No, not at all. What you fail to take into account is that the mentality out here is very likely completely different than the mentality in your locale. See, out here, there is a very large sustainable movement. Farmer's markets are growing in number; the health-conscious love the organic meat and produce, and the eco-conscious love that the food they buy wasn't flown in from Chile or El Salvadore on airplanes that spewed greenhouse gasses into the most vulnerable layer of ozone. Even local business interests are thrilled, as the Santa Monica Farmer's Market brings many people to the Third Street Promenade and its shops and restaurants. Just adjacent to the Miracle Mile District is The Grove at Farmers Market, developed by Caruso Affiliates, which is a popular outdoor mall that, as the name suggests, contains a farmer's market--an extremely popular farmer's market--that drives a lot of retail traffic in the area.
As a result of the popularity of both of these farmer's markets--and trust me there are many, many more than just these two--I can't really see how anyone could possibly take them away. Business interests love them, health nuts love them, greenies love them...and therefore the politicians love them. Any politician who tries to remove them would be recalled--look up Gray Davis if you think Californians are politically complacent. Furthermore, the populist-era governmental structure essentially prevents Los Angeles from eliminating them; the mayor has very little power, but the city council does...except that the councilmembers focus on their little feifdoms and generally vote on issues in one district the same way as the representative for that district does. Since farmer's markets are in almost every district, all the separately-elected councilmembers would have to be in on this big grand conspiracy in order to ban the markets, and so would all the judges in California because the resulting lawsuits of such an act would flood the legal system. Then, the conspiracy would have to squash any and all voter referendums and constitutional changes (state constitution) proposed by the outraged greenies, health nuts, Hollywood celebrities, etc. that would likely pass handily. Of course, this would be never-ending until the legislation were revoked as all the people "not paying attention" as you refer to them would realize after it is "too late" what the grand scheme is...and it really wouldn't be too late as a simple citizen-initiated referrendum on the ballot would reinstate local farmers markets, thusly blowing a hole in your cute little "theory."
So please, tell me how deep my head is in the sand--I've just delineated the social, economic, environmental, and political reasons why your paranoid delusion will not happen in Los Angeles, nullifying your little "theory."