Trade and Pollution

Readers should read James Hamilton about Government interference in normal Business practice, and Greg Mankiw and Phil Swagel's definition of the use of Zeroing in application of anit-dumping duties. The above Posts highlight injurious use of Government management on efficient Business practice. Special Interest agendas and political power grabs can be introduced, solely through the methodology of Government agencies. Unrestrained use of this power violates the rights of Property, and nullifies Investment opprotunities.

Walmart announces a more sensible program as well as the $4 Proscription program. They are trying to reduce their Packaging volume by 5%. It stands as a Step in the right direction, but it could even be improved. The mode of the future will be bulk Shipping. Walmart is trying to place the Investment Costs upon the Suppliers with this plan, which is a demerit to the Plan. Walmart should consider in-Store Individual Packaging. It would markedly lower Supplier Costs to bulk Ship, It would raise Walmart labor rolls but provide ability to provide more source employment (creating their own Consumer market), and allow Walmart to provision higher Wages and Benefits. Walmart could extend these facilities to other Retailers, as well as their Suppliers--a potential Profits avenue. An efficent program would lower Operating Costs, bring a resurgence to the Manufacturing base in the United States, reduce Landfill demands, and could reduce Packaging Costs by maybe 30%.

The Walmart program to capture the Proscription market with a cheap Series of Proscriptions will be matched by Competitors (Target already leading the way). A very effective counter-plan could be easily implemented by the major Retailers. Walmart and other Retailers who capture a large volume of their Customers' Incomes, should offer a Proscription plan paid by a 5% premium paid on all Products purchased, it directed to the Customer's Proscription Plan, and applied against all Proscriptions purchased through their Outlet. Such a Plan would have to be entirely Voluntary, but subscription to the Plan would rapidly spread as Customers could detail the real reduction of oversize Proscription purchases (high Cash outlays). lgl