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Federal Subsidies Turn Farms Into Big Business
Washington Post ^ | 20 December 2006 | By Gilbert M. Gaul, Sarah Cohen and Dan Morgan

Posted on 12/21/2006 6:18:17 AM PST by shrinkermd

The cornerstone of the multibillion-dollar system of federal farm subsidies is an iconic image of the struggling family farmer: small, powerless against Mother Nature, tied to the land by blood.

Without generous government help, farm-state politicians say, thousands of these hardworking families would fail, threatening the nation's abundant food supply.

"In today's fast-paced, interconnected world, there are few industries where sons and daughters can work side-by-side with moms and dads, grandmas and grandpas," Rep. Jerry Moran (R-Kan.) said last year. "But we still find that today in agriculture. . . . It is a celebration of what too many in our country have forgotten, an endangered way of life that we must work each and every day to preserve."

This imagery secures billions annually in what one grower called "empathy payments" for farmers. But it is misleading...

...Today, most of the nation's food is produced by modern family farms that are large operations using state-of-the-art computers, marketing consultants and technologies that cut labor, time and costs. The owners are frequently college graduates who are as comfortable with a spreadsheet as with a tractor. They cover more acres and produce more crops with fewer workers than ever before.

The very policies touted by Congress as a way to save small family farms are instead helping to accelerate their demise, economists, analysts and farmers say. That's because owners of large farms receive the largest share of government subsidies. They often use the money to acquire more land, pushing aside small and medium-size farms as well as young farmers starting out.

(Excerpt) Read more at washingtonpost.com ...


TOPICS: Business/Economy; Editorial; Politics/Elections
KEYWORDS: farmsubsidies; littleguy; politics
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"...Large family farms, defined as those with revenue of more than $250,000, account for nearly 60 percent of all agricultural production but just 7 percent of all farms. They receive more than 54 percent of government subsidies. And their share of federal payments is growing -- more than doubling over the past decade for the biggest farms.
1 posted on 12/21/2006 6:18:19 AM PST by shrinkermd
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To: shrinkermd

I'd sure like to know where the constitutional authority that allows for these "government subsidies" is hidden.


2 posted on 12/21/2006 6:21:26 AM PST by AZRepublican ("The degree in which a measure is necessary can never be a test of the legal right to adopt it.")
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To: shrinkermd
I saw a fascinating article, I don't remember where, that observed that our farm subsidy policies (ostensibly created to "save" the family farm), are actually driving smaller farms to sell-out to the larger ones . . . because payments are based on acreage, the larger ones benefit more (and are thus granted an advantage) over their smaller counterparts.

Our government at work.

3 posted on 12/21/2006 6:22:57 AM PST by 1rudeboy
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Comment #4 Removed by Moderator

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To: 1rudeboy

How true.... I grew up on a small farm, my father would never accept money to not grow crops. He thought that was just another form of welfare and he worked to hard to accept welfare.....and he was a life long Democrat !!!!


6 posted on 12/21/2006 6:25:52 AM PST by Kimmers
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To: shrinkermd
The only way to survive as a farmer is to go big and work a full time job. I had to leave the farm, because there was no way to get enough capital to do it full time. My cousin and uncle bought most of my father's land, and have been doing ok.

What is strange to me, is that compared to most European countries we have few subsidies, yet more mega farms.
7 posted on 12/21/2006 6:26:56 AM PST by redgolum ("God is dead" -- Nietzsche. "Nietzsche is dead" -- God.)
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To: AZRepublican
I'd sure like to know where the constitutional authority that allows for these "government subsidies" is hidden.

It's right there in the New Deal Commerce Clause, along with the authority to regulate drugs, firearms, and whether what's living in a mudpuddle in your back yard has more right to your property than you do.

To quote Clarence Thomas, "every blade of grass".

8 posted on 12/21/2006 6:27:12 AM PST by tacticalogic ("Oh bother!" said Pooh, as he chambered his last round.)
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To: TonyRo76
Amen! And get the government out of health care and we might get back to having the best medical system in the world.

Carolyn

9 posted on 12/21/2006 6:29:15 AM PST by CDHart ("It's too late to work within the system and too early to shoot the b@#$%^&s."--Claire Wolfe)
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To: Kimmers

I watched the 9 feet of topsoil in Iowa blow away under the direction of federal government who9 paid for corn and soybeans noone needed. Just in the nick of time, when farmers were disking up subsoil, no till practices spread to reverse the disaterous trend. When will people catch on that the government is not full of experts and stop voting for them to take over everything?


10 posted on 12/21/2006 6:32:35 AM PST by ClaireSolt (Have you have gotten mixed up in a mish-masher?)
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To: shrinkermd

I don't have time to look right now, but somewhere on the web is an interesting site which has a database of farm subsidy recipients.

A quick search in my area identified many individuals that no one in their right mind would consider "farmers" - people who simply owned acreage but weren't growing anything.

I have a lot of respect and sympathy for people who devote their lives to farming. Its a tough, often thankless, job with high risk and limited reward. Its too bad our government has to make a difficult job even moreso, while simulaneously fleecing the taxpayers and transferring their wealth.


11 posted on 12/21/2006 6:32:50 AM PST by CertainInalienableRights
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To: CertainInalienableRights

http://www.ewg.org/farm/index.php?key=nosign


12 posted on 12/21/2006 6:42:22 AM PST by digger48
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To: Kimmers
How true.... I grew up on a small farm, my father would never accept money to not grow crops. He thought that was just another form of welfare and he worked to hard to accept welfare.....and he was a life long Democrat !!!!

It takes a truly moral man to do that. It is just so easy to make the excuse that everyone else does it, so I will too. Kudos to your dad.

14 posted on 12/21/2006 6:56:50 AM PST by Live and let live conservative
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To: Live and let live conservative

Ok people, tell me how the farmer is to survive?? In 1976 I was buying corn to feed hogs at $2.26 a bushel. Last September during harvest corn was $1.70. That is 32 years later and you think the farmer can survive?? The USDA is setting corn and livestock prices to keep your food prices low. Or they can pay a cost of living increase to social security,welfare and disabilty reciepiants which would be 20 times more than what they pay the farmers...In 1976 a new tractor was $10,000 and today the same tractor is $120,000. You have to go over the field 10 times from planting to harvest with 10 different machines. $3.00 a gallon for fuel plus the machinery, to get 150 bushels of corn at 1.70...you do the math. Eat or Starve??


15 posted on 12/21/2006 7:12:38 AM PST by mmyers
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To: mmyers

'The USDA is setting corn and livestock prices to keep your food prices low...'

What would happen if they were no longer to set artificial prices? Would this make it better for the small farmer? I am curious since I strongly believe small farmers are good for our country.

Small farmers and viable rural communities.

I live in west Texas and a rancher friend says that all the medium sized ranches that used to help one another at brnading time etc. are all gone. She remains alone and can't get help to save her neck.


16 posted on 12/21/2006 7:18:53 AM PST by squarebarb
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To: squarebarb

Supply and demand setting the market would end up paying out tons more to social security and others. Around 50% of Farmers in the farm belt get subsidies.


17 posted on 12/21/2006 7:32:40 AM PST by mmyers
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To: mmyers

Now that we have 95 ethanal plants going up corn prices are on the riseeeee. Howver in South Dakota the USDA pays farmers to not grow on 8 million acres, well with corn going up, the usda has told all the farmers in SD to plant corn on 8 million acres next year. So if you think they don't have a hand in setting prices, you better do the research.


18 posted on 12/21/2006 7:35:20 AM PST by mmyers
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To: squarebarb

What would happen if they were no longer to set artificial prices? Would this make it better for the small farmer? I am curious since I strongly believe small farmers are good for our country.


What happened to all the local auto dealers? The natural trend is to consolidate and grow larger. The good news is that there is a mechanism to reverse this........it is called revolution.


19 posted on 12/21/2006 7:37:21 AM PST by PeterPrinciple (Seeking the Truth here Folks.)
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To: shrinkermd

20 posted on 12/21/2006 7:43:05 AM PST by Muleteam1
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