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The truth is that ever since the New Deal rural America has received special treatment from policymakers. It’s not just farm subsidies, which ballooned under Donald Trump to the point where they accounted for around 40 percent of total farm income. Rural America also benefits from special programs that support housing, utilities and business in general.
In terms of resources, major federal programs disproportionately benefit rural areas, in part because such areas have a disproportionate number of seniors receiving Social Security and Medicare. But even means-tested programs — programs that Republicans often disparage as “welfare” — tilt rural. Notably, at this point rural Americans are more likely than urban Americans to be on Medicaid and receive food stamps.
Ironically, however, the policy agenda of the party most rural voters support would make things even worse, slashing the safety-net programs these voters depend on. And Democrats shouldn’t be afraid to point this out.
But can they also have a positive agenda for rural renewal? As The Washington Post’s Greg Sargent recently pointed out, the infrastructure spending bills enacted under President Biden, while primarily intended to address climate change, will also create large numbers of blue-collar jobs in rural areas and small cities. They are, in practice, a form of the “place-based industrial policy” some economists have urged to fight America’s growing geographic disparities.
And because rural America is poorer than urban America, it pays much less per person in federal taxes, so in practice major metropolitan areas hugely subsidize the countryside. These subsidies don’t just support incomes; they support economies: Government and the so-called health care and social assistance sector each employ more people in rural America than agriculture, and what do you think pays for those jobs?