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Currency/Subsidies Intertwined

 
There are a couple of subjects which overlap where we end up fighting among ourselves and in many instances all too many people are trying to walk both sides of the fence at the same time. These subjects are subsidies (especially farm) and moving our currency back to a product based value and elimination of the Federal Reserve Bank. Here I will point out the snafu we are in. I will use farm subsidies as an example not as a finger pointing issue or lay blame on just farmers. That is the furthest thing from my mind. It just happens to be the easiest for people to relate with.
There are problems within the farm subsidy programs itself which must be corrected but those are not the issues I want to point out. Those will be in another blog. This one is on the general principles of the programs.
Subsidies are primarily to assist in locking in prices so that those in our agricultural system can retain decent returns and stay operating. In some cases these subsidies shore up prices in bad times and at others encourages none production in order for supply to be shorter than the demand which also strengthens prices. Now what causes these disparities which lead to this situation. Some, but not all is over regulation by the Feds/States/EPA. Not that all regulations are bad, but many are just down right stupid at best. These drive the cost of production up and causes hardships on our producers. Over taxing is another issue, but the biggest one we have to contend with is a faulty currency system which causes devaluation of the dollar and inflation. Inflation is not a natural state of an economic system. It is totally  man made primarily caused by the free printing of more and more currency without having something to base the value on. Continued printing of "Monopoly Money" so to speak. This inflation rate forces unstable markets, runs production cost up and looses money for our producers. Thus forcing us to subsidize in order to keep them in operation. There is no way anyone using simple math could support doing away with farm subsidies without abolishment of the Federal Reserve and putting us back on a hard currency. Nor support doing away with the Federal Reserve and insist on keeping subsidies going. Getting our currency back under control is the first step to ending this spiral nightmare of subsidies and extra spending by our government under control. Doing so would only take a few years and the need for subsidies would fade into the woodwork. Then our farmers/ranchers would be able to keep stable markets, prices, and make a living without draining government resources and naturally lowering our spending. There is nothing hard or complicated to it, we just need leaders with the backbone to make the steps and stop playing games at the publics expense in order to line the pocketbooks of a few.
Short of this happening there is only one other step which could be taken at the state level to combat the idiots on the federal level. This would be for the state to print its own resource based currency. Then force markets/buyers outside the state to buy our products based on the value of our currency instead of the value of the Federal dollar. This move though is a whole different subject with pros and cons which would have to be gone into separately.

52 Comments to Currency/Subsidies Intertwined:

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