Farm Groups Sound Alarm Over Trump’s China Trade War Escalation

That makes no sense and I think you know it. When the market-wide yield of any crop decreases prices generally go up not down. That's basic economics.

 

Reduced crop sizes increases prices not lower them.

 

That's right. And many farmers have had a tough time getting their crops in the ground this year, so in normal times, prices would be through the roof. Instead we're in the midst of a trade war and farmers are being forced to either accept government handouts or possibly be ruined. It's a slap in the face to the people who feed this nation.

 

LOL drop the subsidies

Lot's of manipulation in ag markets but yes prices will go up never said they wouldn't, hell they already have at different times this year. When actual harvest reports start showing up corn will go up, and most grains will follow.

 

We have some here failing while flailing futilely to defend Trump's tariffs.

 

It's easy to laugh and shrug it off but without this market facilitation program a lot of people would be losing farms that have been in their family for generations.

I'm a free market guy all the way but in this situation it's either bail out the farmers or hand our food supply over to mega corporations. It's not farmer John's fault that the market has been subverted with a tariff war.

 

Fake Don keeps paying more and more taxpayer money into his multi-billion dollar welfare program for American farmers he has screwed, but he can't keep pulling that stunt.

* Nor signed into law his promised "something terrific!" healthcare plan the "covers everybody!" at "less cost!", nor built a single mile of his "big, beautiful wall!" that he guaranteed Mexico would pay for, nor kept his vow to rebuild America's crumbling infrastructure, nor released his repeatedly promised tax returns. Only his bum kissers still believe that climate change is a Chinese hoax, though.​

 

So you oppose Trump's socialist welfare handouts for farmers that plant crops for export, but support his socialist welfare handouts for farmers that plant crops for domestic consumption?

 

Some Liberal is always calling president Trump an IMBECILE or pathetic or MORON; it's an indication of how much Liberals are pissed at him for doing well. If they weren't, I'd be worried.

 

Nah... until November 3rd, 2020 will do. After that, we'll stop osculating for a while but you will continue oscillating until 2024 elections

 

Domestic food production is critical to a country's security. The alternative is leaving the population at the mercy of foreign exporters, and global inflation. Domestic food suppliers receive subsidies when global suppliers flood the domestic market and create a glut, and prices / profits plunge. They benefit from tariffs on imported food supplies, and it's why I drew the distinction.

 

So you DO support Trump's socialist welfare handouts. Thanks for confirming.

 

I said that ... twice. Will the 3rd time be the charm? I support subsidizing US domestic food suppliers.

 

So, when do you draw the line? What group or industry will Trump be forced to subsidize when their business dries up because of a Trump trade war?

Steel, coal?

Funny how you “conservatives” start cheering for subsidies when they are the victims of Trump’s stupidity.

Trump is already headed for a trillion dollar deficit with no end in sight.

 

I'm a big fan of protectionism. If you read my 3 previous replies you'll see where I draw the line on subsidies. Domestic manufacturers who supply goods to domestic consumers must be protected. Either by banning or taxing foreign imports. Your deficit strawman doesn't fly because tariffs are being collected, and the taxes collected is greater than the offsetting subsidies. There's been no inflation either. Xi Ping bought up China's failing stocks to absorb corporate losses, and he's just been forced to go a step further and manipulate / devalue China's currency to make China's exports cheaper. WINNING!

 

So socialism / welfare is not inherently bad in your eyes. Good to know.

 

Oh my! I'm a socialist! I t was really obvious right from the begining that you were totally clueless and completely disinterested in the economic theory behind tariffs and subsidies. You contributed literally nothing to the thread.

 

That is an internal problem in China. My concern is with what China's behavior does to Americans.

 

History has long since discredited protectionism as a viable economic policy.

 

Thorny question. Like you I despise government subsidizing anything. What is going on here is an economic war with China who has been stealing from us over decades.

The tariffs are ammunition in that war but, in this case, the war has a crippling effect on the agricultural sector. In effect, the farmers and ranchers of America are bearing almost all of the cost of the war. The currency manipulation on the part of China has removed most of the effects of the trade war on consumers. But the farmers and ranchers are sellers, not consumers and they have lost a big customer because of government actions. Over time they will replace the business with sales to other customers but for now they need to survive.

Hence the temporary subsidies. When the trade war ends we want to see an intact agricultural sector. If the ag sector were failing on its own action, I would decry the subsidies. But the ag sector is innocent. They are being hurt by government action and government is helping them get through it. Subisidies are common all over the world. We can't sell rice to Japan because of subsidies, for instance. The Japanese want an intact ag sector just like we do.

I was against the subsides to the car manufacturers because they got themselves into trouble. They can blame whatever they like but the blame was really theirs. I support these subsidies because the government did it and should bandage the wound temporarily.

 

How would that explain the fact that every country engages in it? Free trade is an ideal but, unfortunately, it has never existed.

 

The smart ones to be sure. This trade war won't go well for China as long we keep the current administration.

 

Some farmers. I farm and I definitely am not terrified.

 

^^^ Of course you are not. Do you have contracts with China markets?

 

Protectionism hasn't been discredited and it isn't intended to be implemented permanently. It's used as "stimulus" and what it stimulates is responsible domestic industry investment in global markets, and fair trade policies between global competitors. The question isn't whether Trump's policy will work, it's a question of whether Xi Ping will continue to absorb China's losses. Xi Ping can probably survive until 2020. I think he intends to, because Trump's opponents will remove the tariffs and Ping can begin recouping losses once they do. BUT ... Xi Ping devaluation of currency can't be setting well with China's workers who'll start seeing significant inflation begin eating their paychecks.