That is generally a false claim - the incentives may be inadequate. Food providers may be ignorant rather than maliciously and myopically greedy.
Failure to regulate means that consumers are dependent on the quality protection services of foreign governments which might be asking quite a lot.
Some recent food imports into the US from China have made a lot of people very sick. The gains-from-trade in this case have taken the form of profits to the vendors and food poisoning of the unfortunate customers.
The Washington Post, reviewing F.D.A. documents, found that last month theThe same has occurred recently with toothpaste and pet food exports from China, some of which ended up in Australia.
agency detained shipments from China that included dried apples treated with
carcinogenic chemicals and seafood “coated with putrefying bacteria.
Of course there should be careful monitoring and regulation of the food trade.
We should also carefully monitor the views of libertarian fanatics who see the free operation of markets as the answer to everything. They are not. Information problems, ignorance, externalities and public good issues provide a host of reasons for intervening in real economies.
Conservative ideologues who advance arguments for minimal government are a deluded lot who have done much damage to contemporary America. They are catching on in Australia.