Every day we hear something new about the global energy crisis. A few months ago, we watched as a barrel of oil broke the $100 mark, and now we are beginning to hear that we might see it rise to $150. We continuously hear that if we don't do something in the next few years, the world will run out of fuel and we'll be in serious trouble. However, while our attention is on the energy crisis, there is a more pressing crisis that pertains to a much more fundamental issue. The real crisis we need to focus on deals with the global shortage of food.
According to The World Bank, 33 countries are currently at risk of losing stability due to rising food prices, which are forcing people in poorer countries to make difficult financial decisions. Understandably, people in many of these countries are protesting. The protests got so bad in Haiti that the prime minister was forced to step down. Protests aren't the only way that people are venting their frustration. Riots have occurred in many countries, including Cameroon, where over 20 people have died since February in riot-related violence.
Several causes have been linked to the crisis. These include increased demand for grain to feed Chinese livestock, increased demand for crops like corn to produce biofuels, the increasing cost of oil, which is used extensively in farming, and droughts in areas such as Australia that are typically large food producers. Each of these has contributed to a smaller supply of food, and in turn, higher food prices.
Although some of these factors might seem unavoidable, many are determined by the market, and the effect will be seen in affluent and poor countries alike.
In fact, part of the United States already is seeing the crisis first-hand. Numerous Costco Wholesale stores, particularly those on the west coast, have put restrictions on the amount of rice that customers may buy. These restrictions are problematic for consumers and if the crisis worsens, more restrictions are sure to come.
As a society, we need to recognize the severity of this crisis in order to take action. Many of the potential remedies will require governments to interfere with the free market, a fact that will undoubtedly upset many people, particularly those in more affluent regions of the world.
Although capitalism and the free market have been responsible for tremendous good in many instances, market forces have contributed to the crisis we currently face. In order for people all over the planet to be adequately fed, capitalism and the free market will need to take a backseat to humanitarianism and goodwill. It might not be the most convenient choice for the affluent parts of the world, but there really is no other choice to be made.
J.T. Munch can be reached at munch.7@osu.edu.
2008 Woodie Awards
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