here’s a standard milk transaction:
jimmy goes to the ATM, takes out $20, drives to stop&shop grocery store and buys a gallon of milk for $3.65.
here’s who got paid*:
- the ATM company who contracted with the bank;
- the grocery store employees (cashier, shelf stockers, management team);
- stop&shop corporate (distribution, payroll, accounting, management, owners);
- the company stop&shop pays to do their cash registers and credit card terminals;
- stop&shop’s insurance company;
- stop&shop’s electric company;
- stop&shop’s internet company;
- a bottling/packaging company;
- a dairy farmer.
so how much does the dairy farmer make on 1 gallon?
rhe product producer took 27.7% of the transaction; middlemen took 72.3%.
* directly or indirectly; list is neither exhaustive nor consistent for every transaction.