food

Recently, Egypt’s pro-American dictator, Hosni Mubarak, was forced to resign after 30 years in power, and forced to give way to a military-controlled government.  Victor Davis Hanson has some interesting reflections on the revolution in Egypt at this link.

Earlier, we discussed the role of ethanol subsidies and biofuel mandates in increasing support for the Muslim Brotherhood, an anti-American group opposed to Mubarak, at this link.  By indirectly increasing wheat prices, ethanol subsidies drove up unrest in Cairo’s slums, which are more supportive of the Muslim Brotherhood than they are of Egypt’s historically much smaller pro-western democracy movements.  (Egyptians historically have spent nearly half their income just on food — more than that in the slums of Cairo and Alexandria, Egypt’s largest cities).

The Washington Post‘s editorial board and various columns in the Post, like one by Professor Tim Searchinger, agreed about the folly of ethanol subsidies and their role in contributing to misery and unrest among Egypt’s poorest.

Sugar producers got a sweet deal in the 2008 Farm Bill. Now, with the next bill scheduled for 2012, some opponents of the U.S. sugar program are already positioning themselves for another battle over one of the most egregious examples of central planning that raises prices for consumers and costs jobs.

On September 29, 2010, Rep. Joe Pitts (PA-16) introduced a bill — The Free Market Sugar Act — that takes direct aim at the sugar program administered by the U.S. Department of Agriculture.  Here’s Pitts’ statement:

The USDA sugar program is a needless waste of government money that is actually counterproductive to the goal of creating jobs in the U.S. Using taxpayer money to back loans to the sugar industry and buy sugar should not be a function of our federal government. Since the program actually raises the U.S. price for sugar, we see some food industry jobs shipped overseas.

Sugar producers are using the public backing to pocket healthy profits. The American people are fed up with bailouts, and my legislation would stop public money from propping up companies that should be providing for themselves.

Other policy makers were taking their own steps to focus attention on sugar and the next farm bill.  Congressmen Danny Davis (D-IL) and Mark Kirk (R-IL) sent a “Dear Colleague” letter to their fellow members of Congress asking them to sign on to a letter to the House Agriculture Committee leadership.  The letter points out some of the major problems with the program that need to be corrected in the 2012 farm bill:

The U.S. Department of Agriculture is keeping sugar prices at all-time highs by limiting the amount of sugar that can be grown in the United States and imported each year to meet domestic needs.  The sugar program is being run solely for the benefit of sugar growers and processors, with complete disregard for consumers and other sugar users.  The net result is that consumers are paying more for food products and workers are losing jobs at food processing and manufacturing plants.

It’s good that they’re starting early to position this issue, because they will be facing the sugar lobby, one of the strongest lobbies on the Hill — that day-in-an-day-out focuses on this one issue and spreads their largesse in a bipartisan manner.

See some of CEI’s earlier articles on the sugar program here and here.

The Pentagon’s official brownie recipe is 26 pages long. If you don’t care to read document MIL-C-44072C in its entirety, here are some highlights:

-The water used in this recipe must adhere to EPA drinking water regulations.

-The eggs must comply with USDA “Regulations Governing the Inspection of Eggs and Egg Products (7 CFR Part 59).”

-The brownies must also comply with rules and standards from HHS, The American Association of Cereal Chemists (AACC), the American Oil Chemists Society (AOCS), the American Society for Testing and Materials (ASTM), the Association of Official Analytical Chemists (AOAC), and the National Academy of Sciences’ Food Chemicals Codex.

-The coating must be exactly right:

3.3.5 Brownie coating. The brownies shall be completely enrobed with a continuous uniform chocolate coating (see 3.2.14) in an amount which shall be not less than 29 percent by weight of the finished product.

-Like pecans on your brownies?

3.2.5.2 Nuts, pecans, shelled. Shelled pecan pieces shall be of the small piece size classification, shall be of a light color, and shall be U.S. Grade No. 1 Pieces of the U.S. Standards for Grades of Shelled Pecans. A minimum of 90 percent, by weight, of the pieces shall pass through a 4/16-inch diameter round hole screen and not more than 2 percent, by weight, shall pass through a 2/16-inch diameter round hole screen. The shelled pecans shall be coated with an approved food grade antioxidant and shall be of the latest season’s crop.

And so on.

By contrast, delicious recipes from allrecipes.com and cooking.com are less than a page each.

The Chicago Tribune has a jaw-dropping story of regulators gone wild:

Department of Health inspectors seized, slashed open and poured bleach over thousands of dollars of local peaches, pears, raspberry and plum purees owned by pastry chef Flora Lazar… Inspectors cited no health problems with any of the food.

And that’s just the beginning. Read the whole thing. This is a scandal. Ms. Lazar is out of business for six months and has lost about $6,000. There is no evidence of harm. This is no way to treat a small business. Especially during a recession.

(Hat tip: the ever-resourceful Brian McGraw)

Haggis is the national dish of Scotland. It has also been banned in the United States since 1989. Some of its ingredients are illegal for humans to consume in the U.S.

I won’t list what those ingredients are; they’re a bit hard to stomach (that would also be one of the ingredients). But having tried a small amount of haggis while in Scotland, I can testify that it doesn’t taste as bad as it sounds.

Fortunately, the haggis ban may soon be reversed. There has been no evidence of harm from eating offal ingredients. People have been eating haggis for centuries and been just fine. American shores may soon be teeming with the latest Scottish culinary innovations, including haggis nachos and haggis pizza.

Waste: Uncovering the Global Food Scandal, a new book by British author Tristram Stuart, will soon be hitting shelves in the UK and the US. It’s is a detailed indictment of the massive amount of edible food that industrialized countries throw away, both in the factory and at home. “In America, around 50 per cent of all food is wasted,” the Telegraph summarizes, “while over here [in the UK], we dump 20 million tons of food every year. Put all this together and—to make a wearisomely predictable but inescapable point—you could easily feed the world’s hungry several times over.”

The Movement Behind the Man

Both the book and its author have close ties to a new kind of conservationism, colloquially known as “freeganism.” Members of the movement cut down on waste—and make a point at the same time—by living partially or entirely off of food they find in other people’s trash. Lars Eighner described the practice in his famous essay “On Dumpster Diving,” and freegans like Stuart have turned that efficiency into advocacy. The Guardian described their message: “If we waste less food, we’ll need less land to grow it on, and hence will cut down fewer trees; we’ll use less water to irrigate that land and less carbon to transport and process the food it produces.”

dumpsterdiving

One man's trash is another man's lunch.

That message is catching on. A Welsh millionaire and professional sculptor has taken up the freegan lifestyle, inspired by his experiences with discarded electronics in Japan. A new website, freegan.info, notifies the community about big scavenging opportunities like college move-outs.

The relentless drive for efficiency has motivated some excellent innovations. Stuart himself claims to make cottage cheese from leftover custard donuts. Food banks have expanded, particularly in the US, to help grocery stores donate their unsold extras to the homeless. At the same time, Stuart leaves some questions unanswered. Waste criticizes stores and factories for overstocking their products, but as the Financial Times points out, overstocking can make good economic sense. How can what looks like a complete waste of private property be the daily routine of a profitable, competitive industry?

Questions like that aren’t particularly important to culture and lifestyle, and they’ve rightly taken a back seat to more pressing issues, like how to make cottage cheese. Inevitably, though, freeganism and other conservation movements are growing out of private life and into public policy. In the halls of government, those nagging questions of efficiency are critically important, and the economic underpinnings of this cultural movement will demand some scrutiny.

As it turns out, Stuart makes a common but crucial mistake. He ignores the invisible. With all the focus on obvious waste—dumpsters, landfills, and so on—it’s easy to forget that our most precious resource is something we never find in those places. And no, I’m not talking about air.

The Question Restated

nails

Paying less for a better product.

When we recall the industrial successes that have shaped modern life, we usually think of new inventions—plastics, automobiles, and so on. The greatest victories of industry, however, came not from new products but from making old products cheaper. Most of what we consume today—food, clothes, housing, refrigeration, steel, light, and so on—has been available for centuries. Our products are usually nicer, but the biggest difference is the price.

It’s not immediately obvious why our goods should be so cheap. After all, the nails I buy in a hardware store are made with machines vastly more expensive than the forges and hammers blacksmiths once used. They’re also shipped farther, and their quality is more consistent. By all rights they should cost more than they used to, but instead they cost orders of magnitude less. Why?

In Nature, Much Goes To Waste

Although a wire nail requires more machinery, electricity, and gasoline than the cut nails and hand-made nails that came before it, it demands much less of one crucial ingredient: human effort.

The most important resource in the world is us. Our labor and our time. Our blood, sweat, and tears. Things that still take a lot of human effort to make are expensive. Nearly everything else is cheap, because we’ve figured out how to get it without working so hard.

gdp

What capitalism has done for you lately.

If we look at the history of America’s GDP per capita, a rough estimate of how much stuff the average American made each year, we can see that process in motion. The typical worker in 1790 had a harder job with longer hours, yet he produced forty times less than he would today. Forty times less. Compared to the modern workforce, early American workers wasted more than 98% of their time and energy.

As human effort has become more productive, it has also become more expensive. Many early conservation practices—using the entire buffalo, so to speak—no longer make sense now that the proverbial buffalo is cheap and the labor to process it is expensive. This is what Tristram Stuart is missing when he criticizes our overstocked grocery stores and factories. True, their garbage is red ink on the balance sheet, but getting rid of it requires learning more about what customers will buy and applying that knowledge at every stage of production. That costs precious time and effort, which are too valuable to waste on a problem that overstocking solves so cheaply.

Once again, the answer to our question is Henry Hazlitt’s most important lesson. The challenge of economics is to mind all costs, both the obvious, like a pile of garbage, and the invisible, like an hour misspent.  Human effort is our dearest resource, and we should be happy to spare it even at great material expense. Conservation movements all too often neglect these human costs, and if our governments make the same mistake, we’ll find ourselves a good deal poorer with no idea why.

There are many reasons for free-market advocates to be unhappy about current affairs. With numerous pieces of legislation being proposed to put shackles on our economy, it can be quite easy to take a pessimistic outlook on the present state of free markets. But sometimes to be optimistic you just need to look for the silver lining on otherwise dark clouds. Today’s dark cloud: news sources are reporting that a widespread outbreak of blight, the mold responsible for the Irish Potato Famine, is hitting the East Coast hard right now. The silver lining: because of entrepreneurial innovations and trade made possible through the open market, what would have been a major crisis 100 years ago is now a minor inconvenience to home gardeners.

Due to cooler than average temperatures and rainy conditions, the mold known as late-blight has taken hold and spread across the Northeast. The mold spreads spores that kill infected plants, generally those of the nightshade variety like tomatoes and potatoes. In the 1840s, late-blight struck Ireland’s main source of food –potatoes- and caused millions to starve and millions more to emigrate. So why not be afraid of the same thing happening here today in the U.S.? Why aren’t major news stations running this story 24/7 and interviewing experts on how to solve this crisis?

Mainly there is little to worry about because free markets work. While food markets have been regulated, they still have been free enough to encourage innovation in food technology and trade with other nations. Due to the profit motive driving entrepreneurial activity there have been many advances in biotechnology that have helped develop crops that can withstand diseases like blight. Genetically-engineered foods that are resistant to viruses, fungi, and disease are now available on the market.hasbro-mr-potato-head-darth-tater2

Furthermore, despite some barriers, international trade still exists for food. The international food market is diverse and allows for different foods to come from many different sources. It is nothing short of amazing that – because of free trade- you can buy fresh produce like strawberries year round even if they are out of season in your hemisphere. If we were totally independent nationally for our sources of food, an outbreak of blight like this could very well be a huge crisis. If, as some environmentalists propose, we were all only able to purchase locally-grown produce then blight could be regionally devastating. Luckily, we are not restricted to only buying food from our home regions and can trade with other nations. If blight were somehow to cripple East Coast food production, while highly inconvenient and costly, food could be imported from other regions or countries.

Although many home gardeners will have problems with their tomato plants this summer, the average American will not notice any differences in everyday life. While there are many problems facing advocates of free markets, worrying about blight-induced famine should not be one of them. It can be easy to get caught up in defending open markets and to forget the unseen benefits that they constantly provide. So this summer, be sure to thank the process of free exchange as you eat non-blighted potatoes and tomatoes.