Armin Taghipour-cause and effect-ordibehesht 15th, 1392







Armin Taghipour

Ordibehesht 15th, 1392

W.A 7-Essay writing-cause and effect

Edited by Ehsan Mohebi

Farm subsidies

            Farm subsidies are monies given to farmers to support their operations. Subsidies may be provided directly, in the form of cash payments, or they may take the form of indirect support. Government might provide low-cost crop insurance, for example, keep prices at an artificial level, or help farmers in other ways. Subsidies are a feature of many government budgets, and a topic of hot debate in some regions of the world. Subsidies can help farmers by rewarding them for growing a crop, compensating for depressed prices, and protecting the domestic farm industry by making farming profitable.

<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto; text-align:justify;line-height:normal"><span style="font-size:12.0pt; font-family:"Times New Roman","serif";mso-fareast-font-family:"Times New Roman"">           For the subsidy positive effect, a farmer is rewarded for growing a crop, with the money usually being based on the amount of crop being grown or the amount of the harvest. With subsidies negative effect, farmers are encouraged not to produce a particular crop or product. For example, if milk production is extremely high, farmers might be paid subsidies not to raise dairy cows, to reduce the amount of dairy on the open market.

<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto; text-align:justify;line-height:normal"><span style="font-size:12.0pt; font-family:"Times New Roman","serif";mso-fareast-font-family:"Times New Roman"">            Subsidy positive effect may be used to compensate for depressed prices, and they can be especially important for merchandise. Farmers may stop growing particular merchandise if they cannot get fair prices for them, and farm subsidies can be used to make farming worthwhile, ensuring that the supply of merchandise remains stable subsidies negative effect may be used to drive up prices by reducing the supply, or to limit the amount of a crop deemed to be harmful. For example, farmers in Afghanistan are paid not to grow opium poppies, and people may be paid to slaughter cows to bring the price of milk up if it has fallen.

<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto; text-align:justify;line-height:normal"><span style="font-size:12.0pt; font-family:"Times New Roman","serif";mso-fareast-font-family:"Times New Roman"">            There are a number of supportive arguments for subsidies. Many people believe that they protect the domestic farm industry by making farming profitable, especially in developed countries, where farmland may be more valuable as commercial real estate. Protecting domestic agriculture also contributes to national security by ensuring that there is a secure food supply.

<p class="MsoNormal" style="mso-margin-top-alt:auto;mso-margin-bottom-alt:auto; text-align:justify;line-height:normal"><span style="font-size:12.0pt; font-family:"Times New Roman","serif";mso-fareast-font-family:"Times New Roman"">          So we can make our lives better with natural foods and for the cause of that the government must give the best subsidies to the farmers to buy the best devices and machines to do their best, and grow the best merchandise for our world. If there's an incentive to grow more of merchandise or another because of subsidies, farmers will produce more, and new uses for that merchandise need to be developed, which can in turn result in nutritional imbalances as people eat more of something than they should. Subsidies are also viewed as contrary to the desire for fair competition, especially when they cause a rift in trade relations.