Global Food Supply Fears Grow

[Turborama]

Run time: 02:16 https://www.youtube.com/watch?v=IfZT5TUD7Nw   Posted on YouTube: September 03, 2010 By YouTube Member: ReutersVideo Views on YouTube: 81   Posted on DU: September 03, 2010 By DU Member: Turborama Views on DU: 582

 
The concern over global food supply is increasing amid food riots in Mozambique and Russia extending their wheat export ban.


More on this in LBN...

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=102x4527242">4 dead in Mozambique riots over rising prices (Mozambique riots spotlight world food price spike)

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=102x4527444">Global food shortage fears as Russia extends wheat ban

[joeybee12]

1. While this news is "mildly" interesting, we must all remember that Lindsay Lohan now says

she's a changed person, and THAT's really interesting.


:sarcasm:

[bherrera]

2. This is good for farmers

The positive side will be the increased profitability for the farming community in the third world, which is poor. They will now make more profits, and this will reduce the flow of people to the slums in the large cities, where they live in very poor conditions.

[DJ13]

3. This highlights why we need to end rampant speculation in commodities markets

Just like the phony oil "shortage" that was touted to pump prices to $146 per bbl, and triggered the financial collapse, the governments (US and the UK, who control the only two commodity exchanges that matter) need to push the investment firms out of the speculation business.

[bherrera]

5. Speculators add liquidity to the markets

I disagree with your comments. The crisis wasn't caused by high oil prices in 2008, it was caused by careless lending, which in turn drove real estate prices beyond a sustainable level, creating a bubble which collapsed. What created the crisis was therefore faulty regulation of bank lending practices.

Commodity markets serve the producers, which are able to insure the prices of their products. There is some speculation, but in the end this is good, as long as each individual speculator is a minor player. Evidently the supply-demand theory is faulty because there is a tendency for the individuals to act in the market with incomplete information, but there is no reasonable alternative I can see, because the free market emerges, either regulated, or as a black market. And a black market is a lot worse than a regulated open market.

There are also positive aspects to rises in food prices, the farmer benefits, and it allows for food production centers to emerge in areas which were marginal prior to the rise in prices. Since there are too many people who live crowded in slums and live non-productive lives, it is much saner to allow food prices to rise, and improve the farmers' profits. People can then spend their money on food, rather than on other things such as music videos, alcohol, tobacco, and other wasteful items.

[DJ13]

7. Its no coincedence that housing collapsed when gas went above $4

I'll agree it showed a severe weakness already in existence that was just exacerbated by the record energy costs, but it was still a trigger event.

Now about liquidity, the NYMEX existed for decades without the rampant speculators, and yet liquidity wasnt an issue.

I find that the Wall Street speculators are the only ones who use liquidity as an excuse.

[perdita9]

4. The Solution is Staring us Right in the Face

Lower the birth rate. Over population is driving food shortages, water shortages and changes to our planet (global warming, habitat loss, desertfication, etc.)

But good luck brining up this topic in 'polite company'. The religious nuts think it's their duty to god to keep procreating. The fact that 36 million human beings starved to death last year doesn't even phase them.

[bherrera]

6. The birth rate is lowering itself naturally

Evidently proper birth control is required. However, this happens as women become educated. Thus the proper approach is to develop society to improve women's education. A social security framework which makes older people independent of their children is also a big help.

[aquart]

9. Yeah, that happens a lot in Pakistan, Afghanistan, Ethiopia.

GUESS WHAT? In a worldwide financial collapse, women aren't going to school. They can't afford the tuition.

Your airy fairy information is a nice dream but exceptionally limited in application. And damn near useless for the coming centuries.

[aquart]

8. More will starve this year. And next.

When a nation chooses famine, disease, and war as its method of population control, who are we to interfere?

Of all the nations in the world, only totalitarian China made the decision to break its own heart rather than condemn its grandchildren. Then it became capitalist and completely forgot about saving those children.