Great Poverty in the world by Subsidies

Last year I was reading a very interesting article made by CEPAL about how the agriculture subsides made the Poor people more POOR, and how all the world would be better if they tear down all of them.

In the USA 25% of all Farms receive nearly 89% of subsidies money (Ted Turner and Rockefeller family), the subsidies has the effect to make the prices of products from other countries reduce and the farmers win less money, most of EU (Europe Union) budget goes to subsidies.

OCDE states that in the period of 1999-2001 all the subsidies in the 1^st World were nearly $300,000 Millions of Dollars, and were spent in this way:

“European Union, 112.700 Millions of dollars; USA, 95.500 millions; Japan, 64.800 millions, other OCDE countries, 56.600 millions. The main beneficiaries’ products were MEAT (47.300 millions of dollars), Milk (42.100 millions), rice (26.400 millions), wheat (17.400 millions) and corn (12.900 millions).”

USA in 2005 spent in subsidies $23,000 millions of dollars directed to only 1% of the population, but 72% of the money is taken by only 10% of the “farmers”. Another example of this crazy spent of money is Japan they spent $4329 dollars per cow and EU $975.

Just for subsidies countries of the 3^rd world lost $40,000 millions of dollars every year, Other thing that makes things worst are the Tolls when the products enter a 1^st world country.

If subsidies were eradicated in all world, there would be earnings of $800,000 millions of dollars and the Industrialized Countries would take 40% of that cake, there would be a reductions of poor people aprox of 410 millions peoples.

ORIGINAL ARTICLE OF CEPAL IN SPANISH (PDF)