Wednesday, October 5, 2016

Government creating fake demand is not good for the economy and not fair to citizens.

This link talks about how the USDA is paying farmers to not become efficient.  Of course, since its the government they use different words like "standing strong against low commodity prices".  What a load of crap!   How can you stand strong against something by creating more of it?

The farmers are not suffering from low yields due to natural disasters.  If that were the case then I could almost see the government helping out.  After all, bad weather is nobody's fault.  But that' not the problem that government is trying to fix.  Instead, the farmers are too productive with bumper crops left and right.  All of this surplus food means prices stay artificially low.  In a real world, some of the farmers would get out of farming if they couldn't make a living at it without government assistance.  But in the world of fake money, government just keeps the imbalance happening.

I don't have anything against farmers but the problem is where did the money come from for this program and so many others like it?  It truth it came from debt.  Money conjured from thin air.  Debt eventually must be paid so it is essentially a deferred tax.

Why doe the government think it is wise to rack up debt in order for so many unnecessary farmers to stay in business?  Why can't some of them go do some other productive work and then allow food prices to rise to the point where the remaining producers can still earn a reasonable living?  The free market, if left to its own devices, would handle all of these imbalances that big government is creating.  The article talks about 7 billion disappearing down this bureaucratic rat hole of a program this year.  How many other government programs are there like this?  Many hundreds I would guess.  Government thinks it is controlling the economy with these games but all it is doing is picking winners and losers and then taking a big cut of the pie for administering these crap programs.  One day it will simply wake up and find out that nobody wants its fake money system anymore and on that day there will be millions of useless bureaucrats with no saleable skills trying to make a go of it.

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