4 ms·

Well food prices are significantly lower in the EU than the US. A more dramatic case, Spain, the consumer bread prices can be 1/10 US prices. Vegetables run a f

Well food prices are significantly lower in the EU than the US. A more dramatic case, Spain, the consumer bread prices can be 1/10 US prices. Vegetables run a fraction of US price, eggs about 1/3. Even corn is less expensive when it reaches the consumer. Yet the median wage is on the order of .75 US and minimum wage including farm worker wages, are higher. Yet US agriculture is more mechanized and agro-business more consolidated and the country significantly more efficient. So empirically the most significant factor is now something else.

Turing_Machine 11y ago
"So empirically the most significant factor is now something else." That "something else" would be the 40%(!) of the EU budget that is spent on agricultural subsidies.
- callil 11y ago
  Yes exactly, instead of being wrapped up in the John Deer corp. the money is being used to lower prices for society and do a better job of making food accessible to the people.
  - Turing_Machine 11y ago
    I'm sorry, do you actually believe that the John Deere corporation keeps all its money in a big money bin, like Scrooge McDuck or something? That is not actually the case. And there is plenty of "food accessible to the people". Too much of it is far more common than too little nowadays.
- whybroke 11y ago
  The EU spends approximately the same per capita on direct farm subsidies as the US. Your choice of words however would mislead people into believing that 40% of European national budgets are devoted to farm subsidies and that EU subsidies exceed US subsidies by a similar proportion. This is grossly untrue. The difference is the US consumer realizes far less benefit. e.g. corn receives far more subsidies in the US than in the EU yet somehow is still more expensive to the US consumer. What the US does have is an aversion to enforcing anti trust laws, tariffs designed to disadvantage consumers (eg on rice), a taboo on regulations and effectively no consumer advocates in government.

Turing_Machine 11y ago

"So empirically the most significant factor is now something else." That "something else" would be the 40%(!) of the EU budget that is spent on agricultural subsidies.

callil 11y ago
Yes exactly, instead of being wrapped up in the John Deer corp. the money is being used to lower prices for society and do a better job of making food accessible to the people.
- Turing_Machine 11y ago
  I'm sorry, do you actually believe that the John Deere corporation keeps all its money in a big money bin, like Scrooge McDuck or something? That is not actually the case. And there is plenty of "food accessible to the people". Too much of it is far more common than too little nowadays.
whybroke 11y ago
The EU spends approximately the same per capita on direct farm subsidies as the US. Your choice of words however would mislead people into believing that 40% of European national budgets are devoted to farm subsidies and that EU subsidies exceed US subsidies by a similar proportion. This is grossly untrue. The difference is the US consumer realizes far less benefit. e.g. corn receives far more subsidies in the US than in the EU yet somehow is still more expensive to the US consumer. What the US does have is an aversion to enforcing anti trust laws, tariffs designed to disadvantage consumers (eg on rice), a taboo on regulations and effectively no consumer advocates in government.