Farm Subsidies Were Introduced in Thesis

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Opponents argue that government has no right to impose higher taxes due to something they seriously oppose and for which they cannot find a reasonable justification. "The "burden of the tax" falls most obviously on the people who pay the taxes. Those who put the money into the public coffers might not enjoy being required to put in even more to provide for whatever group or industry the state chooses. While some people might welcome the opportunity to contribute voluntarily a portion of their well-being for that of others, for most people a government subsidy program entails compulsion rather than contribution."

Opponents have also found that farmer subsidies are no longer being given to those who need them the most. It was originally planned that farm subsidies would support small sized farms. This was done with the intention of promoting agriculture in the country as more and more people would turn their spare land into farms in order to earn subsidies. But it is now seen that most of the subsidies are no longer being handed out to poor farmers with small farms. Instead they are increasingly being extended to owners of larger farms. "Contrary to perceptions that support goes only to small, low-income farmers, large, high-income farms are increasingly the beneficiaries of U.S. support programs.

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A recent U.S. Department of Agriculture report found that both the number and market dominance of large farms (those with sales of at least $500,000) grew significantly between 1989 and 2003. At the same time, the number of small farms (those with sales between $10,000 and $250,000) fell from 40% of all farms in 1989 to 26% in 2003."

Farm subsidies were hotly debated during Bush administration and they had come very close to an end. But while the threat was there, it never materialized into something concrete and hence we continue to have this program in place in the U.S. The impasse over farm subsidies is not likely to be resolved unless both sides can reach an amicable decision.

In order to produce a more mature agricultural infrastructure, government needs to focus on other aspects of strengthening agricultural sector because clearly farm subsidies are not the only way. This is what proponents can urge the government to do while opponents can see if reduction in farm subsidies will actually help the economy and the agricultural sector in particular......

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