Quote:
Originally Posted by CuteOldGuy
The Christmas tree industry doesn't need government to promote them. They can do that on their own.
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The government doesn't do the promotion. The government assesses the fee, then the industry board does the promotion. The tax simply eliminated the free rider problem of some producers not contributing to the promotion fund, but benefiting from the promotion efforts.
Just like:
"Beef. It's what's for dinner."
"Got milk?"
"The incredible, edible egg." and
"Pork, the other white meat." campaigns.
These have all been very successful campaigns that have helped agricultural producers in the respective industries. But if you make the contributions voluntary, then everybody has an incentive not to contribute but let others pay their way. Simple ECON 1301.
And frankly, the government doesn't give a shit. It makes no money on the program. The funds are passed right back to the producers association. The administration did just what they should have done. The growers association asked them to do it, so they did. But then when it caused a problem, they said, "Nope, we're not taking any political heat for your people," and killed it. There was nothing in it for the government other than helping out growers. So fuck it! Let them sell fewer trees.