Answer
Rich countries subsidized their agriculture sector to prevent the lower-priced imports from entering their countries and to consume their own country’s production. Because of this, consumer from urban countries in rich countries have no choice but to pay for the inflated or increased prices of agricultural goods. Since rich countries prevent lower-priced imports by raising their tariff, farmers from poor countries cannot compete. Also, rich countries are able to export their food surpluses in poor countries at a more competitive or lower price than local produce.
Work Step by Step
Rich countries subsidized their agriculture sector to prevent the lower-priced imports from entering their countries and to consume their own country’s production. Because of this, consumer from urban countries in rich countries have no choice but to pay for the inflated or increased prices of agricultural goods. Since rich countries prevent lower-priced imports by raising their tariff, farmers from poor countries cannot compete. Also, rich countries are able to export their food surpluses in poor countries at a more competitive or lower price than local produce.
