Farm Subsidies are wrong...

[Savoir Faire-Demogague in NJ]

Here's a weekly presidential address I'd like to see, based on President Obama's address last week on "Taxpayer Subsidies for Oil Companies Farms are Neither Right, nor Smart, and They Should End."

mjperry.blogspot.com/

WASHINGTON – "As oil and gas companies U.S. farms make tens of billions in profits and the government scours the budget for savings, President Obama called on Congress to stop handing them $4 billion $12 billion annually in taxpayer subsidies.

After the worst recession since the Great Depression, our economy is growing again, and we’ve gained almost 2 million private sector jobs over the last 13 months. But I also know that a lot of folks aren’t feeling as positive as some of those statistics might suggest. It’s still too hard to find a job. And even if you have a job, chances are you’re having a tougher time paying the rising costs of everything from groceries to gas. In some places, gas ground beef is now more than $4 a gallon $3 per pound and milk is more than $3.50 per gallon meaning that you could be paying upwards of $50 or $60 to fill up your tank $500 or $600 per month to feed your family.

Of course, while rising gas food prices mean real pain for our families at the pump grocery store they also mean bigger profits for oil companies America’s farms. This week, the largest oil companies U.S. Department of Agriculture announced that they’d made more than almost $25 billion in the first few months of 2011 – up about 30 20 percent from last year.

Now, I don’t have a problem with any company or industry being rewarded for their success. The incentive of healthy profits is what fuels entrepreneurialism and helps drives our economy forward. But I do have a problem with the unwarranted taxpayer subsidies we’ve been handing out to oil and gas companies farms – to the tune of $4 $12 billion a year. When oil companies farmers are making huge profits and you’re struggling at the pump supermarket, and we’re scouring the federal budget for spending we can afford to do without, these tax giveaways to farmers aren’t right. And we need to end them.

That’s why, earlier this week, I renewed my call to Congress to stop subsidizing the oil and gas industries America’s farms. Understand, I’m not opposed to producing oil agriculture, but taxpayer subsidies to farmers when they're making record profits are neither right, nor smart, nor fair, and they should end."

MP: Data on farm income and farm subsidies are available here from the USDA. The USDA is projecting $94.7 billion this year in "net farm income," and government payments to U.S. farms have averaged more than $12 billion per year for the last four years.

[safeharbor37]

There is a difference between an actual "subsidy" and a tax deduction or credit and the difference is not always clear in political discussions. Subsidies and tax deductions/credits as well as other incentives by the government distort the economics of any industry to which they are applied so the fewer there are, the better ~ unless of course if you are a fan of central planning [government incentives/controls].
In general, well meaning government policies not only don't achieve the [presumably] desired results, but generally create other problems [unintended consequences] so that the failure of one government policy generally leads to other government policies to correct the problems created by the original government policy. The result is the inevitable growth of government so that it eventually absorbs the private sector entirely thereby achieving the real goals of collectivists like President Obama.

[AgeOfEnlightenmentSCP]

Good post. Makes the point very well.

[Deleted]

I think both need to be addressed...

[EVT1]

Obviously handing cash to corps like Cargill, etc. is pure waste, and so is handing out cash to non-farmers. I wonder what happens to small and mid sized farms that rely on the subsidy to remain viable? Is this the exact situation with oil, where the original intention to help the little guy turned into a cash spigot for the monopolies?

[Mad Dawg Wiccan]

I remember listening to the Doctor Demento Show on New Years Eve 1991-1992. He played a song recorded in 1932 called "In 1992" which speculated in silly ways on what life would be like then. One of the last lines was, "They'll probably still be yelling for Farm Aid in 1992"....

[safeharbor37]

Desiderata

Go placidly amid the noise and haste, and remember what peace there may be in silence.
As far as possible, without surrender, be on good terms with all persons.
Speak your truth quietly and clearly; and listen to others, even the dull and ignorant; they too have their story.
Avoid loud and aggressive persons, they are vexations to the spirit.
If you compare yourself with others, you may become vain and bitter, for always there will be greater and lesser persons than yourself.
Enjoy your achievements as well as your plans.
Keep interested in your own career, however humble, it is a real possession in the changing fortunes of time.
Exercise caution in your business affairs, for the world is full of trickery.
But let this not blind you to what virtue there is; Many persons strive for high ideals, and everywhere life is full of heroism.
Be yourself.
Especially, do not feign affection.
Neither be cynical about love; for in the face of all aridity and disenchantment, it is perennial as the grass.
Take kindly the council of the years, gracefully surrendering the things of youth.
Nurture strength of spirit to shield you in sudden misfortune.
But do not distress yourself with imaginings.
Many fears are born of fatigue and loneliness. Beyond a wholesome discipline, be gentle with yourself.
You are a child of the universe, no less than the trees and the stars, you have a right to be here.
And whether or not it is clear to you, no doubt the universe is unfolding as it should.
Therefore be at peace with God, whatever you conceive Him to be, and whatever your labors and aspirations, in the noisy confusion of life keep peace with your soul.
With all its sham, drudgery and broken dreams, it is still a beautiful world.
Be cheerful - Strive to be happy.

'The Desiderata of Happiness' by Max Erhmann, Copyright © 1948 by Bertha K. Erhmann

Deteriorata

Go placidly amid the noise and the waste and remember what comfort there may be in owning a piece thereof.

Avoid quiet & passive persons unless you are in need of sleep. Rotate your tires. Speak glowingly of those greater than yourself & heed well their advice, even though they be turkeys; know what to kiss & when.

Consider that two wrongs never make a right, but that three do. Wherever possible, put people on hold. Be comforted that in the face of all aridity & disillusionment & despite the changing fortunes of time, there is always a big future in computer maintenance. Remember the Pueblo. Strive at all times to bend, fold, spindle & mutilate.

Know yourself; if you need help, call the FBI. Exercise caution in your daily affairs, especially with those persons closest to you -- that lemon on your left, for instance. Be assured that a walk through the ocean of most souls would scarcely get your feet wet. Fall not in love therefore; it will stick to your face.

Gracefully surrender the things of youth, birds, clean air, tuna, Taiwan; & let not the sands of time get in your lunch. Hire people with hooks. For a good time, call 555-4311; ask for Ken. Take heart amid the deepening gloom that your dog is finally getting enough cheese; & reflect that whatever misfortune may be your lot, it could only be worse in Milwaukee.

You are a fluke of the universe; you have no right to be here, & whether you can hear it or not, the universe is laughing behind your back.

Therefore make peace with your God whatever you conceive Him to be -- Hairy Thunderer or Cosmic Muffin.

With all its hopes, dreams, promises, & urban renewal, the world continues to deteriorate. Give up.
Copyright © National Lampoon. Written by Tony Hendra.

[Deleted]

[Deleted]

You know... small farmers need to get their act together, do something else, or come together in new ways (like local, sustainable partnerships) if they want to survive.... I am sick and tired of small farmers being able to persist in bad decisions and unsustainable practices because they are subsidized by the government...

[floridayankee]

May 4, 2011 9:38:06 GMT -5 oped said:

I am sick and tired of small farmers being able to persist in bad decisions and unsustainable practices because they are subsidized by the government...

How are they any different than the individuals that are able to persist in bad decisions and unsustainable practices because they are subsidized by the government?

[Deleted]

Most of them are ALSO subsidized in those ways as well... so maybe its just the magnitude? I've said before, while i am definately for a social safety net, i believe it should be basic provision... Around here farming is an 'expensive hobby'... which does not generally manage an income that gets people out of other assistance programs.... Fine.... give them asssistance... but does the government really need to be subsidizing the hobby?

[henryclay]

"......... I am sick and tired of small farmers being able to persist in bad decisions and unsustainable practices ............"

And I am sick and tired of illegal aliens coming here broke and with no means of support, but able to survive on government handouts. Akso generational welfare families, and lawyers who get 30% of the awards when they successfully sue the government, , , , like Obama did as a community organizer.

I would also like to see an end to all food imports.

[Mad Dawg Wiccan]

May 4, 2011 9:55:21 GMT -5 henryclay said:

"......... I am sick and tired of small farmers being able to persist in bad decisions and unsustainable practices ............"

And I am sick and tired of illegal aliens coming here broke and with no means of support, but able to survive on government handouts. Akso generational welfare families, and lawyers who get 30% of the awards when they successfully sue the government, , , , like Obama did as a community organizer.

I would also like to see an end to all food imports.

I don't agree with banning all food imports. Some food items can't be grown here, or are imported when they are out of season here but in season in another part of the world.

[Deleted]

#6-

[fairlycrazy23]

No reason to ban food imports, if we implement the fair tax it would at least tax the products the same as domestically produced products.
But all agricultural subsidies should be eliminated, phased out over a short period of time, 3-5 years.

[Deleted]

Cute, MDW and Archie!!

[steff]

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[deziloooooo]

I don't know enough about food subsidies to farmers to really comment on it beyond the fact that when living in Galveston for three years, I became friendly with a fellow from the Golf Course who also had cattle and horses, that i was able to ride when ever , as he did not have the time to exercise them.

He explained to me they, family had been in the cattle business since forever, and while he only had about 30/40 head, it was profitable because of subsidies, low taxes on the land the family owned , not on the cattle itself so much.

Allowed him to keep the land, have beef for himself and family, keep his horses and trucks and out buildings..and sell for some $ every year, also raise and hay for feed and extra to sell.

I am sure there are billions here that are a waste and it should be looked at and where no longer needed then do away with and where still needed , then tailor it for todays world.

[steff]

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[steff]

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[steff]

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[steff]

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[henryclay]

Right now it is crop planting time. Some crops are already ploanted. The Corps of Engineers is blowing the levees along the Ohio and Mississippi rivers and flooding more farmland than the size of some states. If the farmers are lucky and the banks don't move in and foreclose, they will sitll own the muddy lands that the floods leave behind, with their homes and buildings ruined, animals drowned and their equipment reduced to rusty hulks, but there won't be much this year in the way of crops. What do they do? Do they move to some town and abandon the farms, or do they qualify for farm subsidies, which is another name for government insurance as it applies to farmers?

[lakhota]

Farm Subsidies are wrong...

Someone should probably tell Michele Bachmann...

Michele Bachmann: 'Welfare queen'

Rep. Michele Bachmann (R-Minn.) — so fond of accusing the Obama administration of foisting socialism on an unwilling America — has apparently been the recipient of about a quarter of million bucks in government handouts.

Liberal site Truthdig links to an Environmental Working Group analysis of federal agricultural subsidies and found that the Bachmann family farm, managed by her father-in-law until his recent death, received $251,000 in farm payments between 1995 and 2006.

Bachmann’s financial disclosure forms indicate her stake in the Wisconsin farm is worth up to $250,000. Her income from the farm has grown from $2,000 a year a few years back to as much as $50,000 for 2008.

www.politico.com/blogs/glennthrush/1209/Antisocialist_Bachmann_got_250k_in_federal_farm_subsidies.html

www.truthdig.com/report/item/michelle_bachman_welfare_queen_20091221/#

[Mad Dawg Wiccan]

May 4, 2011 18:37:41 GMT -5 henryclay said:

Right now it is crop planting time. Some crops are already ploanted. The Corps of Engineers is blowing the levees along the Ohio and Mississippi rivers and flooding more farmland than the size of some states. If the farmers are lucky and the banks don't move in and foreclose, they will sitll own the muddy lands that the floods leave behind, with their homes and buildings ruined, animals drowned and their equipment reduced to rusty hulks, but there won't be much this year in the way of crops. What do they do? Do they move to some town and abandon the farms, or do they qualify for farm subsidies, which is another name for government insurance as it applies to farmers?

I'm certain they will be able to get FEMA relief. I wouldn't call that an ag subsidy, it's disaster relief for what happens to be farmland.

[Deleted]

Wouldn't it just be better for the government to maintain 'grain storage' then? To actually contract for and purchase product so that they had reserves? Rather than encourage large amounts of excess in this manner?