Monsanto has talked the federal government into giving farmers a break on their crop insurance if they use crops that produce pesticides. If other companies are involved in this too, it is a good thing–it is reasonable that lower risk crops should have a lower premium. It is not reasonable that only Monsanto’s pesticide producing crops should be considered lower risk.
The greens are crying foul though; they claim this is rent seeking and corruption, government should not “endorse a product” they argue.
I would have to agree, but they have defined the problem wrong. The government should not be involved in crop insurance in the first place. If this was a private market, the risk assessment would not be considered a political move on the part of USDA.