Stop the Cheese Bailouts
27th October 2016
Hipsters don’t eat American cheese anyway.
Large milk supplies are bringing down the price of milk. As a result, in August, the Department of Agriculture (USDA) purchased $20 million worth of cheese to reduce the cheese supply and drive up allegedly low milk prices. This discretionary authority to make such purchases exists as a result of Section 32 of the Agriculture Act of 1935.
Apparently, the first cheese bailout was insufficient. So earlier this month, the USDA announced it would buy an additional $20 million worth of cheese. This intervention is on top of the already existing federal programs to help dairy producers.