Agricultural Subsidies Essay by Master Researcher

Agricultural Subsidies
A discussion on the role of agricultural subsidization in developed countries.
# 86550 | 2,250 words | 6 sources | 2005 | US
Published on Dec 01, 2005 in Economics (Macro) , Agricultural Studies (General)


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Description:

This paper discusses the role of agricultural subsidization in developed countries through the examination of the consumer price index (CPI), per capita income levels, and the per capita expenditures on food within the CPI weighted averages. The paper hypothesizes that agricultural subsidies actually inflate the price of food commodities, which has an exacerbating effect on the economy and the lower income demographic.

From the Paper:

"The primary issue is the supposition that government agricultural subsidies disrupt the natural market forces that dictate the free-market premise that prices seek their own level. This principle of price disruption caused by agricultural subsidies is, perforce, most apparent in the price of food and food products. The result, and the proposed hypothesis, is that consumers actually pay higher prices for food items that would otherwise be the case sans agricultural subsidization by government entities. Purpose of Study The purpose of this study is to illustrate the reality of the hypothesis in order to establish and build a case to end agricultural subsidization by developed countries around the globe."

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