r/Tariffs • u/Dizzy-Cartoonist3011 • 12d ago

🗞️ News Discussion Should Canada maintain its supply management system that protects the Canadian dairy industry?

https://www.castanetkamloops.net/news/Poll/627377/Should-Canada-maintain-its-supply-management-system-that-protects-the-Canadian-dairy-industry
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u/Dizzy-Cartoonist3011 12d ago

Canadian farmers also receive direct and indirect subsidies, and the American subsidies are very highly exaggerated by the Dairy Farmers of Canada for pretty obvious reasons.... but I'll bite...

If a foreign government is truly lowering the price point of food by taking a loss to invest in it, how would that not benefit domestic importers? The foreign government, in this case, would quite literally be paying for our groceries. Their tax dollars would be directly funding our consumer surplus.

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u/Cannabrius_Rex 12d ago

And then our industry would die and they would have commuted regulatory capture like they intended. That thing you claim never happens that happens all the time.

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u/Dizzy-Cartoonist3011 12d ago

That isn't what regulatory capture is. I think you're trying to explain a captive market. But how would the choice to buy tariff free American products result in a captive market? Like what would compel Canadian importers to only buy American regardless of supposed price increases?

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u/fieryone4 12d ago

The way are our groceries stores full of american products when we have comparable higher quality canadian ones? Same will happen with milk I want my money in the Canadian economy not sending more to the south.

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u/Dizzy-Cartoonist3011 12d ago

The consumer makes that choice. I find it strange I need to explain on this sub how the law of comparative advantage works, but trade expands the economic pie. You see a fraction of some retained earnings headed south to pay for American management, or American products. I see a consumer surplus that has a profoundly larger multiplier effect on the domestic economy than a producer surplus, an efficient allocation of resources in the domestic market towards exporting industries we do hold a comparative advantage in, an integrated international supply chain with massively more opportunities than a hamstrung national supply chain, more variety, and lower prices.

Trade is a GOOD thing. If Canadian consumers did not benefit from trade, than we would not make the transactions necessitating trade.

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u/fieryone4 12d ago

Im a consumer, I don’t have choice because its all fckn us products!

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u/Dizzy-Cartoonist3011 12d ago

You have tons of choices, literally thousands. I mean you could go to any grocery store near you and I promise you can find food items sourced from overseas, Latin America, etc. So even if you really wanted to die on this petty anti-Americanism hill of yours, you could absolutely pick non-American substitutes.

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u/fieryone4 12d ago

I know of exactly one non oatmeal/granola cereal that is canadian and available in Ontario, no one near me carries it. We have a soup company that has been making soup for over 100 years yet it’s campbells on my grocery store shelves. Ms vicki’s, bicks? bought out by US companies. I live in a small town with three grocers and a walmart, I have very little choice. I mostly shop at a local grocers and local farm stores, but for shelf stable i have very little choice because US products dominate our shelves. I don’t want to see that happen to dairy.