Organized Money The Secret Scam Driving Up Food Prices
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Jan 14, 2026 
Stacy Mitchell, co-executive director of the Institute for Local Self-Reliance, dives deep into the Pepsi-Walmart pricing scandal and the implications of the Robinson-Patman Act. She reveals how these giants collaborate to create 'price gaps,' driving up food prices while Walmart flaunts its low-cost image. Stacy discusses the impacts of Walmart's dominance on local economies and the risks posed by modern pricing strategies. Her advocacy for transparency highlights the need for public awareness in combating these practices that affect consumer choices.
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Hidden Robinson-Patman Case Against Pepsi
- The FTC sued Pepsi under the Robinson-Patman Act for giving Walmart preferential wholesale prices and raising competitors' costs.
- That secret complaint was dropped by the incoming Trump FTC before unsealing, hiding evidence of retailer-supplier price discrimination.
Walmart As Grocery Gatekeeper
- Walmart sometimes controls over 50% of grocery share in many metro areas and one quarter of US grocery sales overall.
- That footprint makes Walmart a gatekeeper whose pricing deals shape entire local markets.
Robinson-Patman’s Forgotten Role
- Robinson-Patman, passed in the 1930s, prohibited suppliers offering better prices to large chains to protect independent retailers.
- Enforcement faded from the Reagan era onward, enabling today's supplier-retailer price discrimination.