The Hidden Economics of Food

Key Takeaways Welfare states are economic infrastructure: Social safety nets aren't charity—they're systems that enable risk-taking, smooth consumption, and maintain demand during downturns. Insurance beats individual saving: Pooling risk is more efficient than everyone saving for every possible catastrophe. Social insurance is collective risk management. Welfare enables flexibility: Countries with strong safety nets can adapt to change because workers can take risks. Precarious workers cling to existing jobs even when change is needed. The myth of dependency is backwards: Welfare doesn't create dependency—it creates freedom. The truly dependent are those so precarious they can't say no to any offer. The Northern Grain Wheat grows easily in warm, sunny climates. Northern Europe has neither—short growing seasons, cold winters, unpredictable weather. ...

Key Takeaways Development is democratized consumption: When goods move from elite luxuries to mass products, economies grow. This requires demand—which requires purchasing power—which requires equality. Inequality kills demand: Rich people can only consume so much. Concentrated wealth means unused purchasing power and weak demand. Redistribution can drive growth: Policies that shift money to those who will spend it—through wages, transfers, or public services—stimulate economies. The chicken lesson: Cheap protein for everyone required both supply-side innovation AND demand-side purchasing power. Growth needs both. The Sunday Dinner A generation or two ago, chicken was expensive. Families ate it on Sundays or special occasions. “A chicken in every pot” was an aspirational promise, not everyday reality. ...

Key Takeaways No country industrialized through free trade: Britain, America, Germany, Japan, Korea—all used protection to build industries before competing globally. Rich countries preach what they don't practice: Countries that developed behind tariff walls now demand developing countries abandon protection. Free trade theory assumes what it needs to prove: Comparative advantage works if you accept current capabilities as given. But capabilities can be built—and protection can help. "Level playing field" isn't level: Forcing developing countries to compete immediately with established industries isn't fairness—it's locking in advantage. The Spice That Didn’t Stay Home Chilli peppers originated in the Americas. Before Columbus, no one in Europe, Africa, or Asia had ever tasted chilli. ...

Key Takeaways Markets don't solve every problem: Scurvy killed more sailors than combat. Market forces didn't solve it. Government action did. States create knowledge: Basic research, public health discoveries, and infrastructure innovation often require state action because private returns are too low. Bureaucracy can work: The image of government as inherently incompetent ignores examples like the British Navy's health reforms—boring, effective, life-saving. The entrepreneur mythology obscures state contribution: Many celebrated innovations rest on government-funded research, government-created markets, and government-enforced standards. Why British Sailors Were Called “Limeys” In the age of sail, scurvy was a nightmare. On long voyages, sailors would develop bleeding gums, loose teeth, reopened wounds, and eventually die. ...

Key Takeaways The first global economy was mercantilist: European expansion was driven by monopoly, not free trade. Companies sought exclusive control, not open competition. Violence was central: The spice trade wasn't peaceful exchange. It was conquest, forced labor, and the destruction of alternative sources. States and corporations merged: The Dutch and British East India Companies were proto-governments—with armies, courts, and sovereign powers. Mercantilism worked (for some): Dismissed as primitive economics, mercantilism built the wealth that enabled later development. The critique came from those who had already benefited. When Spices Were Worth More Than Gold Pepper, cinnamon, nutmeg, cloves—today these are cheap commodities, bought without thought. ...

Key Takeaways Automation is uneven: Some jobs are easily automated; others resist it. Strawberry picking requires dexterity and judgment that robots still can't match—but that could change. Technology creates and destroys jobs: New technologies eliminate some jobs while creating others. The net effect depends on policy, not just technology. Wages are a policy choice: In economies with strong labor power, automation raises wages. In economies with weak labor, it creates precarity. The question isn't technology—it's distribution: If productivity gains go to workers, automation is a blessing. If they go to capital, it's a curse. This is political, not technical. The Robot’s Limit Strawberries are delicate. They bruise easily. They ripen at different rates on the same plant. They hide under leaves. ...

Key Takeaways Economies evolve through stages: From agriculture to manufacturing to services to... something new. Each transition creates winners and losers. We're past material scarcity: Rich countries can produce more stuff than they need. The frontier is experience, meaning, and sustainability—not more things. Artisanal is a preview: The craft chocolate movement shows where value creation is heading—toward authenticity, story, and quality over quantity. The transition isn't automatic: Post-industrial abundance could mean leisure and meaning for all, or precarity and meaninglessness for many. The outcome is political. From Medicine to Magic Chocolate began as a bitter drink—consumed by Aztec elites for energy and ritual. Spanish colonizers brought it to Europe, where it remained a luxury medicine. ...