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I'm arguing that if you assume that the subsidies are so insignificant that they don't affect the price, then you can't honestly argue that removing them will help the third world. You're contradicting yourself.
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ah, but you forget - subsidies alter the price of domestic goods until they are competitive with foreign goods sold in that country. they effect the price of the domestic goods so that they are sold at the same level or lower than imports, thus stealing revenue from them, since people are as likely to choose one over the other. getting rid of the subsidy will increase the domestic prices back up, and make them no longer competitive, and third world makers will be able to sell MORE at the same price as before, resulting in more revenue = helps third world farmers."Everything for the State, nothing against the State, nothing outside the State" - Benito Mussolini -
Originally posted by Lawrence of Arabia
ah, but you forget - subsidies alter the price of domestic goods until they are competitive with foreign goods sold in that country. they effect the price of the domestic goods so that they are sold at the same level or lower than imports, thus stealing revenue from them, since people are as likely to choose one over the other. getting rid of the subsidy will increase the domestic prices back up, and make them no longer competitive, and third world makers will be able to sell MORE at the same price as before, resulting in more revenue = helps third world farmers.
You're just a bigo' flip flopper.
I drank beer. I like beer. I still like beer. ... Do you like beer Senator?
- Justice Brett KavanaughComment
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oh, now i flip flopped? did i ever say that the third world stands to lose if subsidies in first world are removed?"Everything for the State, nothing against the State, nothing outside the State" - Benito MussoliniComment
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You're not talking about the presubsidy price are you?Originally posted by Lawrence of Arabia
oh, now i flip flopped? did i ever say that the third world stands to lose if subsidies in first world are removed?I drank beer. I like beer. I still like beer. ... Do you like beer Senator?
- Justice Brett KavanaughComment
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LoA,
Make yourself a world market graph. Remember, it's not just the US removing the subsidies. It's the world removing subsidies. For that you need a world market graph. A domestic graph would only apply to one nation removing subsidies.I drank beer. I like beer. I still like beer. ... Do you like beer Senator?
- Justice Brett KavanaughComment
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theres no need for a world market graph - AS has been kind enough to provide us with all the information we need on those two graphs which show both the domestic and foreign gains/loses. we can clearly see that when subsidies are removed by one country, there are gains for everyone else, and when the world removes all subsidies (the mali case) the farmers gain revenue. these are not just domestic graphs - they also show the gains made by foreign countries."Everything for the State, nothing against the State, nothing outside the State" - Benito MussoliniComment
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Just make one.Originally posted by Lawrence of Arabia
theres no need for a world market graphI drank beer. I like beer. I still like beer. ... Do you like beer Senator?
- Justice Brett KavanaughComment
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ok, and how am i supposed to draw it without demand + supply curves of various countries?"Everything for the State, nothing against the State, nothing outside the State" - Benito MussoliniComment
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You don't do that. You just draw the aggregate supply and the aggregate demand.Originally posted by Lawrence of Arabia
ok, and how am i supposed to draw it without demand + supply curves of various countries?
I would do it but I don't have photoshop. The best I have is paint, which sucks.I drank beer. I like beer. I still like beer. ... Do you like beer Senator?
- Justice Brett KavanaughComment
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ok i drew it, then what?"Everything for the State, nothing against the State, nothing outside the State" - Benito MussoliniComment
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You have to draw the effect of the subsidies now.Originally posted by Lawrence of Arabia
ok i drew it, then what?I drank beer. I like beer. I still like beer. ... Do you like beer Senator?
- Justice Brett KavanaughComment
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It should look like this. It's only a .bmp I did on Paint.Attached FilesI drank beer. I like beer. I still like beer. ... Do you like beer Senator?
- Justice Brett KavanaughComment
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yeah, but the graph is misleading because it assumes that every acre of land is subsidized."Everything for the State, nothing against the State, nothing outside the State" - Benito MussoliniComment
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and it doesnt show comparative advantages"Everything for the State, nothing against the State, nothing outside the State" - Benito MussoliniComment
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No it doesn't. When more land is used supply shifts to the right. It's just a simple supply and demand graph.yeah, but the graph is misleading because it assumes that every acre of land is subsidized.
You can consider comparative advantages, but you either have to say the supply changes or it doesn't change. Which is it?and it doesnt show comparative advantagesI drank beer. I like beer. I still like beer. ... Do you like beer Senator?
- Justice Brett KavanaughComment
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