Don’t Tax Spanish Olives — And Don’t Subsidize them Either

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In November 2017, Spaniards learned that the US Secretary of Commerce had decided to tax the import of black olives — between 2.31 and 7.25 percent — because these were being sold below market price. That is, the Trump administration decided the Spaniards were guilty of “dumping” olives.

As usual, the dumping was made possible by domestic subsidies. These came from the funds (nearly 40 percent of total budget) that the European Union (EU) dedicates to its Common Agrarian Policy (CAP). Spain receives more than €5 billion.  […]