Farm tade redux

Not long ago I blogged about the insane direct subsidies and other trade distorting subsidies parceled out on US farmers. Shortly thereafter, the Doha round of WTO negotiations held in Cancun, Mexico, crumbled, leaving virtually everyone involved, rich and poor, looking like greedy jackals (The Economist's cover captures the spirit exactly).

Still, even I will concede that the issue is complicated, and cases can be made for farm subsidies. But surely this is the worst example of a farm price support system ever:

It cost the U.S. Department of Agriculture $661 million and is fit for nothing but the trash heap. And that is where 121,000 tons of fragrant but poor quality tobacco is heading, after sitting in warehouses for four years.

The government bought the stuff to "save" farmers after a bad crop year, and now it just has to trash it. Why not just send them all checks and save the destruction costs?
- posted by Anonymous @ 11:34 AM