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SUGAR The United States produces about 8 million tons 725 million tons of sugar a year This provides 211 billion of the economic activity in 42 states Florida Hawaii and Louisiana are major producers of cane sugar The Red River Valley in Minnesota and North Dakota is the largest sugar-beet growing region in the United States As shown in the first paragraph the sugar industry is a large part of the United States economy Since March 2001 the price of sugar has taken a drastic drop Many of the sugar industries factories and mills have been shut down Due to the sugar markets drop it has affected both employment and our economy In this paper I will show how the supply and demand of sugar has affected the economy of the United States Supply of a product is the amount of it that businesses are willing and able to offer for sale at alternative prices World Book see supply Since 1996 Lopez 2 the Farm Bill was passed to remove of the government in agriculture This caused the sugar market to plunge to a historical low rate A spill over of sugar beets and sugar cane has increased sugar production is the main contributor in the low sugar prices This prompted the government to purchase sugar to reduce a surplus The demand for a product is the amount of it that users can and would like to buy at alternative prices World Book see Demand According to Jack Roney The director of Economics and policy analysis for the American Sugar Alliance believes that the consumers have not benefited from the He states in a request to the Sugar Committee to How much has consumers benefited from the disastrously low price for sugar I can tell you now not at all While producers for refined sugar id down 30 grocery stores price for sugar has actually gone up By 1-1 Candy prices are up by
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