Wednesday, March 05, 2008

The Farm Bill

Dave Zeitland of Sex Drugs & Water Utilities has an insightful post on farm subsidies:

"In this op/ed, a Minnesota farmer complains that he cannot increase production of garden crops by growing them on former-program crop land because these acres will lose their corn subsidy forever if non-program crops are grown on the land for a year.

Why? Because national fruit and vegetable growers based in California, Florida and Texas fear competition from regional producers like myself. Through their control of Congressional delegations from those states, they have been able to virtually monopolize the country’s fresh produce markets.

...In other words, it seems that non-program crop states have been willing to support continued subsidies for program crop states because they are facing less competition in return. Less competition, higher prices and more money. Voila!"

US farm policy: harvesting poverty abroad, obesity at home, and making us all poorer in the process.

hat tip: Marginal Revolution

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