Mamdani's grocery stores probably aren't going to work out

The road to policy hell is paved with good intentions. - Daniel Muñoz

At last, Mayor Zohran Mamdani has unveiled his plans for city-operated grocery stores in New York.

Today, I am proud to announce a collection of essential staples that will be predictably 30% cheaper at all five of our city-run grocery stores. This core set of goods will include all fresh produce, meat, and seafood, along with 20 other essential items like cheese, milk, and bread.
Here’s how it will work. Once a month, our five city-run grocery stores will set prices for this core set of goods at 30% below typical retail prices. No exceptions, no gimmicks. The savings will last for the entire month...

In short, the city will use public funds to subsidize five stores to sell goods well below market prices...

• An obvious problem is that these stores will make life harder for existing bodegas and grocers. 
• How can you stay in business if the city is using tax dollars to beat your prices?...