Why Some US Cities are Fighting 'Dollar Stores'

The Washington Post reports on why some U.S. cities are restricting the spread of discount 'dollar stores':
Residents fear the stores deter other business, especially in neighborhoods without grocers or options for healthy food. Dollar stores rarely sell fresh produce or meats, but they undercut grocery stores on prices of everyday items, often pushing them out of business...Grocery stores run on thin profit margins -- usually between 1 and 3 percent. And they employ more workers than dollar stores to keep perishable food stocked.
'It's no longer the big-box grocery store' that threatens local businesses, said David Procter, a Kansas State University professor who studies rural grocery stores. 'But it's the discount retailer that's coming to town and setting up shop right across the street.'

'As the stores cluster in low-income neighborhoods,' the Post writes, 'their critics worry they are not just a response to poverty -- but a cause.'

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