The program benefits a small number
of sugar producers, but virtually every
governmental and nongovernmental
survey concludes that the program
results in a net loss of welfare for the U.S.
economy, with U.S. consumers suffering
the most. Direct costs to consumers due
to higher prices could be as much as $1.9
billion a year and the net welfare loss to
the U.S. economy nearly $1 billion.
Moreover, the U.S. government spends
close to $1.68 billion a year buying and
storing excess sugar to maintain those
artificially high domestic prices.
U.S. sugar consumers would not be