economic systems??

Frederick R. Magdoff (fmagdoff@zoo.uvm.edu)
Fri, 20 Dec 1996 13:35:59 -0500 (EST)

=09There has been some discussion of capitalism and some questions=20
raised as to the connection to sustainable agriculture. I would argue=20
that such issues are very important. =09The question of=20
capitalism is an important one for those concerned with sustainable=20
agriculture. First, for those of us who feel that all people in this=20
country as well as world should be able to have access to nutritious food=
=20
in adequate quantities - the unfettered workings of capitalism seems to=20
insure that there are "haves" and "have nots=D3" Second, the natural=20
workings of the market and powerful banks, processors, transportation=20
organizations, and input suppliers lead us down a certain road of fewer=20
and larger farms. Farmers are on a treadmill with perpetually low prices=20
for commodities (except for short periods of undersupply). This is one of=
=20
the major obstacles to a sustainable food system! As important as niche=20
markets, value added efforts, and CSAs are locally - they are not the=20
answer for the mass of farmers. If we want to maintain (to say nothing=20
of increasing) the number of farms, new controls or interventions like=20
supply management may be necessary.

=09I know that THE MARKET is currently "in" and intervention and=20
subsidies are "out". However, the reality is that THE MARKET is a=20
powerful force for constantly depressing prices of mass produced items=20
and for decreasing the number of producers (i.e., weeding out the=20
"unfit"). It is also a powerful force for allocating resources in such a=20
way as to create and maintain a wide gap between the wealthy and poor.=20

=09A myth has developed that government programs don't work. And=20
certainly there are many examples of programs that are failures. But,=20
numerous government programs have carried out their intended purposes=20
quite well. And there are plenty of instances of private (for-profit=20
as well as non-profit organizations) messing up programs or carrying them=
=20
out very inefficiently.=20

=09There is certainly much that can be done to lessen the most=20
detrimental effects of capitalism (social security, unemployment=20
insurance, medicare, various anti-poverty programs, etc.). However, there=
=20
have been economic systems before capitalism and I am confident that=20
there will be other systems after capitalism, designed specifically to=20
meet peoples needs and aspirations while enhancing our natural=20
resources and truly providing equal opportunity.=20

=09Best wishes to all SANET folks for the new year - and keep on=20
discussing issues techncical and philosophical.

FRED