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The economic explanation of “low grain prices hurt farmers”

The recent hot discussion in my country about "cheap grain hurting farmers" is due to the fact that inflation has caused farmers' planting costs to rise significantly, while the price of agricultural products in the terminal market has increased due to logistics and circulation costs (this is another recent hot topic (you can better understand these phenomena by paying attention to them together), which has caused profits to be squeezed out by middlemen, so the prices of many crops in the hands of farmers have not increased much and even some have fallen. This is "low price of grain hurts farmers" , "The price of grain hurts farmers" is a generalization of a phenomenon in agriculture, not necessarily just grains.

The above situation has made our society vigilant, and knowledgeable people have raised the issue of "low prices hurting farmers", hoping that the country can control this situation. As for the reduction in winter wheat production, the price will definitely rise in the futures market, but whether farmers can share the benefits from the price increase and the extent of the benefits depends on the state's emphasis on this issue and the degree of regulation.

But in my opinion, the rise in food prices is something that any government must regulate and suppress. The country has already noticed it, so the increase will not be too large. According to the above reasons, it will not have a positive impact on farmers. It will be too big (planting cost, logistics cost). Although our Chinese court represents workers and peasants, the market has long been controlled by bureaucratic capital, and the upright people in the court cannot defeat them. The final result should be that the government gets control, capital gets benefits, and farmers make soy sauce (inflation is so serious, farmers only get cheap soy sauce at the best, and the soy sauce bottles are broken at worst).

For reference only (it’s easy to laugh at one family’s opinion).