In the News
EU vows to stem drastic loss of small farms
The Guardian highlights here that the number of farms in Europe has seen a significant decline amid the growth of so-called factory farms.
The underlying economics of this is straightforward: larger farms accrue greater economies of scale. However, the concern is that they are also more likely to damage the environment and lower food standards. As a result, the European Union is altering its subsidy programme to try and halt this trend.
The flip side though, is that large farms are also likely to lower food prices, and better reflect consumer demand. If small scale farmers producing organic produce is what consumers want, then you'd expect them to pay for it.