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Farm bill undermines open trade--and consumer welfare. (From Consumer Alert).

Publication: Consumers' Research Magazine
Publication Date: 01-JUN-02
Format: Online - approximately 958 words
Delivery: Immediate Online Access
Full Article Title: Farm bill undermines open trade--and consumer welfare. (From Consumer Alert).(Brief Article)

Article Excerpt
The United States often considers itself the bastion of free trade. Yet the new farm bill sends a completely different signal to our trading partners. Instead of providing a positive international example by reducing subsidies and other market distortions, Congress has dramatically expanded agricultural supports by passing the Farm Security and Rural Investment Act of 2002, signed by the President on May 13.

Besides rolling back many of the reforms introduced under the 1996 Freedom to Farm Act, the new bill also creates massive new support programs and raises the price of existing ones. The new United States farm bill not only will be bad for taxpayers and consumers, but also will seriously undermine the United States' position in future trade negotiations. Despite the United States' commitment to reduce agricultural subsidies during the last multilateral trade round, the new farm bill will...

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