Saturday, December 5, 2009

Efficient Market Theory

In economics there is what is known as the "efficient market theory" which results in markets excelling in efficient allocation of resources. The efficient allocation of resources is what sets a a true "market economy" above a planned economy, the most famous of which was the former Soviet Union.

Friday I went to the nearest city, Oneonta, NY (pop 13,292). There are four "supermarkets." I bought the store brand butter at each location.

If you go to: you can find the plant where the butter is made. The plant number is located on the stick. The first two numbers are the state. If you scroll to the bottom you can find the state and then go to the state to fine the plant.

The results:

Aldi - Wisconsin
Hannaford - Minnesota
Price Chopper - California
Wal*Mart - Massachusetts

New York is the third largest dairy state and not one of the store brand butters was from NY. Price Chopper's headquarters are in upstate NY. Some efficient allocation of resources!

There are very few makers of butter left. Why anyone would buy a branded butter is beyond me. Store brand has a faster turnover and therefore is of better quality.

I just can't bring myself to buy butter, or much of anything else, in Wal*Mart.


  1. Thumbs up to you on Wallie World (wal-mart)!

  2. at least wal marts butter was'nt from china

  3. Anonymous said...

    at least wal marts butter was'nt from china



  4. Local diner here in Winfield,NY has those little coffee creamers, made in Texas. Its my understanding they are also made in Oneida,NY, Less than an hour away. Makes almost as much sense as importing product from New Zealand and Australia then exporting product to Japan, Phillipines, Korea, Indonesia,Vietnam,etc... DWCovert

  5. Hey John, have you ever bought milk and had it tested for the BF in it? I did that YEARS ago... Amazing results. This was with whole milk of course... one brand was 3.2%, not 3.5%... granted it's not much, but that not much adds up.