Let Them Sell Rice

Tyler Cowen argues that restrictions on trade in and sale of agricultural commodities are contributing to the current food crisis. The result of all these various protections and restrictions is to reduce overall production and to create an inefficient market where it’s relatively difficult to get goods to where they’re needed.

This is all why I find it difficult to get too upset one way or the other about things like CAFTA or the Colombia trade deal. The real gains to be realized from further liberalization of trade at this point have to do with farm stuff that’s been kept off the table in all these negotiations.