the unqualified economist

I always forget that Chicago food trucks are banned from actually preparing food except when I am in Chicago or someone starts talking about the greatest basketball-playing Croatian (and former Chicago Bull), Toni Kukoč.  Last weekend I was in Chicago.

The Chicago food truck situation is hilarious and sad for two reasons.  First, Chicago is a progressive really great place to eat. Second, the damned economic free market school of thought is named after Chicago!

Like all most regulations, the idea is supposed to be to keep the customer safe and happy.

Which food is more likely going to be prepared properly?

1) food made fresh in front of your face .

2) food made somewhere (anywhere) else, where you have no idea what the conditions look like.

It is in a truck’s interest to be hygienic, the customers can see right inside! And, if they make you sick, you’re not going to go back there, the same as you would not go back to a restaurant that made you ill.  It is in a food truck’s interest not to kill you (or at least kill you quickly; they might do it over time with lots of butter-mmm)!

There has been no rash of food truck related deaths in all the cities that currently allow them. So, food trucks = safe.

The city says the rules are for health and sanitary reasons. So, why does the law also prohibit food trucks from parking within 200 feet of a restaurant?  As a wise man said, ”Just step up your game. McDonald’s doesn’t ask Burger King if they can open up across the street.”

If people like a specific restaurant they will travel. The odds that they will become distracted by a food truck after traveling to their restaurant of choice is slim.  In fact, the customer might actually be turned off by a big food truck parked in front of their favorite restaurant.

What if the restaurant is overflowing with customers and the food truck starts poaching exasperated customers?  Well, that would be in the consumer’s interest.  It is also the market telling the restaurateur that  the kitchen’s efficiency needs improvement, another restaurant should be opened nearby, or, duh, a take out window should be added! And if the food is just that damn good then people will just wait.  See Hot Doug’s (full disclosure, I have no idea where Hot Doug’s stands on this, but, yes, I would wait for my next hot dog there).

Inefficiency and waiting make people unhappy.  Food trucks increase efficiency. So, food trucks = happy people.

A lot of brick and mortar restaurants are opposed to the regulation because of fear and inertia.  And they’re idiots. Is there a better way to get out and reach new customers than with your own mobile truck?

Food trucks will also help drive existing demand. The more vendors in an area, the more that area gets known and frequented. The will also trucks function as a safety net. A person is more likely to visit a distant restaurant if they know that if it is closed or too crowded they will have a variety of back up options.

To fix the current situation there are new proposed rules whereby trucks can cook food on board as long they are affiliated with a licensed commercial kitchen.  This is a bad idea.  What does operating a kitchen somewhere else have to do with a food truck?  Joe could run an immaculate kitchen on one side of the city and run a food truck on the other where his employees spit in the food.

And if restaurants were to, whore lease their kitchens out, isn’t that just going to further line the pockets of food chains like McDonald’s?  Proposal from the future: you can not lease fast food kitchens.

Wait, wasn’t this all for sanitary reasons? Why does the new proposal say that food trucks would still need to keep 200 feet away from a restaurant that “offers a similar service” and 100 feet away from all other food establishments?

MayorEmanuel would know how to fix this! Not so sure about Rahm Emanuel…