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Farm subsidies are justified based on a perception of unfair competition. That farmers would make a loss without help. You can actually make exactly the same
by 7952 11y ago
Farm subsidies are justified based on a perception of unfair competition. That farmers would make a loss without help.
You can actually make exactly the same argument about renewable energy. We invested in clean energy because it is a superior, but more expensive product. Fossil fuels are able to compete unfairly by selling a dirty product for less. Without subsidies solar would be forced to track the price of fossil fuels. As oil gets cheaper, solar becomes less profitable.
- beautybasics 11y agoIt's very important to account for indirect costs too. - Harmful emissions killing thousands [1] - Degradation of environment such as water contamination. - Geo-political implications. [1] - http://www.ehhi.org/reports/exhaust/summary.shtml http://www.ehhi.org/reports/exhaust/summary.shtml
- abtinf 11y agoI've heard a number of arguments in favor of farm subsidies, but never one based on "unfair" competition. I'm curious about what you mean. American farmers are incredibly competitive and efficient, so I'm not sure who they could be threatened by. And I'm not sure how you are relating that point to "clean energy". You say solar should be subsidized because it is a superior product. Are American farm products somehow superior as well? Is grain from the mid-west some how better than grain from Europe? Or is corn syrup cleaner than sugar cane from Cuba?
- JoeAltmaier 11y agoFarmers make no money. The government-supported crop insurance means they don't lose money as fast. And unfair? We use that word to describe cars, steel, electronics but not grain? A Brazilian farmer can grow grain, haul it using donkeys to a barge, sail it down river to the coast, pay for shipping on a grain scow, and load it on a train to Chicago, for less than farmers in Iowa can afford to grow it. Its got to mean miserable working conditions for people in that whole chain. Is this any different from clothing or iPhones?
- mrep 11y ago> Farmers make no money. Source? My roommate in college worked on his parents farm every summer and while he worked a lot of hours, he made would make about $25,000 dollars. That's more than any of anyone I know made during the summer except for me (I only made more cause my company paid for my hotel that I lived in plus the taxes on it which were both ludicrous).
- JoeAltmaier 11y agoMy family. Our neighbors. The farm accountant, who says nobody he works for makes any money. Sure its just a few data points, but its darn hard to profit with erratic markets and weather. Maybe make money one year in three.
- mrep 11y agoWhat do you guys sell? My buddy is from Indiana and they sell corn of which they have seen consistently growing "yield rates" or some term like that.
- bad_user 11y agoFarm subsidies are why farmers are poor, often working at a loss. That's because farm subsidies means you need to plant either corn or soy, just like everyone else, dropping the price of corn or soy, making farmers rely even more on subsidies and planting even more corn or soy. And people are right, you'll be working at a loss, if you plant corn or soy. Of course the solution would be to break the cycle, but then CAFOs would be in trouble without so much cheap corn to feed their cattle, they'll wonder how to achieve those liver abscesses, which in turn will strike a blow to big pharma.
- api 11y agoFossil fuels compete unfairly by deferring externalities to future generations. The full cost of coal electricity would price in the Manhattan seawall and the complete reconstruction of Miami not to mention whatever ocean acidification does (scarier than climate IMHO).
- robbiep 11y ago> Farm subsidies are justified based... I strongly assert that you do not understand the political impetus behind farm subsidies, the damage they do, and the strong economic case that they should not exist