Ok so everyone is in a panic about the statement made by an American meat corporation about the breakage of the supply chain......and to be honest it's not altogether without concern. However I do not think or expect that it is that easy to destroy the connectors and to be frank a burp on the supply side could actually be just the right medicine for some of the systemic problems that have faced the American Marketplace recently. Some down time is a good thing for large commercial mechanisms who have repair needs that cannot be attended to at full production speed.
The people I feel the most angst for here are the very important farmers at the base of the food supply chain. They are geared to a certain volume that has been artificially inflated by the EBT system.... not that it's a bad thing.....in other posts I have actually supported the EBT system as one of the few things the government does that is actually smart....it provides scale and scale always provides better unit pricing. The squeeze is especially difficult for livestock.... what do you so with ten thousand pigs that were supposed to be processed last week? You can't just let them starve in the pens so now we encounter the problem of disposal or usage. This is where the government needs to focus its attention....the rest of the chain can take care of itself but the bottom will need some kind of maintenance to keep the scale where it belongs until the chain picks up the pace again. In this particular instance government intervention can be a good thing.
Looking forward what can we expect from this interruption? Well.....it could actually work out well for the consumer in the end. Remember that the supply side is usually controlled by the Government...if it is properly managed, a phased reopening could see an unprecedented boom to satisfy the deficits of demand that are currently accruing.....it's an opportunity to be sure....it all depends on who is doing the reopening. The Marxist dems will do everything in their power to make it a control move....true capitalists will do everything in their power to make it an unprecedented opportunity. What's the difference?
Your vote in November is the difference.
JO
The people I feel the most angst for here are the very important farmers at the base of the food supply chain. They are geared to a certain volume that has been artificially inflated by the EBT system.... not that it's a bad thing.....in other posts I have actually supported the EBT system as one of the few things the government does that is actually smart....it provides scale and scale always provides better unit pricing. The squeeze is especially difficult for livestock.... what do you so with ten thousand pigs that were supposed to be processed last week? You can't just let them starve in the pens so now we encounter the problem of disposal or usage. This is where the government needs to focus its attention....the rest of the chain can take care of itself but the bottom will need some kind of maintenance to keep the scale where it belongs until the chain picks up the pace again. In this particular instance government intervention can be a good thing.
Looking forward what can we expect from this interruption? Well.....it could actually work out well for the consumer in the end. Remember that the supply side is usually controlled by the Government...if it is properly managed, a phased reopening could see an unprecedented boom to satisfy the deficits of demand that are currently accruing.....it's an opportunity to be sure....it all depends on who is doing the reopening. The Marxist dems will do everything in their power to make it a control move....true capitalists will do everything in their power to make it an unprecedented opportunity. What's the difference?
Your vote in November is the difference.
JO
