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Eating their own

by The Oklahoman Editorial Board and Ray Carter Modified: June 14, 2013 at 2:46 pm •  Published: November 16, 2012

Want a glimpse of what happens to businesses reliant on government regulation to stay viable? Take a look at California, where cheese makers benefit from a state law governing the price they pay for milk.

The price has been so low that many dairies are now going out of business — an estimated 100 out of roughly 1,600 this year. Dairy owners obviously favor raising the price. Cheese makers argue a milk price increase could drive them out of business given the high cost of operating in California due to its other excessive regulations.

To offset the impact of overreaching government regulations, cheese makers are forced to promote … other overreaching government regulations. Instead of competing through the marketplace and letting consumers ultimately determine price, California’s dairies and cheese makers must compete in lobbying state lawmakers.

That’s no way to run an economy.

by The Oklahoman Editorial Board
The Oklahoman Editorial Board consists of Gary Pierson, President and CEO of The Oklahoma Publishing Company; Christopher P. Reen, president and publisher of The Oklahoman; Kelly Dyer Fry, editor and vice president of news; Christy Gaylord...
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by Ray Carter
Editorial Writer
Ray Carter joined The Oklahoman in May 2012 after serving as Media Director for the Oklahoma House of Representatives for over seven years. A native of Oklahoma, Carter has worked in the newspaper and public relations businesses since 1998.
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