The administration is preparing to distribute $3 billion in trade aid to farmers. In his piece, Cato’s Tad DeHaven argues that the subsidy model obscures the damaging trade policies, erecting a system of dependence and favoritism in the process.


DeHaven points out that American agricultural interests have been severely harmed by the higher costs, uncertainty, and foreign retaliation brought on by U.S. trade wars. Farmers would be better off with open markets and healthy competition, not an endless cycle of tariffs, subsidies, and regulatory handouts.

These measures reflect a troubling mix of privilege and protectionism, one that ultimately drives up costs for already-struggling consumers and businesses. Reviving the broken subsidy system during the shutdown will only deepen the damage done to the U.S. food system.

You can read more from DeHaven on this topic here.

To reach DeHaven, please feel free to contact Cato PR at pr@​cato.​org.