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> Large supermarket chains buy out the independent farmers after first unfairly dumping produce to depress the price to where the farmers go out of business. I
by MichaelBurge 5y ago
> Large supermarket chains buy out the independent farmers after first unfairly dumping produce to depress the price to where the farmers go out of business.
I don't think that actually works. Corn farmers could short corn futures or buy put options to lock in their price, and if Walmart tried to drop the nationwide price of corn by 30% to drive some farms out of business, that would cost many many billions competing with finance companies.
Plus the government puts limits on the number of futures positions you can have outstanding, to prevent market manipulation. And it's illegal to collude with others to get around it.