Given what you learned in this movie and others you have recently watchedin DSoc 1101_Essay

Given what you learned in this movie and others you have recently watchedin DSoc 1101_Essay

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DSOC 1101 Section # 207 If the IMF Gave America a Loan If the IMF were to give the U.S. a loan to get out of the current financial crisis it would increase the amount of money circulating and subsequently give the consumers greater quantity at lower prices. It would essentially subsidize the U.S. government so they can pour more money into broken institutions in order to heal them. Although it would increase consumer confidence – helping the marketplace – it would actually exacerbate the current financial crisis. In the film “King Corn,” the makers of the film grow corn on one acre of land in order to see how corn made in Iowa can make it to the hair of an individual living in Boston. Along the way they discover that growing corn is not just about having land and seed, but it is mostly about dealing with the government. They realize that just selling the reaped corn, would leave them operating at a loss. The sheer amount of corn drives the
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Unformatted text preview: price way down. However, there are many subsidies that the government gives for growing corn, which turns their loss into a gain. While this seems nice it creates a problem because it rewards overproduction of corn. Overproduction of corn may not seem harmful but in the case of the majority of the corn produced in the U.S. today it is because the corn that is being mass-produced is unhealthy. For example, a hamburger made with the corn that is overproduced has 8 more grams of saturated fat than does the natural corn. This anecdote is a symbol of what would happen to the U.S. if the IMF were to give it a loan. There would be over production of certain products that would be sold at lower than equilibrium price. This will not help the economy get out of a recession because people are buying things for less than the ideal value....
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This essay was uploaded on 02/20/2009 for the course DSOC 1101 taught by Professor Hirshel during the Fall '07 term at Cornell.

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Given what you learned in this movie and others you have recently watchedin DSoc 1101_Essay

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