Wednesday, August 15, 2018

Episode 4: US Government + $50 Million in Milk

https://abcnews.go.com/Politics/us-government-buying-50-million-milk-dairy-farmers/story?id=57180332

Summary: The USDA is purchasing surplus milk, sending them to food banks and schools. A possible reason for this government decision is the uncertainty of milk farm markets.

Analysis:
This is a example of what modern government intervention looks like. This ABC article mentioned that the need for government intervention was not caused by President Trump’s latest tariffs, but by the fact that dairy is becoming a failing industry. With hundreds of dairy farms closing in the past two decades, people who make a livelihood from this specific industry have faced hardship in marketing enough of their goods as other “milk” industries rise.
This event strikes me as very similar to policies enacted by President Franklin D. Rooselvelt during the Great Depression which saw potential for economic growth through deficit government spending. Not that this dairy intervention is deficit spending, but in many ways, it’s the modern U.S. government’s attempt to stabilize the failing dairy industry. What is hopeful about this is, as a citizen, this very much means that the US government is willing to intervene into industries that contain many jobs. Looking at this from a more obtuse angle, US policymakers do care and take into consideration economic growth and how that directly affects the lives of US citizens and generations to come.

NYT Quiz 8

Haha, this is... sad. Ouch. :((((