Quote Originally Posted by Typical guy View Post
Most US subsidies aren't aimed at destroying competition. Farm subsidies for instance are in place to make food cheaper for Americans and not in place to hurt foreign competitors. Most US policy like that is actually aimed inward.

For some story of the farm subsidy for instance, there was none prior to the Great Depression. During the depression Roosevelt subsidized farmers not to farm so that food prices would remain high enough to keep small farmers in business. In the 70's that was abandoned for various political reasons and Nixon put into place the current system where farmers are guaranteed a certain price for food no matter what it sells for or even if the crops all die. The result of this policy has been that farmers grow as much food as possible which then drives down food costs for consumers to a much greater dollar amount than the total spent on the farm subsidy.

Extra food is exported which hurts foreigns competitors but food exports was not the goal of the policy, cheap food for Americans is.
Interesting and good point. I didn't know about that. I have heard of subsidies with cars as Japan did in the late 80s.