price of milk falls: good for consumers, bad for farmers
as we all know, the price of milk last year reached an all time high. so high, it cost $3.89 per gallon last july. ouch! but the faltering global economy is changing all that. it's driving the demand for dairy products way down even as supply increases. and while consumers are saying yay! farmers (who are also consumers, don't forget) are saying nay!
and just as the government stepped in to rescue banks and car companies, they are now stepping in to help farmers. critics of farm subsidies argue that they allow farmers to continue producing even when the economics don't add up. that means that, ultimately, taxpayers (like you, me, and stacie) pay the price. and while i'd rather see government funds go to struggling farmers instead of poorly managed banks, the whole thing still makes me uneasy. read the details in new york times article here.
—m
