Congressional saviors to take action, or a sobering reminder of how much market intervention our ostensibly-constitutional lawmakers undertake?

1 comment:

The sort-of Republican said...

The idea you are stating here may be the most thought-provoking thing I've read in days. BTW, I vote congress makes us better cows.