A Trip to Pine Ridge: An Old Antitrust Law and Its Forgotten Promise for Rural America

Through the lens of a recent trip to Pine Ridge, SD, we argue why enforcement of the Robinson-Patman Act is a necessity for rural consumers. Across rural America, consumers rely on small, independent retailers for their basic needs because big box stores are often absent from their communities. If these independent retailers are forced to pay higher prices to stock their shelves as a result of illegal price discrimination, these rural consumers ultimately pay the price. Congress, in line with America’s antimonopoly tradition, passed Robinson-Patman with those consumers and their communities in mind. We contend Robinson-Patman Act enforcement is needed to ensure that rural consumers and communities receive the benefits of fair competition and fair prices.

By Max M. Miller & Bryce Tuttle^[1]

II. INTRODUCTION

Last year, we came across the congressional testimony of R.F. Buche, a fourth-generation independent grocer whose 21 stores serve Indian country in South Dakota. Testifying remotely from his office in Sioux Falls, Buche spoke movingly about the difficulties he said he faced during the pandemic. He testified that suppliers of essential items, such as baby formula, ground beef and canning supplies cut him off or put him on strict allocations – while fully stocking the shelves of big box stores in the region. He claimed he was denied access to the same products as the big boxes.^[2] And according to his wholesaler, even when Buche’s orders are bundled wi