Dehradun, Dec. 17 -- In purchasing power parity terms, developed countries have higher prices for agriculture produce as compared to other goods and products. Developing countries exhibit the opposite phenomenon - low food prices, with almost everything else priced much higher. This is because there is much pressure to keep food prices as low as possible for the sake of the poor - both, in the villages and the urban areas. It is hoped that subsidies of various kinds will compensate the farmers for their losses. Unfortunately, this is not enough; it also sets in motion a vicious cycle that perpetuates the problem. As was the case with the LPG subsidy, it is the better off sections who benefit the most.
With a large section of the population...