In the US, Iowa is the largest producer of corn [1] (producing nearly 40% more than the next, Illinois,) and thus the greatest beneficiary of those corn subsidies. Could we reduce those corn subsidies? No, it's politically nonviable, in part because Iowa has enshrined in its laws that it must have the first primaries in the US [2][3]. No candidate that has ever said anything against corn subsidies has won a primary.
[1] https://www.cropprophet.com/what-state-produces-the-most-cor...
[2] https://constitutioncenter.org/blog/why-iowa-and-new-hampshi...
[3] https://slate.com/news-and-politics/2004/01/why-the-iowa-cau...
So is oil. So farming corn is actually subsidized at-least twice!
I'm confused, how can a single state unilaterally require that its primary is the earliest in the nation? What's to prevent another state from passing a law that its primary must be one day before Iowa's?
It would be super fun if another state passed a similar law.
[edit] apparently corecursion isn't the correct term for when two functions call each other recursively? I thought there was a term for it
It can’t, it requires cooperation of the other states.
Corn isn't really subsidized, and iowa corn farmers are not the benefactors of the agricultural bills. Cattle producers and chemical corporations are subsidized, and the way they're subsidized is by a myriad set of policies which encourage grain prices to stay very low. This makes cattle feed cheap and corn and soy inputs to chemical plants cheap.
If the price of corn doubled, farmers could afford to pay their mortgage and taxes without trying to extract every bit of possible yield. But then the price of beef would go up and the profits of 3M and Dupont would go down, and that's a far more powerful force than farmers in Iowa.
Is that not a direct subsidy? Are they wrong? (genuinely curious - your post is interesting enough that I felt I had to do some research to clarify my own thinking)
https://www.cato.org/commentary/examining-americas-farm-subs...
https://farm.ewg.org/progdetail.php?fips=00000&progcode=corn
One thing that it does get right, is the section "they induce overproduction, inflate land prices, and harm the environment" which is absolutely true. My point in my previous post was that this systemic overproduction is to the benefit of corn buyers (cattle production, food processors, etc) and the detriment of corn producers.
In essence, the aggregate result of the myriad laws and programs impacting agricultural production is that grain producing farmers are left sitting helpless on a knife's edge. The only way to avoid bankruptcy is to pump your land full of petrochemicals to maximize yield. ARC is based on revenue, not profitability- it's encouraging high-cost, high-yield farming practices to guarantee plentiful grain supply to buyers. PLC is even more brazen- after completely distorting the true market price for animal feed by forcing grain growers to overproduce, we let them buy corn for less than it costs to grow and then force the farmers to rely on an insurance payment that's just enough to cover their debt & tax payments.
Basically, the grain producers are pawns in the ag subsidy game and the grain buyers are the kings.