Uncategorized Comments Off
But, there are reasonable arguments on the other side as well. Farms in North America are surviving today because the small family ones have mostly gone out of business and large corporate farms are taking over. Even though their labour costs are much higher than those of other countries they can achieve some economies of scale. If subsidies were removed perhaps they’d simply go through another round of consolidation and still be able to compete. I personally don’t like that family farms have mostly disappeared, but does it make sense to artificially keep ourselves halfway between the two extremes?
Even though subsidies may be needed they do seem like a band-aid. I wonder if there’s a way to bake the subsidies into the price of the items that would equalize against the cheaper imports as well, like price minimums. That does seem hard to enforce though.
Some more discussion on the topic from Wikipedia