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Farm Subsidies - A Necessary Evil

Submitted by Toptoker420 on February 28, 2005

Category: Philosophy
Words: 1225 | Pages: 5
Views: 804
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Farm Subsidies - A Necessary Evil?

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Farm Subsidies - A Necessary Evil?

Subsidies are payments, economic concessions, or privileges given by the government to favor businesses or consumers. In the 1930s, subsidies were designed to favor agriculture. John Steinbeck expressed his dislike of the farm subsidy system of the United States in his book, The Grapes of Wrath. In that book, the government gave money to farms so that they would grow and sell a certain amount of crops. As a result, Steinbeck argued, many people starved unnecessarily. Steinbeck examined farm subsidies from a personal level, showing how they hurt the common man. Subsidies have a variety of other problems, both on the micro and macro level that should not be ignored. Despite their benefits, farm subsidies are an inefficient and dysfunctional part of our economic system.

The problems of the American farmer arose in the 1920s, and various methods were introduced to help solve them. The United States still disagrees on how to solve the continuing problem of agricultural overproduction. In 1916, the number of people living on farms was at its maximum at 32,530,000. Most of these farms were relatively small (Reische 51). Technological advances in the 1920's brought a variety of effects. The use of machinery increased productivity while reducing the need for as many farm laborers. The industrial boom of the 1920s drew many workers off the farm and into the cities. Machinery, while increasing productivity, was very expensive. Demand for food, though, stayed relatively constant (Long 85). As a result of this, food prices went down. The small farmer was no longer able to compete, lacking the capital to buy productive machinery. Small farms lost their practicality, and many farmers were forced to consolidate to compete. Fewer, larger farms resulted (Reische 51).

During the Depression,...

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