Speculators vs the Starving

While checking a suggested site by a commenter, (yes, I had one) I went to Little Blog in the Big Woods, by Greenpa who is about ready to get mobs, torches and pitchforks ready for a revolt over the issue of speculation in food, the resulting prices increases that are starving the worlds poor and promoting national hoarding.

While Greenpa's Grass roots protest is aimed at convincing the U.S. congress to ban speculation on food, I thought it would be of interest to us as well.

An interesting piece of background is this Spiegel article on The Role of Speculators in the Global Food Crisis.

Important issues are at stake,

Should profiteering be allowed to starve millions?

Is the current futures markets where people trade in paper representing more resources than exist manipulative or broken?

Should people who have no expectation of taking delivery of a commodity be bidding on it?

Now I understand these markets to a point and do believe in fair free market behaviour but I do find it hard to stomach the speculation on food while millions suffer.

I also wonder if the U.S. through it's financial lap dogs who are reliant of the largess of the Federal reserve these days to stay alive, are not purposely using food as a weapon. After all the U.S. is a net grain exporter who can for political or resource "considerations" make sure compliant countries get fed.

But then again I'm just cynical.Recommend this Post