Sunday, February 13, 2005
Welfare queens down on the
farm
By JOHN STOSSEL The ABC News journalist and host is a syndicated
columnist.
Politicians often think nothing happens unless they do it.
Some say we won't have an ample food supply unless we protect
farms with subsidies. Congress passes farm subsidies, and
presidents sign them.
The politicians don't talk much about people like the
hundreds of federally subsidized farmers who live in New York
City. They talk about protecting "family farms." Democratic
vice-presidential candidate John Edwards spoke of "fighting
for family farmers." Actually, big agribusinesses receive most
federal farm subsidies, but some of the money does reach real,
live family farmers, such as Fred and Larry Starrh.
The Starrhs grow mostly cotton on their 12,000 acres in the
San Joaquin Valley. It's hard to think of them as needy with
all that land, but without subsidies, they say, they couldn't
make a profit.
Most businesses that can't make a profit go out of
business. Woolworth closed. So did TWA. So do 20,000
restaurants every year. It's that freedom to fail that has
helped make America as prosperous as it is, because it frees
people to do more productive things.
But not on subsidized farms. When the Starrhs can't make a
profit, you give them a handout, although Fred Starrh refuses
to call it a handout. "I look at it," he says, "as a way to
maintain a viable agriculture in this country."
That's the myth. Subsidies don't maintain viable
agriculture. Viable agriculture maintains itself, because
people are willing to buy its products at more than the costs
of growing them. In fact, most crops are not subsidized. Not
lettuce, peas, potatoes, plums, peaches, broccoli or green
beans. There's no shortage of any of these. Yet the Starrhs
and others say farming can't survive without subsidies.
"If I can't grow my 6,000 acres of cotton because the
subsidy's gone," said Larry Starrh, "where am I going to go
with that acreage? Do I just idle it?"
Subsidies are like a heroin fix. They feel good, but they
lead to more subsidies.
The first subsidy makes cotton more expensive. That causes
a problem for manufacturers, so we give them a subsidy, too.
That subsidy hurts poor farmers worldwide, so we send them
more money in foreign aid. But that's not enough for our
cotton farmers. We give them another subsidy for the water
they use and another subsidy to advertise their cotton
overseas. We give away billions in handouts, without which,
say the Starrhs, American cotton - which Americans value -
would be replaced by foreign cotton.
The foreign cotton - Fred Starrh mentioned China, India and
Pakistan as likely sources - sounds like a good deal to me.
The free market puts resources to work where they're most
productive. If Americans bought cheap cotton overseas, we'd
have more money to spend on other things.
If Fred and Larry Starrh got out of the cotton business,
they might become self-supporting in some other line of work,
and their land could be used, by them or by someone else, for
some more profitable purpose. If Third World farmers became
the world's leading growers of cotton, we and they would
benefit.
But Fred and Larry Starrh maintain that cotton farmers
deserve subsidies and that subsidized farmers are not "welfare
queens," which is what I called them. "I totally disagree with
you," said Fred Starrh. "And the legislature is with us at
this point, so we're winning, and you're losing." They are
winning in the political arena, which shows American politics
has degenerated into nothing more than a competition for the
privilege of putting public force to work for your private
interests and against everyone else's.
The Starrhs find the title of welfare queen offensive.
"Change it to king. Welfare kings. Because 'queens' is bad in
California," says Larry Starrh, with a laugh. "Call me Sponge
Bob, please."
A "sponge" he is, to the tune of nearly $3.5 million of
your money.
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