Warren Offers Plan to Overhaul Government Farm Subsidies System

[left-of-center2012]

Democratic presidential candidate Elizabeth Warren proposed a complete overhaul of the government-subsidies system for U.S farmers, replacing it with what she called a supply management system.

The plan announced Wednesday comes as the 2020 Democratic field descends on Iowa for the annual state fair in the first presidential-contest state.

Warren proposed replacing the current $10 billion government subsidies system with a new approach, under which the government would offer to buy products in the form of a loan until farmers are able to secure better prices from private purchasers. The government would store the products in reserves, and would release the supply in and out of the market to stabilize consumer prices and farmers’ incomes.

“By making this shift, we can raise farm incomes and reduce taxpayer expenditures,” Warren wrote in a Medium blog post. “We can break the stranglehold that giant agribusinesses have over our farm economy, and expand economic opportunities for small-and medium-sized farmers.” To address overproduction, farmers would have the option of bidding land into conservation programs and out of production. The USDA would issue payouts based on the environmental benefit the land could provide.

https://www.bloomberg.com/news/articles/2019-08-07/warren-offers-plan-to-overhaul-government-farm-subsidies-system?srnd=politics-vp

[Demsrule86]

1. Exchange subsidies for loans? I don't think that will go over well.