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Government subsidies at Work

Started by Gaspar, March 15, 2010, 09:16:14 AM

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Gaspar

When attacked by a mob of clowns, always go for the juggler.

rwarn17588

Quote from: Gaspar on March 15, 2010, 09:16:14 AM


I'm no fan of the overuse of agricultural subsidies, but I find the graphic rather confusing.

Since there are few subsidies for the good stuff (nuts, veggies), shouldn't the overall cost for those be lower because fewer taxes support these sectors? Sure, the beef may be cheap at the grocery, but the overall cost because of subsidies would fast close that gap.

Gaspar

Quote from: rwarn17588 on March 15, 2010, 09:56:31 AM
I'm no fan of the overuse of agricultural subsidies, but I find the graphic rather confusing.

Since there are few subsidies for the good stuff (nuts, veggies), shouldn't the overall cost for those be lower because fewer taxes support these sectors? Sure, the beef may be cheap at the grocery, but the overall cost because of subsidies would fast close that gap.

I think you are confusing demand with subsidy.  Of course the graphic gives no example of demand, and even if it did, correlations would be difficult to draw.  Without subsidy we could simply look at demand and understand costs, but when you throw in the govt monkey-wrench the correlation is a problem.
When attacked by a mob of clowns, always go for the juggler.

rwarn17588

Quote from: Gaspar on March 15, 2010, 10:05:42 AM

Without subsidy we could simply look at demand and understand costs, but when you throw in the govt monkey-wrench the correlation is a problem.


Well, having grown up on a farm and closely watching the markets for years, I can assure you that demand and supply have a huge effect on prices, and still do.

Playing devil's advocate, you could make the argument that said subsidies have helped lead to the cheapest food on Earth. Americans spend far less of their money on food than most other countries, even industrialized ones.

YoungTulsan

We do have the cheapest food, I think the point is that the cheap food is terrible for our health.

When we think about how cheap these corn syrupy, GMO, bleached flour, hormone injected, chemically altered foods are, do we take into account the toll it takes on our health?

Perhaps that is the real cost of the subsidy.  We do have freedom of choice, but when junk food is abundant and cheap, we will trend towards unhealthy eating moreso than in an unmanipulated market.   If a Big Mac cost $7.50 people would eat less of them.  If a glass of organic vegetable juice were $0.99 and a Pepsi was $5, there would be a lot more healthy people out there.
 

RecycleMichael

I should thank Nancy Pelosi for the dollar menu?
Power is nothing till you use it.

Gaspar

Quote from: rwarn17588 on March 15, 2010, 10:27:51 AM
Well, having grown up on a farm and closely watching the markets for years, I can assure you that demand and supply have a huge effect on prices, and still do.

Playing devil's advocate, you could make the argument that said subsidies have helped lead to the cheapest food on Earth. Americans spend far less of their money on food than most other countries, even industrialized ones.

True dat! We have the finest food supply in the world. It would probably be a healthier country if a big mac cost a little more don't you think?  So you could continue that argument by saying that the subsidies have lowered the cost of food and increased the cost of healthcare.
When attacked by a mob of clowns, always go for the juggler.

Conan71

Cheapest food, high morbidity rates, costliest health care.  Also fattest country on earth.

Anyone seeing a correlation here? 

"It has been said that politics is the second oldest profession. I have learned that it bears a striking resemblance to the first" -Ronald Reagan

rwarn17588

Quote from: Conan71 on March 15, 2010, 12:40:56 PM
Cheapest food, high morbidity rates, costliest health care.  Also fattest country on earth.

Anyone seeing a correlation here? 


Health care was going up higher than the inflation rate long before obesity became a big deal. The obesity epidemic started only the last 20 years.

Does it worsen health-care costs? Sure. But the evidence shows that health-care costs were a problem long before then, way back to the 1960s.

Conan71

Quote from: rwarn17588 on March 15, 2010, 01:26:21 PM
Health care was going up higher than the inflation rate long before obesity became a big deal. The obesity epidemic started only the last 20 years.

Does it worsen health-care costs? Sure. But the evidence shows that health-care costs were a problem long before then, way back to the 1960s.

I've read studies which suggest the root of food figuring into health problems came with changes in diets as we became less of an agrarian society and started relying on more heavily processed foods over the last 100 years.  Higher rates of heart disease, cancer, diabetes, and obesity as well.  They can also track this trend to countries who were introduced to processed foods later than the United States was.

We do not practice good pre-emptive health care in this country.

You don't know the difference between an entitlement and infrastructure, you really think I'm putting much stock in anything else you say?  Besides your point doesn't fit my paradigm ;)

"It has been said that politics is the second oldest profession. I have learned that it bears a striking resemblance to the first" -Ronald Reagan

rwarn17588

Anyone who uses the word "paradigm" automatically loses me.  ;)

You're probably one of those who uses a pipe and wears a smoking jacket.  ;)

rwarn17588

Hmmm ... I just noticed these discussions are a lot more civil and productive without one third-grader from the left and the other third-grader from the right around to crap things up.  :)

Gaspar

Quote from: rwarn17588 on March 15, 2010, 01:57:32 PM
Hmmm ... I just noticed these discussions are a lot more civil and productive without one third-grader from the left and the other third-grader from the right around to crap things up.  :)

+1
When attacked by a mob of clowns, always go for the juggler.

Conan71

"It has been said that politics is the second oldest profession. I have learned that it bears a striking resemblance to the first" -Ronald Reagan

rwarn17588