Earlier quoted context omitted.
> not a marketplace failure. Remove the subsidies and the market would quickly find the higher price at which dairy farmers could produce milk profitably and consumers would purchase it. If it is in our societal interest to produce more milk so people can eat, and the market doesn't do so, requiring subsidy, then that is a failure of the market to meet society's need. You're conflating the failure of a marketplace to…
Is excess milk production really a social need though? According to the market people would generally rather spend that money elsewhere. Via the subsidy the U.S. is forcing everyone to spend a small portion of their income on milk production.
Or some people don't have the money to spend on it at all. This is the fundamental issue with using "willingness to pay" as proxy for "utility consumer gains."