Posts tagged ‘South Los Angeles’

The Health Care Trojan Horse: Property Rights Edition

For years I have warned that government-funded health care will be used as a Trojan horse for a nearly infinite body of legislation under the pretext that X [where X = nearly every activity or individual choice] has implications for health care costs.  Here is the latest chapter of this ongoing saga:

New stand-alone fast food restaurants have been banned from setting up shop in South Los Angeles, due to rising health concerns by the city council.

This story also mixes in a good portion of corporate statism as well, as it represents pretty transparent protectionism of current competitors against new entrants:

Perry's new plan bans new so-called "stand alone" fast food restaurants opening within half a mile of existing restaurants.

So McDonald's, who is likely firmly entrenched in the area, is unaffected, but potential new entrants challenging McDonald's are out.

For even further points, one can see another powerful constituency at work.  I suppose commercial real estate developers complained about potential loss of tenants, so this was added:

Such stand-alone establishments are on their own property, but those same restaurants are OK if they're a part of a strip mall, according to the new rules.

Obviously the same food is much more nutritious if served in a leased building rather than on a piece of land the restaurant owns itself.

Read the whole thing, its a great example with a lot of fact-free pronouncements by politicians about market failures.  via Matt Welch