I am not really following what your saying here, surely you are not implying direct payments don"t exist anymore? FDR may not be president but his legacy is still costing taxpayers 100"s of billions per year on every front -- Direct farm payments increase land costs regardless of market conditions and along with cyclical payments influence certain peoples decisions on what they plant which means those payments directly impact the supply of any given commodity, if a person knows he can get a direct parity payment on a rice crop or corn crop he may decide not to grow cotton or tobacco. The original reply was to a statement that farm payments kept food prices low when nothing could be further from the truth, not that I am saying it is in a farmers best interest to keep food prices low its just that subsidies have the affect of influencing business decisions thereby driving up land rents/price and other input costs. Direct payments to landownersbased on the 1996 farm bill are nothing but welfare. Notice I referred to corporate farmers and large acreage holders, these programs are gamed by a whole lot of people. I never implied that small farmers or feeders were going to get rich slopping at the federal trough, much the opposite.
This post was edited by LAA at 09:34:59 10/06/12 2 times.
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