The Economist shows graphically that farm subsidies are decreasing. Between 2004 and 2006, the average OECD expenditure on farm subsidies was $280 billion in annual terms. This means 29 percent of all farm receipts. Norway, Iceland and Switzerland are the most generous subsidy-givers. Subsidies in these countries present 66 percent of farmer's receipts. Back in 1984, New Zealand ended discriminatory farm subsidies (here). The profitability and productivity of farm sector increased rapidly without subsidy handouts (here).
European Union continually retains high quotas tariff rates on imports from third-world countries. In addition, farm subsidies further harm the economic performance in third-world countries. Currently, these countries mostly have a competitive advantage in farm products export and agricultural production, so it is not hard to figure out that high level of agricultural protectionism in Western Europe discourages the export performance in countries with low level of GDP per capita, as producers and exporters have to pay "higher-than-otherwise" price on the exchange of products which they produce.
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