Halloween has become a very expensive holiday…thanks to the federal government.
- Americans purchase 600M pounds of candy for Halloween. That’s 4% of annual candy sales.
- Americans consume 15B pounds of candy/year.
- Candy sales for 2014 are expected to be at $2.2B, up from 2013’s total of $2.08B.
According to The Motley Monk fave, Veronique de Rugy in a Reason Magazine article, the federal sugar program that provides support to the U.S. sugar industry increases the cost of candy:
- To prevent free market competition from lowering the price of sugar, the federal government taxes sugar imports.
- The federal government has a board whose members decide how much sugar U.S. companies can produce annually. If a company exceeds its quota, that company must stockpile or destroy the sugar, keeping the price of the commodity artificially high.
- The federal government also subsidizes U.S. sugar companies with loans backed by taxpayers. Imagine that!
Thanks to Uncle Sam, the cost of sugar in the United States in 2014 costs is 200% more than it does in the rest of the world. If Uncle Sam would stop gerrymandering the U.S. sugar market, Americans would have saved $3.86B in 2011.
Got the idea? Distributing candy treats on Halloween is nothing more than an indirect tax Americans pay to keep the price of U.S. sugar high. And the politicians can truthfully say, "I didn't cast one vote to raise taxes on the American people."
Let the discussion begin…
To read Veronique de Rugy’s article in Reason Magazine, click on the following link:
"Sugar Subsidies Make Halloween Candy Much More Expensive, Leave Sour After-Taste."