Government-Provided Subsidies to U.S. Farmers

Government-Provided Subsidies to US Farmers

To be actively engaged in farming requires the significant contributions of land , capital , and labor or personal management . Hence farmer is a steward of farmland or a person who operates /cultivates the land . Family in farming practices over the generations is the source of their income throughout their lives . Farm subsidies may be in form of grants , loans cost-sharing , on-kind benefits such as commodities , and other professional services like research and technical assistance . American government is now on battle of legislation in extending another five years

of subsidies for farmers . Indeed , American taxpayers and consumers will be forced to pay additional tax rate and higher prices in consumer goods and products . The present administration admittedly paralyzed agricultural prices . Thus the effect is prohibiting crop rotations and creates an effort for subsidies for U .S . farmers The government still continues providing subsidies for the productions of agricultural products while restricting them to imports

The budget summary of USDA describes the fiscal year 2000 budget . USDA outlays the 13 percent of fund declination from 63 .1 billion in 1993 to an estimated of 55 .2 billion in 2000 . Fund outlays the conservation of three agricultural aspects . First , is to protect the productive farmland , and preserve open space- assessment for a wide development in conservation of permanent farmlands . One of the main objectives of this assessment is to protect and provide great places for smart growth , and open space preventions . Because forest is the source of life it is important to address its protections and preservations for the future generations . Secondly , protect the American agriculture from imported pests and diseases and enhance the marketability of American agricultural products abroad . Pest and disease developed better resistance in foreign places causing great damage and loss to the agricultural products . They can adopt different environment conditions and worst , imported pest and diseases are easily to spread and becomes epidemic . Lastly , to expand economic and trade opportunities for agricultural producers through marketing services- identify alternative marketing strategies for small farmers

In USDA 2000 budget summary one of the government missions is to support the expanded trade and economic opportunities for agricultural producers . Providing subsidies for agrarian reform through the export promotions , farm credits , and risks management and other related programs . Export promotion , food assistances , and foreign market development programs were the instrumental activities to achieve the primary goal in expansion programs of global market opportunities for U .S . agricultural farmers /producers . Thus high tariff for agricultural encourage inefficient producers , to replace domestic producers from global market resulting into inefficient free flow of goods and distort trades . For over three-quarters of century , American 's farm policies still remained unchanged . The U .S . government continues to subsidies primary agricultural products while restricting products imports . Their main reason of restriction importing products is to maintain the domestic high prices in consumer goods . Moreover , the congress is on writing new farm bill to replace the protectionist and subsidies . For the next decade , a farm bill with...