Thursday, August 20, 2015

How US Sugar Policies Just Helped America Lose 600 Jobs

I talked about this before.  If you believe highfructose corn syrup is the cause of all our obesity, get rid of the sugar subsidy.  It's the reason the soft drink industry converted to HFCS.  And now appears to be the reason Oreos will now be made in Mexico.

If the government wants people making Oreo cookies and similar products to keep their jobs, a logical starting point would be to eliminate the U.S. sugar program, including barriers to imported sugar.

This obvious connection between the lost jobs and sugar quotas was missed by many observers. According to one online commenter: “This is why tariff[s] on products coming to U.S must be raised.”

That’s backwards. When protectionist policies like the U.S. sugar program lead to offshoring, the response shouldn’t be to pass new laws to discourage such offshoring or to raise tariffs even higher. The response should be to eliminate government policies that encourage offshoring in the first place.

No comments:

Post a Comment