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Arizona Debate Institute 2008 1

Holbrook State Economy DAs


Sugar Key to US Economy.............................................................................................................................................2
**Minnesota**................................................................................................................................................................3
Minnesota DA - 1NC Shell 1/2.......................................................................................................................................4
Minnesota DA - 1NC Shell 2/2.......................................................................................................................................5
Uniqueness - Minnesota economy up.............................................................................................................................6
Link - Subsides general...................................................................................................................................................7
Link – Dairy Subsidies....................................................................................................................................................8
Link – Sugar Subsidies...................................................................................................................................................9
Link – Sugar Subsidies ................................................................................................................................................10
Internal link - Agriculture Key to Minnesota ...............................................................................................................11
Brink - Minnesota economy..........................................................................................................................................12
Impact - Mexico – Economy High ...............................................................................................................................13
Impact - Mexico - Key to global economy .................................................................................................................14
Impact – US Economy Scenario - Sugar......................................................................................................................15
**Louisiana** ..............................................................................................................................................................16
Louisiana DA - 1NC shell 1/2......................................................................................................................................17
Louisiana DA - 1NC shell 2/2.......................................................................................................................................18
Louisiana – Uniqueness - Economy up........................................................................................................................19
Louisiana – Uniqueness - Economy up........................................................................................................................20
Link - Cotton ................................................................................................................................................................21
Link - Rice subsidies.....................................................................................................................................................22
Link - Sugar..................................................................................................................................................................23
Link - Sugar..................................................................................................................................................................24
Sugar key Louisiana Economy.....................................................................................................................................25
Agriculture K to Louisiana Economy...........................................................................................................................26
Brink - Louisiana sugar industry ..................................................................................................................................27
Louisiana Key to Economy...........................................................................................................................................28
2NC sugar industry/1....................................................................................................................................................29
2NC sugar industry/2 ...................................................................................................................................................30
***Florida***...............................................................................................................................................................31
Florida DA – 1NC Shell................................................................................................................................................32
Florida DA – 1NC Shell 2/2..........................................................................................................................................33
Florida Uniqueness – Economy Strong Now................................................................................................................34
Florida – Link - Sugar ..................................................................................................................................................35
***Aff***....................................................................................................................................................................36
Minnesota - Non-Unique – Economy Low Now..........................................................................................................38
Minnesota – Turn - Soybeans .......................................................................................................................................39
Minnesota - Turn – Tradeoff w/Other Industries..........................................................................................................40
Minnesota - No Internal Link – Manufacturing Key ...................................................................................................41
Minnesota - Mexico Economy turn .............................................................................................................................42
Minnesota – Impact - Mexico not Key to Global economy .........................................................................................43
Louisiana – Non-Unique – Economy Low Now..........................................................................................................44
Louisiana – Non-Unique – Economy Low Now..........................................................................................................45
Louisiana – Sugar Link Turn.......................................................................................................................................46
Florida – Non–Unique - Economy Low Now..............................................................................................................47
Florida – Non–Unique - Economy Low Now..............................................................................................................48
Florida – Non–Unique - Sugar Industry ↓ SQ..............................................................................................................49
Florida – Turn - Environment.......................................................................................................................................50
Arizona Debate Institute 2008 2
Holbrook State Economy DAs

Sugar Key to US Economy


Sugar Industry key to US economy
Jones 3 (Calvin, CEO ,Wyoming Sugar Company, Federal Document Clearing House Congressional Testimony, “Domestic Natural Gas
Supply Shortage”, 6-19, Lexis, Accessed: 6/8/2005)
I am here representing the Beet Sugar Industry as part of a much larger "Sweetener Industry" that consists of sugarbeet, sugar
cane and corn. This industry annually creates $21.1 billion of economic activity in 42 states. The industry provides
American consumer with high quality sweeteners for various applications. American consumers pay 22 percent less than their
counterparts in other developed countries. The beet sugar segment of this industry plants over 1,400,000 acres of sugar beets in 12 states
that are processed by 27 beet sugar factories. The industry creates 88,200 full time direct and indirect jobs for people across the nation.
Wyoming is one of the 12 sugar beet producing states where over 400 growers produce about 56,000 acres of sugar beets. Those beets
are then processed by three factories operated by two companies, Wyoming Sugar Company, LLC and Western Sugar Cooperative. The
economic activity generated in the state of Wyoming each year by the Sweetener Industry is $159,600,000.1 The US Sweetener
Industry is integral to the national economy, as a well as each state where sweeteners are grown and
processed. Current United States sugar policy allows efficient U.S. beet, cane and corn growers and
processors to compete against unfair foreign subsidies and trade practices. The program provides
reliable supplies of sugar at fair and stable prices
Arizona Debate Institute 2008 3
Holbrook State Economy DAs

**Minnesota**
Arizona Debate Institute 2008 4
Holbrook State Economy DAs

Minnesota DA - 1NC Shell 1/2


A. Minnesota economy growing now job growth
Minnesota Public radio 7-17 (Martin Moylan, “Minnesota employers add 3,400 jobs in June”,
http://minnesota.publicradio.org/display/web/2008/07/17/minnesota_jobs/)
Minnesota gained jobs for the second consecutive month in June, as employers added 3,400 positions.
That's on top of 2,500 additional jobs in May. Oriane Casale of the Minnesota Department of Employment
and Economic Development says the state's seasonally adjusted unemployment rate dropped to 5.3
percent. Meanwhile, the national unemployment rate held steady at 5.5 percent in June. "Well , it's
certainly positive news. We also remained at 0.3 percent over-the-year job growth, which is where we've
been for the past couple of months. And at the same time, the nation has gone into negative territory," Casale
said. "So, it looks like we're holding our own in terms on the nation-wide economy." Minnesota has
added 1,900 jobs through the first half of the year. But the nation has lost more than 400,000 jobs during that
period. Job growth was especially strong in June for Minnesota manufacturers, suggesting their
international sales are getting a boost from the weak U.S. dollar. A weak dollar makes U.S. exports cheaper
for foreign buyers.

B. Sugar key to Minnesota job growth and economy


Morrison 05 (Jun, E.M. writer for as innovation news, “Keeping Minnesota Sweet”,
http://www.auri.org/news/ainapr05/mncommoditiesbeets.htm.)
You’ve heard of “Minnesota Nice?” Well, there is also “Minnesota Sweet.” Minnesota is the nation’s
leading producer of sugar beets — a sturdy root crop that pumps plenty of sweetness into Minnesota’s
economy. Sugar beets generate almost $2 billion in economic activity for Minnesota, and account for
some 20,000 jobs and more than $40 million in state tax revenue, according to a 2004 study by North
Dakota State University Minnesota farmers — who last year planted nearly 500,000 acres of sugar beets —
are working to keep the local beet industry sweet. Growers are supporting research to boost sugar beet yields
and improve sugar refining. They are also backing trade agreements that cap sugar imports. And they are
planning a new public relations campaign that explains sugar’s place in a healthy diet. “If there is one
message we want to get out to people, it’s to understand the role sugar plays in the economy of the
Upper Midwest,” says Nick Sinner, executive director of the Red River Valley Sugar Beet Growers
Association, which represents 2,500 beet growers in Minnesota and eastern North Dakota. Minnesota last
year produced one-third of the country’s sugar beet
s: just under 10 million tons, worth more than $310 million in farm cash receipts. State growers process their
sugar beets at farmer-owned cooperative refineries in Minnesota and North Dakota. The largest, 900-member
American Crystal Sugar, based in Moorhead, last year manufactured three billion pounds of sugar — about
18 percent of the domestic sugar supply — and reported revenues of $1 billion. The state’s beet refineries
also make high-quality livestock feed from beet pulp, most of it for export markets.

2. Reducing sugar programs tanks the Minnesota sugar industry


Morrison 05 (Jun, E.M. writer for as innovation news, “Keeping Minnesota Sweet”,
http://www.auri.org/news/ainapr05/mncommoditiesbeets.htm.)
But the thriving Midwest sugar industry could turn sour if American trade policies change, allowing
more cheap foreign sugar into the country, Sinner says. U.S. trade agreements now allow domestic
producers to market about 85 percent of the sugar consumed here. The rest is imported from around the
world at well below U.S. sugar prices
Arizona Debate Institute 2008 5
Holbrook State Economy DAs

Minnesota DA - 1NC Shell 2/2


C. Minnesota economy is key to the Mexican economy
Minnesota public radio 01 (11-14, Mary Stucky, Sept. 11 aftershock reaches Minnesota's Hispanics,
http://news.minnesota.publicradio.org/features/200111/14_stuckym_latinos/.)
According to Ortiz, several Hispanic immigrants in the Twin Cities have already been caught in the post-
Sept. 11 sweep to deport undocumented residents. There are some 80,000 undocumented Hispanic
workers in Minnesota, according to Ortiz. "There's less jobs here and so they go to Mexico, but there's no
jobs in Mexico. They find themselves in a trap because then they can't come back. It's a little more difficult
now to cross the border," says Ortiz. At the Mercado Central on Lake St. in Minneapolis, Alex Cuate, his
wife and young son shop at the meat market. Cuate, an immigrant from Mexico, still has his job in a
restaurant kitchen. He told Silvia Ruano of the Mexican newspaper El Norte that he expects a cutback. "Work
is thinning out for everyone. People aren't coming to restaurants anymore." The money people like Alex
Cuate send home is vital to the Mexican economy. In fact, it's expected to replace tourism as the
nation's second largest source of foreign revenue. So, when Mexican workers lose their jobs in the Twin
Cities, the effect is perhaps more dramatic south of the border. That point is not lost on Marcela
Martinez, a Mexican immigrant who was shopping at the candy store in the Mercado on Lake St. She says
the type of workers losing jobs here are also being laid off in Mexico.

2. Mexico key to the world economy


The Dallas Morning News 95
With the exception of 1982 - when Mexico defaulted on its foreign debt and a handful of giant New York
banks worried they would lose billions of dollars in loans - few people abroad ever cared about a weak peso.
But now it's different, experts say. This time, the world is keeping a close eye on Mexico's unfolding
financial crisis for one simple reason: Mexico is a major international player. If its economy were to
collapse, it would drag down a few other countries and thousands of foreign investors. If recovery is
prolonged, the world economy will feel the slowdown. "It took a peso devaluation so that other
countries could notice the key role that Mexico plays in today's global economy," said economist Victor
Lpez Villafane of the Monterrey Institute of Technology.
"I hate to say it, but if Mexico were to default on its debts, that would trigger an international financial
collapse" not seen since the Great Depression, said Dr. Lopez, who has conducted comparative studies
of the Mexican economy and the economies of some Asian and Latin American countries.

3. Global economic decline will bring Armageddon.


Bearden 00 (Tom, PhD Nuclear Engineering, The Tom Bearden Website, April 25, 2000, o/l:
http://www.cheniere.org/correspondence/042500%20-%20modified.htm, Accessed 5/11/07.]
Just prior to the terrible collapse of the World economy, with the crumbling well underway and rising, it is
inevitable that some of the weapons of mass destruction will be used by one or more nations on others. An
interesting result then—as all the old strategic studies used to show—is that everyone will fire everything as
fast as possible against their perceived enemies. The reason is simple: When the mass destruction
weapons are unleashed at all, the only chance a nation has to survive is to desperately try to destroy its
perceived enemies before they destroy it. So there will erupt a spasmodic unleashing of the long range
missiles, nuclear arsenals, and biological warfare arsenals of the nations as they feel the economic
collapse, poverty, death, misery, etc. a bit earlier. The ensuing holocaust is certain to immediately draw
in the major nations also, and literally a hell on earth will result. In short, we will get the great
Armageddon we have been fearing since the advent of the nuclear genie. Right now, my personal
estimate is that we have about a 99% chance of that scenario or some modified version of it, resulting.
Arizona Debate Institute 2008 6
Holbrook State Economy DAs

Uniqueness - Minnesota economy up


Minnesota’s economy is increasing
Minnesota News Network 7-29 (“Minn. makes slight gains in spite of national economy”,
http://minnesota.publicradio.org/display/web/2008/07/29/minn_economy/.
Minnesota and neighboring states experienced slow economic growth in recent months, but at least it
was growth and not a recession. Toby Madden an economist with the Minneapolis Federal Reserve Bank
says the region's economy is holding its own. "There was a slight increase in activity in tourism,
mining, commercial real-estate. However, other sectors were kind of mixed: agriculture, energy,
commercial construction and manufacturing," Madden said. Madden said the housing sector is still weak.
And that, along with high energy costs that cut into consumer spending, has been driving economic weakness
for a couple of years.

Minnesota economy is growing despite negative forecasts


Minnesota public radio 7-11 (“Minnesota had unexpected revenue bump through June”,
http://minnesota.publicradio.org/display/web/2008/07/11/revenues_up/.)
Despite bad economic news, Minnesota's tax collectors took in an extra $389 million before closing the
books on the latest fiscal year. The state Department of Finance says revenues for the fiscal year that
ended last month were 2.5 percent above projections. The increase came mainly from a bumper crop of
personal income tax payments and taxes on corporate profits.

The manicotti economy is growing but barely


Twin Cities Daily 6-14 (Lee Egerstrom, Economic reports and the economy: That sinking feeling is
realhttp://www.tcdailyplanet.net/article/2008/06/13/economic-reports-and-economy-sinking-feeling-real.html.
One government report this past week showed a minor upward burp in the Minnesota economy while
most indices and statistical studies reveal state and national economies growing ever weaker. More such
reports are scheduled for this week, beginning this morning when the government releases the always-
confusing data on the U.S. trade balance. Retail sales data for May will be released on Thursday, and the May
compilation of the national Consumer Price Index will be issued on Friday. At times, such as this past week
when reports on gross domestic product (GDP) and unemployment seemed to contradict each other, it isn’t
easy to interpret just what the economic reports are telling us. That is the point we will try to make today:
Read the reports over time, knowing that individual statistics will bounce from month to month. “It’s
probably best to monitor the reports over a two- or three-month period. Maybe six months is even
better,” said Jean Kinsey, an applied economist and co-director of the Food Industry Center at the University
of Minnesota.
Arizona Debate Institute 2008 7
Holbrook State Economy DAs

Link - Subsides general


Safety net subsidies are key to the Minnesotan economy
Hometownsource.com 08 (5-15,”Farm Bill clears Congress, contains Coleman provisions important to
Minnesota farmers”,
http://hometownsource.com/index.php?option=com_content&task=view&id=5044&Itemid=29.)
The existing commodity title of the farm bill has proven to be an effective safety net for farmers, and
the new farm bill will not make cuts to this safety net. Sen. Coleman has consistently led the charge to ensure
there would be no cuts to the program, leading letters signed by 24 of his colleagues to the President and key
Senate leaders. Minnesota ranks among the top 10 states in the production of nearly every commodity
that can be produced in our climate – including corn, soybeans, wheat, oats, barley, sunflowers, dry
edible beans, hay, potatoes, sugar beets, flaxseed, canola, sweet corn, green peas, wild rice, milk, beef, hogs,
eggs, and turkey – and owes fully one-third of our overall state economy to agriculture. “For
Minnesota farmers, the stakes are high when it comes to the commodity safety net. Prices may be high
now, but every farmer knows all too well how quickly that can change. And when our farmers struggle, the
ripple effects spread throughout our entire economy. We currently have an energy security problem,
and without a strong safety net, we’d have a food security problem. To provide food for the nation, our
farmers need a strong commodity title, which is why I worked hard to make sure this bill improves on the
current safety net that has worked so well for Minnesota farmers,” Coleman said.
Arizona Debate Institute 2008 8
Holbrook State Economy DAs

Link – Dairy Subsidies


Dairy subsidies are key to the Minnesotan economy
Hometownsource.com 08 (5-15,”Farm Bill clears Congress, contains Coleman provisions important to
Minnesota farmers”,
http://hometownsource.com/index.php?option=com_content&task=view&id=5044&Itemid=29.)
A longtime defender of the Milk Income Loss Contract Program (MILC) that is vital for Minnesota’s dairy
producers, Sen. Coleman fought to ensure its extension through the life of the farm bill and an increase
in the payment rate back to 45 percent from the current 34 percent level. Meanwhile, the bill will adjust the
price trigger up when feed prices increase. The MILC program is a critical safety net for Minnesota’s
small and medium-sized dairy operations. “MILC is a critical program for Minnesota dairy farmers
and is an invaluable safety net for an industry that contributes over $3 billion to the state’s economy.
Increasing the MILC payment rate back to 45 percent is a huge victory for small and mid-sized dairy farms,
as is allowing the trigger price to adjust up when feed prices increase,” Coleman added.
Arizona Debate Institute 2008 9
Holbrook State Economy DAs

Link – Sugar Subsidies


Sugar subsidies are key to the Minnesota economy
Coleman 08 (Norm, 5-28, state senator of Minnesota, “Other views: New farm bill sweetens sugar loan rates,
extends ethanol”, http://www.in-forum.com/Opinion/articles/202611.)
As a bedrock of the Red River Valley’s economic strength and a job provider to more than 40,000
people, the importance of the sugar beet industry to the state cannot be overemphasized. Every year,
Minnesota’s sugar farmers put their necks on the line. They wake up with the sun and work all day to feed
and now fuel the nation. Yet, despite their commitment, many farmers are deeply concerned about the
future of the sugar program, particularly the safety net that allows them to operate when prices are
low and times are tough. Throughout the crafting of the new farm bill, I worked closely with my colleagues
in Congress from both Sugar sides of the political aisle – and farmers from both sides of the Red River – to
ensure the viability of the current sugar program. The program, which operates at no net cost to the
government, was not only maintained, but strengthened. The bill increases the loan rate for sugar beets
for the first time in 15 years, by over 1 cent per pound. In addition to preserving the sugar program, we
were successful in creating a sugar-to-ethanol program to bring sugar into the booming renewable fuels
market and guard against excess imports. While this proposal was once met with indignation when I first
offered it a few years ago, I firmly believed it only made sense to take excess sugar from trade agreements
and use it to help address our foreign oil dependence. We only need to look to how Brazil achieved oil
independence, largely through production of sugar ethanol, to see that the technology is not out of reach, but
at our fingertips. Sugar farmers have shared that same vision, and as this sugar ethanol program is
implemented, we will be able to quickly add more diversity to our ethanol feedstocks. Meanwhile, the
program actually saves taxpayer dollars by using surplus sugar that would instead have ended up costing the
federal government more money. It’s truly a win-win. With Congress’s recent override of the president’s
veto, we have finally succeeded in passing these important victories into law. The new bill gives
Minnesota’s sugar farmers the opportunity to continue contributing billions of dollars and tens of
thousands of jobs to the state’s economy, and I was proud to be a part of the bipartisan cooperation that has
allowed the farm bill to progress from the first Agriculture Committee hearing all the way to final passage.
For years I have driven across Minnesota’s countryside, listening to the concerns of our farmers and rural
communities. I brought their message to the Senate Agriculture Committee, and with a bipartisan cast of
legislators who truly care about agriculture, led by Congressman Collin Peterson in the House, together we
have crafted a bill that provides the safety net our farmers need. The bill represents a major win for
Minnesota sugar beet growers and farmers as a whole. The future of the sugar industry, our state’s
economy, and the Red River Valley will greatly benefit from this farm bill.

Freeing the market tanks Minnesota sugar production


MPR 07 (11-22, “Free trade pressures the sugar industry”,
http://minnesota.publicradio.org/display/web/2007/11/20/farmbillsugar/.)
Peterson sees politics as a greater threat to sugar beet growers in Minnesota and North Dakota. He says
if a new farm bill isn't passed, the president could force cuts in U.S. sugar production. The NAFTA
agreement that allows Mexican sugar into the U.S., also gives the president authority to cut domestic
production. Peterson says it's unclear if sugar beets or sugar cane would take the biggest hit. "It starts a fight
within sugar. It starts a fight between cane and beets and that's what they want," says Peterson. "They
want sugar divided. If they get sugar divided, then they can take them apart."
Arizona Debate Institute 2008 10
Holbrook State Economy DAs

Link – Sugar Subsidies


Sugar subsidies are vital to the economy
Hometownsource.com 08 (5-15,”Farm Bill clears Congress, contains Coleman provisions important to
Minnesota farmers”,
http://hometownsource.com/index.php?option=com_content&task=view&id=5044&Itemid=29.)
As a longtime champion of the sugar program, which operates at no net cost to the federal government,
Coleman worked hard to ensure the program’s extension. Additionally, Minnesota’s sugar beet farmers will
receive a 1.1 cent increase in the sugar loan rate – the first of its kind in over 15 years. The measure also
includes Sen. Coleman’s long-sought sugar ethanol program, which he pursued in order to take excess sugar
from trade agreements and use it to help address our foreign oil dependence. Once implemented, the plan will
help America move quickly to diversify our ethanol feedstocks. The sugar beet industry provides over $2
billion per year to Minnesota’s economy and sustains nearly 40,000 jobs. “To ensure that Minnesota’s
sugar beet growers can continue to deliver a stable supply of high quality sugar to the market at no net
cost to the federal government, it is imperative this bill becomes law. From Roseau to Renville, the sugar
program has enabled Minnesota’s over two billion dollar a year sugar industry to thrive and support
thousands of jobs, regardless of poor markets and severe weather,” Coleman said. “America must diversify
the feedstocks used to produce ethanol in order to build a sustainable and secure renewable fuels industry that
can reduce our dependence on foreign oil -- and sugar ethanol has the potential to play an important role in
that effort. Meanwhile, this sugar ethanol program will address the significant challenges presented by the
excess sugar coming in from NAFTA, and it does so in a way that saves millions of dollars.”
Arizona Debate Institute 2008 11
Holbrook State Economy DAs

Internal link - Agriculture Key to Minnesota


Agriculture is key to the Minnesota economy
Wertish 08 (Dave, 5-30, a Farm Business Management instructor at South Central College ,“Agriculture
holds strong economic importance”, http://www.faribault.com/news.php?viewStory=35255.)
The role of farming and agriculture has taken on a new awareness recently with the increased cost of
food and fuel to the consumer. Agriculture and farming take on an impressive role when you look at
the local and state economics Agriculture is the second-largest industry in Minnesota’s economy behind
the manufacturing sector. It has a long history of serving as a cornerstone for the state’s economy. It
supports many other industries such as manufacturing, transportation, wholesale and retail trade,
services, construction, banking, insurance and real estate Agriculture, combined with the food industry, is
the second-largest employer in Minnesota accounting for 15 percent of all total jobs. In rural Minnesota
of which Rice County is a part, agricultural employment supplies 24 percent of all jobs. More than 80 percent
of these agricultural jobs are off-farm, in processing, distribution, supply and service sectors. Agriculture has
played an integral role in our local economy. An economy is a network of individual business and
households. Because of local linkages between these business and households, what happens in one sector
impacts the entire economy. We are experiencing those linkages currently with the housing values
declining and mortgage foreclosures looming. Agriculture has provided jobs as it purchases inputs and
services locally in a multiplier effect. Each production agriculture job supports an additional 1.5 jobs
in other economic sectors. This multiplier effect of Minnesota agricultural production and processing
supports over 367,000 jobs and generates $55 billion of economic activity for the state. Agricultural and food
exports account for more than 20% of Minnesota’s total exports from all industries
Arizona Debate Institute 2008 12
Holbrook State Economy DAs

Brink - Minnesota economy


The Minnesota economy is on the brink of a recession
Gottwalt 08 (Steve, 3-19, Minnessota state representive, “GOTTWALT: TAX BILL IS “JOBS KILLER” FOR
MINNESOTA”,
http://www.house.leg.state.mn.us/members/pressreleasels85.asp?district=15A&pressid=2507&party=2.)
“The elimination of JOBZ would mean fewer jobs, and lost opportunity for our economy,” Gottwalt said. “It
would have a particularly negative impact on the St. Cloud area where extension of JOBZ could help us
attract hundreds of new, good paying jobs. It appears the DFL would rather have more people filing for
unemployment benefits and welfare than working to make a living for themselves and their families.”
Gottwalt also noted that “eliminating tax credits hurts emerging industries like biosciences that hold so much
promise for the St. Cloud area and Minnesota.” The St. Cloud area recently received state designation as a
Bioscience Zone. Removing tax incentives amounts to tax increases for Minnesota businesses. “At a time
when our economy is on the brink of recession, such tax increases are bound to kill jobs and deepen
our economic downturn,” added Gottwalt..
Arizona Debate Institute 2008 13
Holbrook State Economy DAs

Impact - Mexico – Economy High


Mexico economy is growing
Dickerson 8 (Marla, Las Angeles Times [http://www.latimes.com/news/nationworld/world/la-fi-mexgdp23-
2008may23,1,6979146.story] Mexico prospering despite U.S. slowdown/ May 23, 2008)
A sizzling stock market. A strengthening peso. Good economic growth. Someone forgot to tell Mexico
that the U.S. has been flirting with recession. Mexico's gross domestic product expanded at an annualized
rate of 2.6% in the first three months of the year compared with a year earlier, according to government
figures released Thursday. It's a respectable performance that highlights the nation's surprising resilience in
the face of a U.S. slowdown.
Arizona Debate Institute 2008 14
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Impact - Mexico - Key to global economy


Mexico is key to the world’s economy
Hansen 4 (Fay, Workforce Management contributing editor http://www.workforce.com
/section/06/feature/24/78/99/index.html)
Mexico’s economy and business environment remain closely tied to the United States, but signs are emerging
that Mexico is succeeding in its attempt to break away from the U.S. business cycle and establish itself as a
major trading nation in the world market. Within the next decade, Mexico may be able to build
significant trade and investment relationships with European and Asian nations and with other Latin
countries. For the immediate future, however, it is largely dependent on the United States as its largest
trading partner and primary source of foreign investment

Mexico affects the global economy


Hansen 4 (Fay, Workforce Management contributing editor http://www.workforce.com
/section/06/feature/24/78/99/index.html)
Although trade with the U.S. is critical, Mexico has moved rapidly in recent years to expand its role in
the world economy. Greater global integration offers Mexico the opportunity to accelerate economic
growth and develop trade beyond NAFTA and the cyclical movements of the U.S. economy. “Mexico is
intricately tied into the U.S., but it is also a key player in Latin America,” says Luis E. Ramirez Thomas, a
principal in the Phoenix-based law firm of Lewis and Roca, LLP and part of the firm’s international business
unit for Mexico and Latin America. Within Latin America, Mexico’s economy is second in size only to the
Brazilian economy, but Mexico’s foreign trade is greater than the combined trade of Brazil, Argentina,
Chile and Colombia, he notes. Since the signing of NAFTA a decade ago, Mexico has pursued free trade
agreements (FTAs) around the world, resulting in FTAs with 41 nations, including the 25 members of the
European Union, and partial scope agreements with three others. “The most notable agreements have
facilitated trade with Europe and Central America where future trade prospects are the brightest,”
says Pisani. “Mexico is also working on increased trade linkages with Asia bi-laterally and through APEC,
with a particular focus on Japan. Nonetheless, Mexico’s trade fortunes lie with the U.S., and with these other
trade partners it may only hope to help smooth out the North American business cycle, of which Mexico is
part and parcel.” After the recent signing of a FTA with Japan, the Mexican economic minister announced
that Mexico would temporarily halt negotiations for new free trade agreements. “Mexico has enough free
trade agreements for the development stage that the country is confronting at this moment,” notes Joey
Bremauntz, Vice President of Sherwood Partners, a business continuity advisory firm that assists both U.S.
and Mexican companies. Mexico’s current goal, he believes, is to increase commerce with the existing FTA
countries and meet the objectives of each agreement. “Mexico is an example of the success that a country can
experience if it adopts a free trade agreements strategy,” he says. “It has also proven that Mexican companies
have the capability to enter into first-world country markets because of the quality and competitive price of
their products.” Bremauntz also notes that Mexico has assumed a leadership role as an intermediary in
multilateral negotiations. Mexico hosted World Trade Organization meetings in 2003 and organized a
summit of the Asia-Pacific Cooperation Forum in 2002. “All these efforts have meant a very successful
decade for Mexico,” he says. “That is why it is expected that the government will continue making more
agreements when it is convenient for the country. In the next few years, we may see Mexico initiate
Arizona Debate Institute 2008 15
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Impact – US Economy Scenario - Sugar


Link and internal link Minnesota is critical to the US sugar economy removing sugar
subsidies jacks the industry
Washington post 04 (9-20, “Sugar Beet Area Not Sweet on Pact”,
http://www.citizenstrade.org/pdf/washpost_sugarbeets_09202004.pdf.)
When Germans and Scandinavians settled these parts in the 19th and 20th centuries, they found nothing but a
grassy prairie. For years, wheat was the main cash crop. But in the 1950s, sugar beets were introduced in the
fertile, gently tilting plain on both sides of the north-flowing Red River boundary between Minnesota and
North Dakota. Rainfall, good soil and cold winters that allowed farmers to store beets on their farms without
spoilage gave growers a competitive edge. Although beets are also grown in western and other Midwestern
states, the Red River Valley accounts for more than 40 percent of U.S. beet sugar production and one-
fifth of all U.S. sugar output. The area's $1 billion-a-year sugar crop, produced on a half-million acres
by more than 1,000 farmers, supports about 32,000 jobs year- round in processing and related services,
according to the industry. As big a business as it is, it is still family farming. Hasbargen, two sons and a
brother handle 2 1/2 square miles of beets with the help of only a few hired hands. During harvest, the
Hasbargens all put in 12-hour shifts day and night on the huge machines that "top" (cut off the bushy leaves
of the plants) and then dig up the beets. Underpinning the industry, however, is an elaborate federal
program that protects U.S. growers from a world market glutted with cheap sugar. Quotas limit sugar
imports to the United States to about 1.2 million tons a year, and the government sets the annual level
of production and enforces it through acreage allotments that cooperatives hand down to individual
farmers.

Key to the national economy


Jones 03 (Calvin, CEO – Wyoming Sugar Company, Federal Document Clearing House Congressional
Testimony, “Domestic Natural Gas Supply Shortage”, 6-19, Lexis, Accessed: 6/8/2005)
I am here representing the Beet Sugar Industry as part of a much larger "Sweetener Industry" that consists
of sugarbeet, sugar cane and corn. This industry annually creates $21.1 billion of economic activity in 42
states. The industry provides American consumers with high quality sweeteners for various applications.
American consumers pay 22 percent less than their counterparts in other developed countries. The beet sugar
segment of this industry plants over 1,400,000 acres of sugar beets in 12 states that are processed by 27 beet
sugar factories. The industry creates 88,200 full time direct and indirect jobs for people across the nation.
Wyoming is one of the 12 sugar beet producing states where over 400 growers produce about 56,000 acres of
sugar beets. Those beets are then processed by three factories operated by two companies, Wyoming Sugar
Company, LLC and Western Sugar Cooperative. The economic activity generated in the state of Wyoming
each year by the Sweetener Industry is $159,600,000.1 The US Sweetener Industry is integral to the
national economy, as a well as each state where sweeteners are grown and processed.
Current United States sugar policy allows efficient U.S. beet, cane and corn growers and processors to
compete against unfair foreign subsidies and trade practices. The program provides reliable supplies of
sugar at fair and stable prices.

Minnesota is nations largest sugar producer


Star Tribune 05 (“Sugar Beet Growers Fight For Livelihood”,
http://www.crystalsugar.com/media/news.archives/trib.asp.)
For Hasbargen and more than 40 other Red River farmers who have come to Washington in the last two
weeks, it's about the survival of an industry that says it generates more than 30,000 jobs and $1.7
billion in economic activity in Minnesota. Their argument is quite direct: CAFTA will open our nation's
borders to more imported sugar and put a teetering U.S. sugar industry out of business. Minnesota is the
nation's largest sugar producing region, putting it at the center of the debate over sugar imports, which
could increase by nearly 50 percent under the treaty.
Arizona Debate Institute 2008 16
Holbrook State Economy DAs

**Louisiana**
Arizona Debate Institute 2008 17
Holbrook State Economy DAs

Louisiana DA - 1NC shell 1/2


A. Louisiana economy growing
Sun Herald.com 08 (6-8, “Louisiana economy outpacing nation's”, http://www.sunherald.com/218/v-
print/story/611432.html.)
Louisiana is one of 20 states with an economy growing faster than the nation as a whole. The federal
Bureau of Economic Analysis also says the state's economy became one of 14 states growing faster in
2007 than in 2006. The agency examined the states' real gross domestic products. That's the inflation-
adjusted value of all goods and services produced. Of a dozen southeastern states, Louisiana's growth
rate placed second to Georgia. The southwestern states including Texas, Oklahoma, New Mexico and
Arizona had the largest regional growth rate.

B. Sugar is key to keeping Louisiana competitive


Gravois 5 (Kenneth PHD at the Department of Agriculture at Louisiana State University May 31 Louisiana’s Sugarcane Industry,
http://www.lsuagcenter.com/en/ communications/publications/agmag/Archive/2001/Fall/Louisianas+Sugarcane+Industry.htm)
Sugarcane has been an integral part of the South Louisiana economy and culture for more than 200
years. When the Jesuit priests first brought sugarcane to Louisiana in 1751, little did they know that they
were laying the foundation for an industry that now contributes $2 billion to the Louisiana economy. In
the last century, research advances in both production and processing have kept Louisiana’s sugar
industry competitive. In these recent times of stagnant and decreasing sugar prices, increased
production efficiencies and new processing technologies have helped the Louisiana sugar industry
remain profitable. The focus of LSU AgCenter sugarcane research is to help maintain a competitive and
viable sugar industry in Louisiana.

2. Rolling back subsidies tanks Louisiana sugar industry


Salassi 08 (Michael E., Spring, “Economics of sugarcane production: What does it take for this industry to
survive?”, Dept. of Agricultural Economics & Agribusiness Louisiana State University
http://www.lsuagcenter.com/en/communications/publications/agmag/Archive/2008/Spring/Economics+of+sugar
cane+production+What+does+it+take+for+this+industry+to+survive.htm)
Sugar is one of the many commodities whose domestic market price is supported by provisions of the
farm bill. The basic goals of U.S. agricultural policy, as stipulated in farm bills enacted by Congress, have
been to stabilize and support income to farmers across the country. A stable market price sufficient to
cover total production costs is critical in the production of any commodity, and sugar is no exception.
Although sugar is a farmprogram commodity like corn, soybeans, rice and cotton, its price support program
is different from the other commodities. Sugar producers receive no government payments. The market
price sugar producers receive is supported by indirectly restricting domestic production through
marketing allotments, which limit sales of domestically produced sugar from either sugarcane or sugar
beets. Unlike most other program commodities, sugar is import-sensitive, meaning that the United
States consumes more sugar than it produces. Imports of foreign sugar are limited by a tariff rate
quota in an effort to support market prices for domestic producers. Domestic sugar production in
Louisiana and other sugar- producing states depends on the continuation of a farm program that limits
the possibility of excess foreign imports driving down the domestic sugar price to the detriment of
domestic growers.
Arizona Debate Institute 2008 18
Holbrook State Economy DAs

Louisiana DA - 1NC shell 2/2

C. Louisiana growth key to the global economy


Alford 07 (10-30, “Louisiana touts itself as America’s main oil artery”,
http://www.houmatoday.com/article/20071031/NEWS0101/710310302.)
"Based on its energy-producing value to the nation, acre for acre, Louisiana is the most valuable real estate
in the nation," he said. "Two of the four strategic petroleum-reserve storage facilities are also in Louisiana.
Louisiana is a crucial part of America’s Energy Coast, and we need help." Val Marmillion, a Houma native
and director of the America’s Wetland Foundation, said special commissions have been formed to get the
facts that Melancon knows so well into the hands of industry leaders, conservationists and lawmakers.
Together, the Honorary Leadership Council and the Industry Council will promote sustainability policies for
the region and build support for restoring coastal landscapes. It’s just another layer to a complicated
marketing effort, but it’s different than Louisiana’s sole attempts at promoting solutions because it’s
geographically inclusive. In concert with Louisiana, Texas, Mississippi and Alabama represent the
seventh-largest economic engine in the world.

2. Global economic decline will bring Armageddon.


Bearden 00 (Tom, PhD Nuclear Engineering, The Tom Bearden Website, April 25, 2000, o/l:
http://www.cheniere.org/correspondence/042500%20-%20modified.htm, Accessed 5/11/07.]
Just prior to the terrible collapse of the World economy, with the crumbling well underway and rising, it is
inevitable that some of the weapons of mass destruction will be used by one or more nations on others. An
interesting result then—as all the old strategic studies used to show—is that everyone will fire everything as
fast as possible against their perceived enemies. The reason is simple: When the mass destruction
weapons are unleashed at all, the only chance a nation has to survive is to desperately try to destroy its
perceived enemies before they destroy it. So there will erupt a spasmodic unleashing of the long range
missiles, nuclear arsenals, and biological warfare arsenals of the nations as they feel the economic
collapse, poverty, death, misery, etc. a bit earlier. The ensuing holocaust is certain to immediately draw
in the major nations also, and literally a hell on earth will result. In short, we will get the great
Armageddon we have been fearing since the advent of the nuclear genie. Right now, my personal
estimate is that we have about a 99% chance of that scenario or some modified version of it, resulting.
Arizona Debate Institute 2008 19
Holbrook State Economy DAs

Louisiana – Uniqueness - Economy up


Louisiana economy up
The Bond Buyer.7-3 (Moody's, Following Standard & Poor's, Raises Louisiana's GO Rating;. SECTION:
Pg. 23 Vol. 365 No. 32915 ISSN: 0732-0469. LENGTH: 297 words. Byline: JIM WATTS
The Moody's analysts cited the state's steady recovery from the devastation caused by hurricanes
Katrina and Rita in 2005, as well as growth in the state economy and finances. Louisiana posted a $1
billion cash surplus for the end of fiscal 2007, and expects another large surplus in fiscal 2008.
Unreserved, undesignated general fund balance and rainy-day funds have grown to almost 14% of operating
revenues.The economic boost provided by federal government recovery aid has been significant and should
continue, the ratings report said. The federal government has allocated some $25 billion for disaster recovery
in Louisiana, but only $10 billion has been spent. Of the unspent funds, $4 billion is earmarked for housing,
with almost $10 billion designed for infrastructure projects. "The remaining $15 billion of allocated but
unspent federal disaster recovery funds ensure a steady source of capital to sustain the state's
rebounding economy," said analysts Emily Raimes and Maria Coritsidis.

Louisiana’s economy is on the rise post Katrina


Watts 4/15( The Bond Buyer. April 15, 2008. LOUISIANA: Katrina Surplus Helps to Lay New Groundwork.
BYLINE: Watts, Jim SECTION: Pg. 21A Vol. 364 No. 32859 ISSN: 0732-0469)
With state coffers overflowing due to hurricane recovery efforts, Louisiana is taking the opportunity to
build a firmer economic foundation. In March the Legislature met in special session to spend a $1.1 billion
surplus from fiscal 2007, with most of it going to roads, ports, and facility maintenance at state colleges and
universities State economists predict a $981 million surplus from fiscal 2008 when it ends in June.
Almost $800 million of the fiscal 2008 surplus is included in Gov. Bobby Jindal's fiscal 2009 budget for
health care programs, student scholarships, and other one-time expenditures. The official estimate for general
fund revenues in fiscal 2009 by the state Revenue Estimating Conference is $9.3 billion However,
projections are for a $1.2 billion shortfall in fiscal 2010, with general fund revenues slipping to $8.8 billion
as the state's rapid economic growth begins to slow down. The shortfall then escalates steadily to $1.9 billion
in fiscal 2013 with general fund revenues of $8.9 billion Louisiana's general obligation debt is rated A2 by
Moody's Investors Service, and A by Standard & Poor's and Fitch Ratings The state said it would begin a
program in 2008 to issue $300 million of GOs a year for state infrastructure projects. In addition to the GOs,
about $2 billion of gasoline and fuel-tax revenue bonds will be issued through 2012 to fund road, bridge, and
airport projects included in the Transportation Infrastructure Model For Economic Development program
Treasurer John N. Kennedy said the overwhelming legislative support for Jindal's economic development
package at the special session in March bodes well for the state's economic future. In addition to the
infrastructure funding, lawmakers also approved a number of business and personal tax cuts. "I think the
governor's economic development package is sound. I've seen projections that every $1 billion spent on
transportation infrastructure generates 40,000 to 50,000 new permanent jobs," Kennedy said. "We're
putting money into our state infrastructure, and it really needs it. We have a backlog of $14 billion of
road projects that we need to work on." He said Louisiana's robust economy since the hurricanes of 2005
isa result of the stimulation provided by billions of dollars in federal aid and insurance payments, and
by the surge in sales and income tax revenue generated from the efforts to rebuild the devastated
region "It's a function of the recovery, and the problem with the type of recovery that follows natural
disasters is that it does not last," the treasurer said. "Rebuilding comes to an end within five years. I hope I'm
wrong, but I feel this won't be permanent and the Louisiana economy will eventually return to normal."
Kennedy said the local economy should do well in 2008, regardless of what happens nationally.
Arizona Debate Institute 2008 20
Holbrook State Economy DAs

Louisiana – Uniqueness - Economy up


Louisianan economy strong – private assistance.
Watts 4/15 ( The Bond Buyer. April 15, 2008. LOUISIANA: Katrina Surplus Helps to Lay New
Groundwork. BYLINE: Watts, Jim SECTION: Pg. 21A Vol. 364 No. 32859 ISSN: 0732-0469)
"From an economic perspective, Louisiana has weathered the storms of 2005 relatively well given the
generous assistance and investment received from public and private resources," she said. "Though
recovery in New Orleans is slower than desired, it has become clear that a demographic shift is occurring in
our state as areas surrounding New Orleans continue to sustain the exponential growth experienced just
after the storms." Louisiana's economy is strong, she said, although some weak spots still exist "Certain areas
within our economy such as communication, health care, transportation, and coastal restoration have had a more
difficultpath to recovery," Davis said. The state's strong economy will buffer Louisiana from national
economic woes, according to Davis. "Our state is still in recovery mode from the storms of 2005, and the
elevated economic activity due to rebuilding and demographic shifts continues to help bolster revenue," she said.

Recession will not impact Louisiana


Watts 4/15 ( The Bond Buyer. April 15, 2008. LOUISIANA: Katrina Surplus Helps to Lay New
Groundwork. BYLINE: Watts, Jim SECTION: Pg. 21A Vol. 364 No. 32859 ISSN: 0732-0469)
"In addition, we are in the fifth year of increasingly high oil prices, a run-up which is mainly due to
increased demand from developing nations that are not expected to be strongly impacted by the
recession," Davis said. "With most oil price forecasts showing strong prices over the next few years
and a continued long-term commitment from federal and private sources to assist in rebuilding, it is
expected that Louisiana's revenue situation will not be negatively impacted by the recession."
Businesses in Louisiana will benefit from the ethics legislation enacted at the first special session in 2008 and
the tax cuts adopted at the second one, said Stephen Moret, secretary of the Louisiana Economic
Development Department.

Louisiana economy strong – new ethics reforms and trade access.


Watts 4/15 ( The Bond Buyer. April 15, 2008. LOUISIANA: Katrina Surplus Helps to Lay New
Groundwork. BYLINE: Watts, Jim SECTION: Pg. 21A Vol. 364 No. 32859 ISSN: 0732-0469)
"We recently adopted nation-leading governmental ethics reforms, including measures to increase
transparency and accountability, require detailed financial disclosure for the governor, legislators, and top
government appointees, and eliminate conflicts of interest," he said. "Gov. Jindal's first special session on
ethics reform resulted in laws that are transforming Louisiana from a low-performing state intoa national
leader in governmental ethics laws and enforcement," Moret said. "Already the Center for Public Integrity
has noted that Louisiana's new disclosure laws are the best in the U.S. "Louisiana has many current
advantages in economic development," he continued. "Our robust transportation assets include the
largest port system in the world for foreign trade with waterborne access via the Mississippi to 31 states
and two Canadian provinces, six interstate highways, and six Class One railroads. We have one of the most
productive manufacturing workforces in the U.S., aggressive state and federal incentives for economic
development, a variety of national-caliber higher education assets, and of course our unique food and
culture. Moret said the ethics and taxation changes pushed by the governor and enacted by the
Legislature will "position Louisiana as the next great American state for business investment,
economic opportunity, and quality of life." "Over the next few years, we expect Louisiana to develop a
reputation as one of the best-run, most accountable, and most transparent states in the country. And
we expect Louisiana to become known as an exciting new growth center in the U.S., a place with
increased economicopportunities, significant job growth, and massive amounts of new capital
investment."
Arizona Debate Institute 2008 21
Holbrook State Economy DAs

Link - Cotton
Cotton subsidies are key to the Louisiana economy
Webster 05 (Riichard, 3-28, International author contributor to New Orleans CityBusiness, La. cotton and rice
farmers speak out against Bush's proposed farm,
http://findarticles.com/p/articles/mi_qn4200/is_20050328/ai_n13479714.)
Louisiana cotton and rice farmers say President Bush's proposed farm subsidy cuts could drive them into
bankruptcy and their neighbors, too. In his proposed fiscal year 2006 budget, the president included a 5
percent cut in federal payments to farmers, projected to save $587 million in 2006 and $5.7 billion over the
next 10 years. The proposed cuts mean payments on rice and cotton in 2006 would decrease from $3.2 billion
to $3 billion In 2003, Louisiana received nearly $442 million in subsidies, ranking it No. 17 in the nation
for farm payments. If Bush's cuts were in place, the state would have received $420 million. Jackie Loewer,
a third-generation rice farmer in Acadia Parish, said the cuts will damage the ability of farmers to survive
and hurt ancillary businesses such as equipment and auto dealers, fertilizer suppliers, chemical
manufacturers, rice dryers and grain processors. Our communities, these small rural communities,
depend on farms and the infrastructure built around them, Loewer said. If we cut too hard and
farmers have to back way off on production, the infrastructure won't have enough volume to support
itself and it will dry up.

Cotton has huge influce over the Louisiana economy


Webster 05 (Riichard, 3-28, International aouthor contriubutor to New Orleans CityBusiness, La. cotton and
rice farmers speak out against Bush's proposed farm,
http://findarticles.com/p/articles/mi_qn4200/is_20050328/ai_n13479714.)
Steve Connelly, assistant deputy administrator for farm programs at the U.S. Department of Agriculture's
farm services agency, said the proposed cuts are necessary to lower the deficit. The belief within the Bush
administration is that the long-term effects of the deficit on interest rates could be greater than those
payment reductions, he said. Cotton crops had a $342 million impact on the Louisiana economy in
2005 while rice topped $197 million, according to the Louisiana State University Agricultural Center.
Arizona Debate Institute 2008 22
Holbrook State Economy DAs

Link - Rice subsidies


Rice subsidies are key to the Louisiana economy
Webster 05 (Riichard, 3-28, International author contributor to New Orleans CityBusiness, La. cotton and rice
farmers speak out against Bush's proposed farm,
http://findarticles.com/p/articles/mi_qn4200/is_20050328/ai_n13479714.)
Louisiana cotton and rice farmers say President Bush's proposed farm subsidy cuts could drive them into
bankruptcy and their neighbors, too. In his proposed fiscal year 2006 budget, the president included a 5
percent cut in federal payments to farmers, projected to save $587 million in 2006 and $5.7 billion over the
next 10 years. The proposed cuts mean payments on rice and cotton in 2006 would decrease from $3.2 billion
to $3 billion In 2003, Louisiana received nearly $442 million in subsidies, ranking it No. 17 in the nation
for farm payments. If Bush's cuts were in place, the state would have received $420 million. Jackie Loewer,
a third-generation rice farmer in Acadia Parish, said the cuts will damage the ability of farmers to survive
and hurt ancillary businesses such as equipment and auto dealers, fertilizer suppliers, chemical
manufacturers, rice dryers and grain processors. Our communities, these small rural communities,
depend on farms and the infrastructure built around them, Loewer said. If we cut too hard and farmers
have to back way off on production, the infrastructure won't have enough volume to support itself and
it will dry up.

Rice exports are vital to the Louisiana economy


Odom 01 (Bob, 7-6, Louisiana Commissioner of Agriculture and Forestry “DECLARATION OF
EMERGENCY”, http://doa.louisiana.gov/osr/emr/0706EMR001.htm.
Maintaining markets for Louisiana rice is vital to both Louisiana's rice industry and to Louisiana's
overall economy. The embargo by the European Union and the treat of an embargo by other rice
importing countries created an imminent peril to the welfare of the citizens of Louisiana and to
Louisiana's economy. The Seed Commission has determined that limiting the sale, distribution and planting
of seeds of Cheniere rice and other varieties of rice that test positive for LL traits will best serve Louisiana’s
rice industry. These rules are enabled by R.S. 3:1433.
Arizona Debate Institute 2008 23
Holbrook State Economy DAs

Link - Sugar
Increased sugar imports crushes Louisiana’s sugar industry
Salassi, Kennedy, and Breaux 03 (Michael E professor of Production Economics and Farm Management
Department of Agricultural Economics and Agribusiness Louisiana State University Agricultural Center, P. Lynn
william H. Alexander Endowed Professor of International Trade and Agribusiness Department of Agricultural
Economics and Agribusiness Louisiana State University Agricultural Center, Janis B william H. Alexander
Endowed Professor of International Trade and Agribusiness Department of Agricultural Economics and
Agribusiness Louisiana State University Agricultural Center, October, “Impact of Potential Bilateral Free Trade
Agreements on Projected Raw Sugar Prices and the Economic Viability of the Louisiana Sugar Industry”,
http://www.agecon.lsu.edu/Research_Publications/Electronically_Available_Pubs/SP2003-07.pdf.)
The oversupply situation of 1999 illustrates the price sensitive nature of the U.S. sugar market. Over
supply, from either domestic production or increased imports, can significantly reduce market prices
to sugar growers. In the 2002 farm bill, marketing allotments were reinstituted which serve to restrict
or limit domestic sugar production, thereby preventing excess production. However, ongoing
international trade negotiations could result in significant increases in the amount of foreign sugar
being exported into the U.S. Even with domestic marketing allotments in place, the magnitude of
potentially higher sugar imports could have significant consequences for the U.S. sugar industry,
including sugarcane production in Louisiana. Figure 2 shows the relationship between the U.S. raw sugar
price, the U.S. refined beet sugar price, and the world raw sugar price from 1995 through 2003. Refined beet
sugar prices have fluctuated around an approximate 25 cent per pound average. Raw cane sugar prices have
generally remained in the 21 to 22 cent per pound range, except for the decline in 1999. World raw sugar
prices have generally declined over the period, from about 15 cents per pound in 1995 to less than 10 cents
per pound today. One of the direct results of a potential expansion of sugar imports into the domestic U.S.
market, resulting from implementation of potential free trade agreements, would be a decline in the average
domestic sugar market price level. The magnitude of such price declines would depend upon the levels of
increased imports allowed into the country. In 2003, estimated breakeven raw sugar prices for sugarcane
growers in Louisiana was 20.7 cents per pound for harvest of sugarcane through second stubble and 19.8
cents per pound for harvest of sugarcane through third stubble (Breaux and Salassi, 2003). These estimates
represent the market price of raw sugar required for a sugarcane grower in Louisiana to be able to
cover all production costs at average yields. Reduction of raw sugar market prices below these
breakeven price levels, resulting from potential free trade agreements involving expanded importation
of sugar into the domestic market, would force many sugarcane growers, and possibly some raw sugar
mills in the state, out of business, as income from sugar production would not be sufficient to cover total
production and processing costs.
Arizona Debate Institute 2008 24
Holbrook State Economy DAs

Link - Sugar
Farm bill provides critical sugar price supports Key to the Louisiana economy
Melancon 08 (Charlie, Lous 5-21, “Rep. Melancon Votes to Override Farm Bill Veto”,
http://www.melancon.house.gov/index.php?option=com_content&task=view&id=895&Itemid=1.)
“Small farmers need the price stability and predictability the Farm Bill provides,” said. Rep. Melancon.
“Without a Farm Bill, farmers cannot secure the loans they need to plan for the coming season. The
President’s veto today hurts the lifeblood of the Louisiana economy, especially in the Third Congressional
District where growing sugar has been a way of life for centuries. While I am very disappointed in the
President’s veto, I am proud the House stood with farmers today and voted with overwhelming bipartisan
support to make the Farm Bill law.” At the urging of Melancon and other advocates for sugar producers,
Congress improved the sugar policy in several areas. The bill includes the first sugar loan rate increase in
nearly 25 years. The sugar loan rate has held steady at 18-cents per raw cane pound since 1985. This
measure will gradually increase that rate to 18.75 cents in 2011. The Farm Bill also creates a sucrose-ethanol
program to move surplus sugar into the ethanol sector. The program would be used only when imports
oversupply the domestic market and cannot be used to clear domestic blocked stocks. Since Mexican-
produced sugar has been able to enter the U.S. tariff free since Jan 1, 2008, this measure is particularly
important to domestic sugar producers. More than 27,000 Louisianans are employed by the state’s $1.7
billion sugar industry. Stable domestic sugar production and prices are necessary for our nation’s food
security since sugar-containing products account for more than 70 percent of all food manufacturing in
the U.S. The U.S. sugar policy has operated at no cost to taxpayers, which makes the program particularly
appealing given current budget deficits.

Importated sugar tanks Louisianans economy


Ussugar.com 03 (10-9, “Trade Talks in Works Could Devastate U.S. Sugar”
Industryhttp://www.ussugar.com/press_room/press%20kits/sugar%20trade/cafta.pdf.)
Rochelle said if, based on the study, lenders expect that “in the near future the sugar industry would be
over run by foreign subsidized sugar, the premature dismantling of the sugar program, and the
consequence of sugar prices below production for any country, it would put the state of Louisiana and
its delicate economic base in great jeopardy.” Sugarcane is by far Louisiana’s most valuable crop.
Arizona Debate Institute 2008 25
Holbrook State Economy DAs

Sugar key Louisiana Economy


Sugar is Key to Louisiana’s economy
American Sugar Cane League 8, (The Louisiana Sugar Industry,
http://72.14.205.104/search?q=cache:BEf3mVokrvwJ:www.amscl.org/SugarIndustry.pdf+Sugar+Industry+%2B+Louisiana&hl=en&ct=clnk&cd=
4&gl=us)
Sugarcane is being produced on nearly 450,000 acres of land in 23 Louisiana Parishes. Production
should exceed fourteen million tons of cane with an economic impact of $1.7 billion to the cane growers
and raw sugar factories of the state. Louisiana produces about 20% of the sugar grown in
the United States (beets and cane). Approximately 27,000 employees are involved in this production and
processing of sugar in Louisiana alone
Arizona Debate Institute 2008 26
Holbrook State Economy DAs

Agriculture K to Louisiana Economy


Agriculture is critical to Louisiana economy
Theriot 99 (Jack, 6-19, the secretary treasurer Louisiana Farm Bureau Federation, WTO Listening Session,
http://www.fas.usda.gov/itp/wto/tennessee/theriot.html)
In 1998 the total volume of agriculture commodities produced in the state were estimated at $9.6 billion
and agriculture is the economic engine of our state. This snapshot of Louisiana agriculture and dits
diversity is not unique to our state, and if you look at a composite of other states agricultural industries, you
will find a similar picture. The significance of these numbers are that when we consider our state in
total, 704 million dollars in exports must be weighed against agricultural enterprises that supply
domestic markets. It is important to note that these markets in aggregate exceed the value of export
crops in our state. So while our organization strongly supports agreements that would provide greater
market access for our state's agricultural producers of export commodities, we must also consider framing
our trade objectives so that as we pursue securing greater market access for export commodities, we also
recognize that not all agriculture commodities are export bound.
Arizona Debate Institute 2008 27
Holbrook State Economy DAs

Brink - Louisiana sugar industry


The Louisiana sugar industry is on a precipice increasing imports will dictate the
inevitable collapse of the economy
Salassi 08 (Michael E., Spring, “Economics of sugarcane production: What does it take for this industry to
survive?”, Dept. of Agricultural Economics & Agribusiness Louisiana State University
http://www.lsuagcenter.com/en/communications/publications/agmag/Archive/2008/Spring/Economics+of+sugar
cane+production+What+does+it+take+for+this+industry+to+survive.htm)
The Louisiana sugar industry currently faces critical economic challenges from several sources, all of
which will have a significant impact on what this industry will look like over the next decade.
Sugarcane production costs per acre have risen dramatically over the past several years. Raw sugar market
prices have historically varied within a rather narrow range and have actually trended downward slightly
since 1990 (Figure 1). Although increases in average sugarcane yield have generally kept pace with rising
production costs over the years, the substantial rise in diesel fuel and nitrogen fertilizer costs since 2005 have
squeezed much of the profit out of sugarcane production. Total estimated sugarcane production costs for
Louisiana have risen from $447 per acre in 2005 to a projected $615 per acre in 2008 (Figure 2). Increased
energy prices have caused fuel costs to rise from 10 percent to 18.1 percent of total sugarcane production
costs and fertilizer costs to rise from 13.3 percent to 18.3 percent of total sugarcane production costs. A sugar
yield of 7,000 pounds per harvested acre would require a raw sugar price of 17.3 cents per pound to cover
variable production costs and a price of 22.6 cents per pound to cover total estimated production costs in
2008 (Table 1). In addition, international trade agreements, such as the North American Free Trade
Agreement (NAFTA) and the recently approved Dominican Republic-Central American Free Trade
Agreement (DR-CAFTA), have opened up the domestic U.S. sugar market to potentially more foreign
imports, which would reduce market prices for sugar producers in Louisiana as well as across the
country. Under the current sugar farm program, the USDA supports U.S. sugar market prices by using
allotments to restrict marketing of domestically produced sugar. Increased foreign imports of sugar
could cause the USDA to restrict domestic production to maintain the market price. Limiting
production increases fixed costs per unit of output for both sugarcane farms and raw-sugar factories.
Arizona Debate Institute 2008 28
Holbrook State Economy DAs

Louisiana Key to Economy


Louisiana is key to the regional economy
PR Newswire 07 (5-14, “Gov. Blanco: Louisiana Has Established a Stronghold In the Global Economy”,
http://www.dra.gov/media/article_detail.aspx?articleID=1074.)
"To be selected as one of two finalists from among 20 states and 6 sites for a project of this magnitude is a
tremendous honor and proves that Louisiana is moving forward with extraordinary momentum. Our
Louisiana team worked diligently to make it to this point in the process, and we will remain focused on
fostering relationships with the many other companies interested in this location and countless others that
recognize the value in doing business across Louisiana. Our success with this project demonstrates
Louisiana has established a stronghold in the global economy and can successfully compete for world-
class projects." Gov. Blanco was pleased to receive the following statement from Bob Soulliere, President
and CEO of ThyssenKrupp Steel and Stainless USA: "This was a very difficult decision. Louisiana made
an excellent proposal and demonstrated many important and valuable attributes for business development.
Governor Blanco and her team made a tremendous effort and the professional approach of officials in
Louisiana made our decision all the more difficult. We thank the Louisiana state team for their hard work,
dedication and commitment to the selection process. "We recognize this announcement comes as a
disappointment to many people in Louisiana, particularly those who worked so hard on this project. We are
committed to fostering regional partnerships that will benefit the wider regional economy and remain
steadfast believers in Louisiana as a viable economic engine."
Arizona Debate Institute 2008 29
Holbrook State Economy DAs

2NC sugar industry/1

Louisiana is a uniquely key area for sugar production. It accounts for 1/5 of the US’s sugar
growth
American Sugar Cane League, 08
(“The Louisiana Sugar Industry,” July 8th, http://www.amscl.org/SugarIndustry.pdf, Date accessed: 8/2/08)
Sugarcane is being produced on nearly 450,000 acres of land in 23 Louisiana Parishes. Production
should exceed fourteen million tons of cane with an economic impact of $1.7 billion to the cane growers
and raw sugar factories of the state. Louisiana produces about 20% of the sugar grown in the United
States (beets and cane). Approximately 27,000 employees are involved in this production and processing
of sugar in Louisiana alone. Of the U.S. sugar producing areas, Louisiana is the oldest and most historic.
Sugarcane arrived in Louisiana with the Jesuit priests in 1751 who planted it near where their church now
stands on Baronne Street in New Orleans. Several plantations were planted in what is now the city limits of
New Orleans and in 1795, Etienne deBore, first granulated sugar on a commercial scale in Audubon Park.
Except for disastrous production years during the Civil War, during a disease epidemic of the 1920’s, and
from 10 degree freezing temperatures affecting the 1990 crop, the Louisiana sugarcane industry has
continued to increase in productivity, mainly due to improved varieties, cultural practices, pest control
and sugar processing techniques. The Louisiana sugarcane industry is currently in its third century of sugar
production.

Key to the national economy


Jones 03 (Calvin, CEO – Wyoming Sugar Company, Federal Document Clearing House Congressional
Testimony, “Domestic Natural Gas Supply Shortage”, 6-19, Lexis, Accessed: 6/8/2005)
I am here representing the Beet Sugar Industry as part of a much larger "Sweetener Industry" that consists
of sugarbeet, sugar cane and corn. This industry annually creates $21.1 billion of economic activity in 42
states. The industry provides American consumers with high quality sweeteners for various applications.
American consumers pay 22 percent less than their counterparts in other developed countries. The beet sugar
segment of this industry plants over 1,400,000 acres of sugar beets in 12 states that are processed by 27 beet
sugar factories. The industry creates 88,200 full time direct and indirect jobs for people across the nation.
Wyoming is one of the 12 sugar beet producing states where over 400 growers produce about 56,000 acres of
sugar beets. Those beets are then processed by three factories operated by two companies, Wyoming Sugar
Company, LLC and Western Sugar Cooperative. The economic activity generated in the state of Wyoming
each year by the Sweetener Industry is $159,600,000.1 The US Sweetener Industry is integral to the
national economy, as a well as each state where sweeteners are grown and processed.
Current United States sugar policy allows efficient U.S. beet, cane and corn growers and processors to
compete against unfair foreign subsidies and trade practices. The program provides reliable supplies of
sugar at fair and stable prices.
Arizona Debate Institute 2008 30
Holbrook State Economy DAs

2NC sugar industry/2


Multiple factors make Louisiana uniquely key to the us sugar industry
ODOM, LOUISIANA COMMISSIONER OF AGRICULTURE, 03
(BOB, Farm Service Agency, “REMARKS MADE BY LOUISIANA COMMISSIONER OF AGRICULTURE AND
FORESTRY BOB ODOM REGARDING TRANSFER OF SUGAR ALLOTMENTS,” 1/29,
http://www.fsa.usda.gov/Internet/FSA_File/bob_odom_transfersugar_012903.pdf, date accessed: 8/2/08)
Over the next two centuries, Louisiana farmers and scientific researchers have been the leaders
worldwide in developing new varieties, cultural practices, pest control strategies and sugar processing
techniques. For more than two centuries then, Louisiana has developed the technology, the
infrastructure and the markets to grow, process and market sugar. Sugar is Louisiana’s largest
agricultural industry. Sugar cane is grown in 25 parishes and results in some $700 million to the farm
community. In addition, the value to the farmer does not take into account all the ancillary jobs related to
the sugar that make up the commercial foundation and business infrastructure of all of South
Louisiana. The total economic impact to Louisiana each year is in excess of $1.7 billion. Sugar is by far
the largest income generator within all of Louisiana agriculture. Sugar is the backbone of the heritage,
the history and the economy of south Louisiana. The value of cane and sugar to Louisiana is evident. But
talk of moving sugar cane farming to California or Arizona ignores an essential ingredient readily
available in Louisiana that is sorely lacking in those two states.
Arizona Debate Institute 2008 31
Holbrook State Economy DAs

***Florida***
Arizona Debate Institute 2008 32
Holbrook State Economy DAs

Florida DA – 1NC Shell


A. Florida economy is improving, indicating the worst is over.
Orlando Business Journal, 7–11-8
“Florida economy starting to improve, slowly.”
http://orlando.bizjournals.com/orlando/stories/2008/07/14/story2.html?t=printable, July 11, 2008.
The worst of the state's recession is over.
So says Evangelos Otto Simos, chief economist for Durham, N.H.-based Infometrica.
His firm runs e-forecasting.com, which just issued a new report saying Florida's leading economic
indicators showed improvement in May, for the second straight month.
And that, Simos says, may signal the bottom of the economic cycle has come and gone. "The economy is
still not good, but it won't become worse than it is. It's the beginning of the turnaround."

B. Sugar is key to Florida’s Economy


Alvarez and Polopolus 2 (Jose and Leo C., Professor, Department of Food and Resource Economics, Everglades Research and
Education Center, Belle Glade, FL and Professor Emeritus, Department of Food and Resource Economics, Florida Cooperative Extension
Service, Institute of Food and Agricultural Sciences, University of Florida, Gainesville, FL., The Florida Sugar Industry,
http://edis.ifas.ufl.edu/SC042#FOOTNOTE_1)

The Florida sugar industry is a major component of the state's agricultural economy. Cash receipts
from the sale of raw sugar and molasses have exceed $800 million per year in the last years of the 1990s and
first seasons of the 2000 decade. The revenue generated by the sugar industry has a significant impact
on southern Florida and the state's economy. When the multiplier effect is taken into account, the Florida
raw sugar industry generates gross sales of over $2 billion in the state and creates several thousand full-time
equivalent jobs in Florida.
After establishing the contribution of the raw sugar industry to the regional and state economies, Mulkey and
Gordon (1979) made some important statements in the first economic impact study conducted by the Department
of Food and Resource Economics at the University of Florida. More than 20 years later, those statements are still
true:
At present there are uncertainties regarding United States and international sugar policies. Potential changes
in policy are likely to have important implications for the Florida sugar industry and for the economy
of the four-county sugar producing area. Information on the contribution of the sugar industry to the
regional economy is a necessary input into policy decisions which affect the sugar industry and,
subsequently, the entire regional economy (p. 2)... Any public policy then which affects the size of the
sugar industry has important implications for total economic activity in the sugar producing region,
implications extending far beyond the sugar industry itself. These implications would seem to warrant
serious considerations in the sugar policy arena (p. 27).
Arizona Debate Institute 2008 33
Holbrook State Economy DAs

Florida DA – 1NC Shell 2/2


C. Florida key to the US economy - exports contribute to 25% of the national GDP
Economist 8 http://www.economist.com/world/unitedstates/displaystory.cfm?story_id=10650727
In Florida, Nevada and Arizona the story is similar: plunging house prices, rising foreclosures and disproportionate increases in
unemployment. Not all is gloomy: in these states, as in the rest of America, strong global growth and the weak dollar have buoyed
export industries and boosted tourism. (Orlando International Airport, the gateway to Disney World, saw a record number of passengers last
year.) But these positives have failed to counter the drag from housing and weaker consumer spending. Mark Zandi, chief economist at Moody's
Economy.com, reckons that all four bubble states, along with Michigan, are already in recession. Together, he points out, they make up
25% of America's GDP.

2. The U.S. economy accounts for 30% of the world economy – a collapse would be
devastating
The Guardian on 6/4 (Ashley Seager, economics correspondent, “World still dependent on US economy, says
Bush adviser”, http://www.guardian.co.uk/business/2008/jun/04/useconomy.usa)

Ed Lazear, chairman of the Council of Economic Advisers, said that the idea of decoupling would only be
realistic if the US's share of the world economy had fallen and if international trade flows dried up. But, he
said, the giant US economy still accounts for 30% of the world total and trade flows have increased in recent
years. "It is difficult to argue that the rest of the world is less connected to the US and not more connected,"
Lazear said at a conference of the Organisation for Economic Cooperation and Development in Paris.

3. Global economic decline will bring Armageddon.


Bearden 00 (Tom, PhD Nuclear Engineering, The Tom Bearden Website, April 25, 2000, o/l:
http://www.cheniere.org/correspondence/042500%20-%20modified.htm, Accessed 5/11/07.]
Just prior to the terrible collapse of the World economy, with the crumbling well underway and rising, it is
inevitable that some of the weapons of mass destruction will be used by one or more nations on others. An
interesting result then—as all the old strategic studies used to show—is that everyone will fire everything as
fast as possible against their perceived enemies. The reason is simple: When the mass destruction
weapons are unleashed at all, the only chance a nation has to survive is to desperately try to destroy its
perceived enemies before they destroy it. So there will erupt a spasmodic unleashing of the long range
missiles, nuclear arsenals, and biological warfare arsenals of the nations as they feel the economic
collapse, poverty, death, misery, etc. a bit earlier. The ensuing holocaust is certain to immediately draw
in the major nations also, and literally a hell on earth will result. In short, we will get the great
Armageddon we have been fearing since the advent of the nuclear genie. Right now, my personal
estimate is that we have about a 99% chance of that scenario or some modified version of it, resulting.
Arizona Debate Institute 2008 34
Holbrook State Economy DAs

Florida Uniqueness – Economy Strong Now


Florida economy is resilient, the job market is growing.
Vitner 7
Mark Vitner is a senior economist at Wachovia Corp., the giant North Carolina-based financial institution that is one
of Florida's largest lenders. “Aside from housing, expert says Florida's economy is doing well.” Herald Tribune.
http://www.heraldtribune.com/article/20071029/REALESTATE/710290378, October 29, 2007.

The state's economy overall is both doing far better than most people think and, at the same time, struggling
along the lines everybody thinks, too. The housing industry is incredibly weak, but parts of the state are doing
very well, especially in Central Florida, where industrial products producers continue to do very well.

In addition, exports continue to expand. In short, the housing sector remains weak, but the rest of the state's
economy has been very resilient. We're still adding jobs at a faster rate than the rest of the country, and
unemployment is a full percentage point below the rest of the country.
Arizona Debate Institute 2008 35
Holbrook State Economy DAs

Florida – Link - Sugar


Loss of sugar will cause entire towns to disappear as jobs do.

Ruane, July 30, 2008. (Diane, News- Press.com) “Clewiston Ponders it’s Future”
http://www.newspress.com/apps/pbcs.dll/article?AID=/20080730/NEWS01/807300404/1002

More than $1.6 billion a year, and more than 10,000 jobs.
That's the hit counties in South Florida could take if the state buyout of U.S. Sugar Corp. happened now,
according to a draft research paper by University of Florida agricultural economists. Key findings, still unpublished
by the university, were first reported Tuesday in news-press.com. The economic impact estimates were for
Hendry, Glades and Palm Beach counties. "Some big numbers ... pretty scary," said Miller Couse, chairman &
CEO of First Bank of Clewiston, who saw a copy of the report Monday. In Clewiston, a community of 7,000 that
brands itself "America's Sweetest Town," emotions differed over how the sale of U.S. Sugar might reshape
their futures. Clewiston resident Alphonso Lyman called the pending sale "bad.""We don't talk about it," he said.
Lyman is a 17-year employee of the sugar company that has dominated the economy of the Lake Okeechobee
region for more than 70 years. Downtown at the Common Grounds coffee shop, owner Lori Williams said: "This
community is strong. I don't think this city is going to go under." Williams acknowledged not everyone shares her
hopefulness."I think a lot of people will be scared," Williams said. "They will uproot, and they will go."
Impacts are expressed in 2008 dollars, although the deal allows U.S. Sugar to continue operations for up to six
years. The document lists its authors as Alan W. Hodges, W. David Mulkey, Thomas H. Spreen and Rodney L.
Clouser of the UF's Institute of Food and Agricultural Sciences. It was prepared at the request of Florida Farm
Bureau. Researchers acknowledged they assumed some outcomes unlikely to occur, including a complete and
permanent end to all agricultural operations formerly done by U.S. Sugar. The report doesn't include estimates of
new revenues from environmental restoration and management after the sale."The economic impacts of the U.S.
Sugar Corp. buyout will be very large in magnitude," said the report, dated July 23, as its bottom line. It said
the effects could be particularly acute in Glades and Hendry counties. Hendry is where where the company's
main processing plants are. "It's showing a worst-case scenario," Couse said of the economists' report.Couse noted
in the Clewiston area, where his family grows sugar cane, "people still cannot figure out how this (transaction)
will be pulled off. Who's going to own U.S. Sugar or will they let it close? "If that industry closes here, it
would be devastating to our community," Couse said.

Loss of sugar jobs hurt the local economies


Lantigua 8 (JOHN Palm Beach Post Staff Writer, June 30, Palm Beach Post, GLADES DREADS 'TRAUMATIC' LOSS OF SUGAR
JOBS)

That is because the relationship between the largest sugar companies in the Glades -- U.S. Sugar and Florida
Crystals -- and the cities in this depressed rural area has always been both dependent and prickly.
Local leaders have long accused Big Sugar of keeping such a tight rein on its land that it has stifled the progress of
the small cities.
Now U.S. Sugar is divesting itself of its land. But the pending loss of jobs and the secrecy with which the company
conducted negotiations to sell its 187,000 acres to the state is resented here.
"Many people are shocked to hear this out of the blue," said Linda Johnson, a South Bay city commissioner. "The
state made this deal, but we need to be at the table to help decide how our cities will survive.
"With unemployment out here already high, the price of gas what it is, making it so expensive to commute, with
many people having worked at U.S. Sugar for so long, what are those folks going to do for work now?" Johnson
said. "We need to know the state's plans. I know we have six years, but we have to start now."
The sugar industry has been the major employer in the region since it was settled in the early 20th century. And,
despite constant efforts, few other businesses have come to the Glades, 50 miles from the coast.
The area is so depressed that no Wal-Mart, Kmart, Publix or movie theater does business in the towns.
Leaders sound alarm
Given those facts, the immediate reaction to the news from local leaders was one of deep dismay.
"It's going to be dramatic and traumatic," said Ken Lutz, former president of the Belle Glade Chamber of
Commerce.
"We still have lots of people who drive back and forth to Clewiston every day to work for U.S. Sugar," Pahokee
Mayor Wayne Whitaker said. "It's gonna hurt us real bad."
South Bay Mayor Shirley Walker-Turner was equally worried.
Arizona Debate Institute 2008 36
Holbrook State Economy DAs

***Aff***
Arizona Debate Institute 2008 37
Holbrook State Economy DAs
Arizona Debate Institute 2008 38
Holbrook State Economy DAs

Minnesota - Non-Unique – Economy Low Now


Minnesota is in a recession
Baxter 7-16 - 08 (Annie, Minessota public radio,
It was only about 10 months ago that talk of a recession in this country started heating up. But the
beginnings of the slowdown in Minnesota can be traced back several years, to a time when the state was
adding thousands of jobs a month, and gas was less than $2.50 a gallon. St. Paul, Minn. — Here's why we're
doing this. All the economic indicators are blinking red. Gas costs $4 a gallon, food prices have been up
5 percent over last year, and U.S. payrolls have shed more than 400,000 jobs. As early as January,
Minnesota's state economist had seen enough to say the state was already in recession.It's tough times
for a lot of people. And a big question is: How and where did it all start?

Unemployment is at record highs


Kubly 6-26 - 08 (Gary, state senator, “Minnesota unemployment reaches 17-year high”,
http://www.senate.leg.state.mn.us/members/member_pr_display.php?ls=67&id=1794.)
A new report issued last week by the Department of Employment and Economic Development (DEED)
indicated that the state’s recent economic slump is showing no signs of ending soon. In May, the state’s
jobless rate jumped to 5.4 percent, its highest level since 1991, and a 12 percent increase over April.
Additionally, the report revealed that Minnesota has lost over 10,000 jobs in the past two months,
essentially negating the modest job growth experienced in the beginning of 2008. “The data in this report
pertains to the state as a whole. This is the first time I’ve seen in many years where the rural part of the state are actually doing better
than the metro area during an economic slowdown. Good economic times for agriculture has helped rural businesses as well,” noted Sen.
Gary Kubly, DFL-Granite Falls. “Having said that however, over the past 12 months, job growth in the state has been virtually
nonexistent. Without significant new employment, the number of job seekers per job opening has risen considerably. As a result, it is
taking laid-off workers longer to find new employment, meaning more and more people are exhausting their unemployment benefits
before returning to the workforce. This is particularly troublesome when you consider the rising cost of food, gas, and energy that are
draining family budgets. While the state’s economic outlook remains troubling, the legislature took several steps
during the 2008 Legislative Session to spur job growth in the state, and protect workers who have been impacted by recent job losses.
The legislature made major new investments in the state’s infrastructure, passing both a transportation funding bill as well as two
capital-investment packages that support local economic-development projects in communities across the state. These investments will
not only promote long-term, sustainable job-growth in Minnesota, but will bring immediate relief to the struggling construction industry.
Since its peak in 2006, employers in the state’s construction sector have shed nearly 20,000 jobs. “Getting Minnesota’s economy on the
right track means supporting local economic development in every community in the state,” said Sen. Kubly. “This session, we passed
smart investments that will create new jobs across Minnesota and provide a much-needed boost to our economy.” Sen. Kubly added that
the legislature also advanced a plan to provide additional support to laid-off workers who struggle to reenter the workforce. The plan
contains a 13-week unemployment benefit expansion for workers in counties that have been hit hardest by recent job losses, which
would be available until June of next year. In addition, the plan requires the state’s Unemployment Insurance Advisory Council to
develop recommendations regarding how future benefit extensions could be implemented to meet the changing needs of the state’s
workforce. “Rebuilding the state’s economy will take time, and it could take months or years until we’ve
fully recovered,” said Sen. Kubly. “In the meantime, we cannot ignore the needs of families impacted by layoffs and lagging job
growth. I’m hopeful that we can take a serious look at the state’s Unemployment Insurance system, and work to find cost-effective ways
to protect Minnesota families.”

Business confidence is tanking


Creighton university news 7-1 (Mid-America Business Conditions Index,
ttp://www2.creighton.edu/publicrelations/newscenter/news/2008/july2008/july12008/goss_mid_am_nr070108/in
dex.php.)
Minnesota: For the fourth time in the past six months, the Business Conditions Index from a survey of
supply managers in Minnesota slipped below growth neutral. The index, a leading economic indicator,
declined to 49.0 from May’s tepid 51.8. Components of the overall index for June were new orders at 48.1,
production at 50.9, delivery lead time at 57.4, inventories at 49.1, and employment at 41.5. “Minnesota firms
experienced weak business activity for June. Pullbacks for transportation-equipment manufacturers and
food processors more than offset expansions for other manufacturers. The Minnesota business
confidence index at 29.6, was the lowest in the nine-state region and reflects the economic uncertainty
facing firms in the state,” said Goss.
Arizona Debate Institute 2008 39
Holbrook State Economy DAs

Minnesota – Turn - Soybeans


Sugar subsidies jack Minnesotan soybean exports
Bovard 98 (James, April, policy advisor to The Future of Freedom Foundation, “The Great Sugar Shaft”,
http://www.fff.org/freedom/0498d.asp.)
The sugar program has also decreased soybean exports. In the Red River valley of Minnesota, heavily
subsidized sugar growers have bid up the rents on farmland by more than 50 percent. As a result,
relatively unsubsidized soybean farmers can no longer find sufficient land to grow soybeans, America's
premier export crop. This illustrates how restrictions on imports become restrictions on exports.

Soybeans key to Minnesota’s agriculture


Hilber 02 (Don, April, Consulting Economist, Research and Statistics Office Minnesota Department of
Economic Security, Regional Spotlight: Northwest Minnesota, Food, Farming and Free Trade,
http://www.deed.state.mn.us/lmi/publications/review/0402rs.htm)
Despite this, the agricultural products from the Northwest are not generally bound for global markets, at least
not directly. Sixty-three percent of Minnesota's farm exports in 1999 were feed grains (mostly corn) and
soybeans. Red meat and vegetables each accounted for another 10 percent— mainly hogs, green peas and
sweet corn. Wheat accounted for only 3.0 percent, a level roughly matched by dairy and poultry. So the
primary exporters reside in the south, not the north of the state. Presently, the products of Northwest
Minnesota mainly serve domestic markets. Some, such as dairy products, eggs and potatoes, are difficult
to ship long distances given their weight-to-value or refrigeration needs. Sugar beets compete with imports.
And that is the question for farm policy in the region. A more open system worldwide would favor products
in which the United States has a competitive advantage, primarily meats and feeds. Other nations can under-
price on row crops and on tropical products like citrus, cotton and sugar. All are now heavily supported by
either payments or quotas. Emerging market nations will hammer at the U.S. to give them access to our
consumers. With a small number of jobs in food manufacturing and a rising share of farm income
from government payments, the fate of the Northwest Region hinges on national and worldwide policy
decisions that will be made during the next few years. And there will be plenty of action as Congress re-
debates the Freedom to Farm Act, China joins the World Trade Organization, and a new round of contentious
trade talks gets underway. The Northwest's unique mix of products may be a geographic necessity, but it
leaves few allies elsewhere in the nation when votes are needed for continued price supports. The region
might be wise to develop additional value-added production, particularly in the more widespread, lucrative
and export-oriented livestock business.

Key to the overall economy


Hilber 02 (Don, April, Consulting Economist, Research and Statistics Office Minnesota Department of
Economic Security, Regional Spotlight: Northwest Minnesota, Food, Farming and Free Trade,
http://www.deed.state.mn.us/lmi/publications/review/0402rs.htm)
The importance of agriculture to Northwest Minnesota's economy is unmistakable. Several other
industries can claim to constitute the area's economic base: tourism, specialized manufacturing
(dominated by wood products and recreational equipment), and providing services such as healthcare to
retirees. But agriculture still leads the pack. Together, farming and food manufacturing account for a
higher-than-expected level of total employment in the area (compared to the state average) than
healthcare, retail stores, eating and drinking places and durable manufacturing. Farming commands a
greater relative share of personal income than any of the other contenders. And agriculture is the only
element of the economic base to permeate the entire 25-county area: tourism, manufacturing and
healthcare are each mainly located in specific sub-regions or concentrated in a few nodes.
Arizona Debate Institute 2008 40
Holbrook State Economy DAs

Minnesota - Turn – Tradeoff w/Other Industries


Sugar subsidies kills job growth in other Minnesota sectors
Edwards 07 (6-20, Before joining Cato in 2001, Edwards was senior economist on the congressional Joint
Economic Committee examining tax, Social Security, and entrepreneurship issues. “Why Congress Should
Repeal Sugar Subsidy” http://www.cato.org/pub_display.php?pub_id=8381.)
Most sugar beet production is in Minnesota, Idaho, North Dakota, Michigan and California. Most
sugarcane production is in Florida and Louisiana. Not surprisingly, policymakers from those states usually
block sugar reform. Nonetheless, policymakers from Illinois and other such states, which have food
companies damaged by high sugar prices, are challenging the current program. High sugar prices
harm manufacturers of candies, chocolates and breakfast cereal. A 2006 study by the Commerce
Department found that for each sugar industry job saved by the sugar program, nearly three food
manufacturing jobs are lost. The study found that:
* Employment in food companies that use substantial amounts of sugar is declining. Imports of foo d
products that contain sugar are growing because it is not competitive to make those products in the
U.S.
* Numerous companies have relocated to Canada and Mexico, where sugar prices are much lower.
* Chicago, once the nation's candy manufacturing capital, has lost thousands of jobs. In 2004, candy maker
Fannie May closed its Chicago factory and Brach's moved its Chicago candy production to Mexico.
* Michigan took a hit in 2002, when Kraft moved its 600–worker LifeSavers factory to Canada in search
of low–cost sugar.
* Hershey Foods closed plants in Pennsylvania, Colorado and California and relocated them to Canada as
well.
Arizona Debate Institute 2008 41
Holbrook State Economy DAs

Minnesota - No Internal Link – Manufacturing Key


Manufacturing is key to the Minnesota economy not agriculture
Minnesota Department of Finance 07 (Janurary, “State Revenues On Target Since November Forecast”,
http://www.finance.state.mn.us/ffeu/updates/2007/0701update.pdf.)
In the early 1960’s much of Minnesota’s economic activity was attributable to its abundant resources.
The state’s agricultural, mining, and forestry sectors and the associated manufacturing activity in the food
processing, lumber and wood products, and paper industries accounted for about 19 percent of total state
product, 9 percentage points more than the national average. Since then Minnesota has evolved into a
diversified manufacturing-services based economy. The resource-based sectors have grown, but they
have not grown as fast as other parts of the economy. Now manufacturing, trade, and finance are the
largest contributors to Minnesota’s Gross State Product. The changes in Minnesota’s economy that have
occurred since the 1960s have created an economy very similar in structure to that of the national economy.
Manufacturing is now a greater proportion of the Minnesota economy than it is for the national
economy, as are the trade, financial services, and management services sectors. The information sector and
the leisure and hospitality industry are a smaller share of Minnesota’s economy than the national economy.
The government sector in Minnesota also comprises a smaller share of the state’s economy than it does, on
average, nationally
Arizona Debate Institute 2008 42
Holbrook State Economy DAs

Minnesota - Mexico Economy turn


Mexican economy slowing- US downturn spilling over
Garr 8 (Emily, Economic Policy Institute [http://www.epi.org/content.cfm/webfeatures_snapshots_20080709] As
U.S. construction slows, remittances to families in Mexico decline/ July 9, 2008)
More remittances are sent to Mexico in May than any other month of the year, driven in part by the number
of immigrants (a majority of them Mexican) working in construction. With the deflating housing bubble
and the decline of construction jobs in the first quarter of 2008, the unemployment rate of Hispanic
immigrants rose to 7.5%, and Hispanic construction workers now earn less than they did in the first
quarter of 2006.1 The continuing economic slowdown in the United States will undoubtedly affect
Mexicans on both sides of the border.

Eliminating subsidies would cause an influx of Mexican sugar onto the market it be huge
for their economy
Ma 04 (Kevin, 12-13, author for the journal of Canadian studies, “A BITTERSWEET RECIPE: CANDY,
SUGAR, NAFTA, AND THE STRUGGLE FOR A NORTH AMERICAN SWEETENER STORE”,
http://revista.amec.com.mx/num_8_2004/Ma_Kevin.htm.)
These new regulations should cause some big changes to the pre NAFTA balance of power. Article 303, fully
implemented, would be a huge victory for Canadian sugar producers. Likewise, Annex 703.3 would make
life sweet for Mexican sugar producers, as the US would have to give in to Mexico’s demands for fewer
restrictions on their exports. Furthermore, with the elimination of most of its sugar subsidies, Mexico
could easily undercut the price of US sugar and flood the US with sugar exports, handing it a massive
economic victory. Candy producers would gain the most of all: NAFTA’s investment provisions would let
them move factories and products across boarders cheaper, and its sugar provisions would bring North
American (read: US) sugar prices in line with the rest of the world, cutting their production costs. As a
result, back in 1994, the post NAFTA world looked sweet indeed for candy producers, and Canadian and
Mexican sugar producers.
Gonzaga Debate Institute 2008 43
Scholars File Title

Minnesota – Impact - Mexico not Key to Global economy


Mexico does not have a drastic effect on the world economy
Smith and Walter 95+ (Roy C. NYU Kenneth Langone Professor of Entrepreneurship and Finance, Seymour
Milstein Professor of Finance, Ingo Corporate Governance and Ethics at the Stern School of Business, New York
University
http://books.google.com/books?id=Js1vyvBTLlsC&pg=PA199&lpg=PA199&dq=%22tequila+effect%22,+mexico&
source=web&ots=LxDKJg8R3F&sig=q7xbD0BIlT4 gZmHjJY3q6ZQmvA&hl=en&sa=
X&oi=book_result&resnum=1&ct=result#PPA199,M1 )
The tequila effect was limited and did not last long, except in Mexico. The paper rightly points out that the
Mexico crisis resulted in an overhang, the tequila effect, in Mexico and many other emerging markets in the
first quarter of 1995. But there has been a substantial correction since then (Figure 1, data from the IFC’s
Emerging Markets Data Base). Stock markets in Argentina, Indonesia, Malaysia, and Thailand, for
example, soon recovered and were at the same level or higher at the end of 1995 compared with January
1994. Since then , equity markets have further recovered in many emerging markets.
Gonzaga Debate Institute 2008 44
Scholars File Title

Louisiana – Non-Unique – Economy Low Now


Louisiana economy tanked in the squo high oil prices
Moses 7-10 -08 (Caroline, WAFB reporter,“Governor Jindal offers suggestions related to oil”,
http://www.wafb.com/Global/story.asp?S=8631309)

Louisiana's economy does not always shift with the rest of the country. In fact, when oil and gas
are in high demand and the rest of the country is struggling to pay up, parts of Louisiana profit.
However, Governor Jindal says other key parts of the state's progress lose big. "Many years,
thought as the price of oil went up, that was overall good thing for Louisiana's economy.
We certainly have many jobs in the emergency sector, we certainly are pleased energy sector is
doing well. But also have many jobs in manufacturing center, in service industry that
negatively are impacted by high costs of energy." Among those impacted negatively are
people looking for new jobs. Jindal says new companies avoid coming to Louisiana because
energy prices are so high. "They're looking at multi-billion dollar investments overseas
versus continuing to invest here in Louisiana." Jindal says the best way to gain more economic
development opportunities for the state is to find alternative sources of fuel fast. "We're going to
pursue tax policies to promote research and develop aggressively to pursue grants and other
investments similar research."
Louisiana’s economy sucks it up and needs to improve

The Times 7-25 (La.'s credit improves, but work remains,


http://www.shreveporttimes.com/apps/pbcs.dll/article?AID=/20080725/OPINION03/807250305/1058,)

The boom in energy prices in an oil-and-gas producing state doesn't hurt. And a lot of dollars are still being spent on
hurricane recovery, meaning construction jobs and revenue from materials. But the Council for a Better Louisiana
also credits some fiscal areas state government is getting right: a conservative method of projecting state revenues
that helps hold down spending; a strong, legislatively mandated "rainy day" fund of about three-quarters of a billion
dollars; a variety of trust funds that provide ongoing revenues for coastal restoration, education and health care. The
sobering news, CABL points out bond ratings are tied with California for lowest in the country. In quizzing the
Standard & Porr’s credit analyst who prepared Louisiana's report, CABL found the states economies one
drawback citing a lack of diversification and low household incomes So take the good news about our credit
ratings to appreciate that some state policies are tracking in the right direction, but know there remains ground to
make up
Gonzaga Debate Institute 2008 45
Scholars File Title

Louisiana – Non-Unique – Economy Low Now


Louisiana economy is structurally doomed
The Daily Reveille 7-16 (“Column: Gas prices aren't figment of our imagination”,
http://www.uwire.com/Article.aspx?id=1046966)

With gas prices rising day after day and paychecks not going as far as they used to, Americans have been hit
both at the pump and in the wallet. Louisiana is no exception -- and for far too many Louisianans, rebuilding
costs are being offset by the price of refueling their cars. But these troubling facts have not affected the
Republican platform this year. Just ask Sen. Gramm. "We have sort of become a nation of whiners," Gramm told the
Washington Times. "You just hear this constant whining, complaining about a loss of competitiveness, America in
decline. Misery sells newspapers. Thank God the economy is not as bad as you read in the newspaper every day."
The reaction was immediate. Democrats were quick to haul out the ridicule wagon, and even John McCain was
forced to distance himself from his campaign's top financial policy maker despite releasing statements earlier in the
day defending Gramm. By the end of the day, the consensus and an uneasy truce seemed to be reached between the
Republican party and the press; only John McCain spoke for John McCain, and he shouldn't be held responsible for
the descriptions of his policies formulated by his designated surrogates and policy gurus. Unfortunately for the
McCain campaign, McCain himself has repeatedly characterized America's economic policies in much the same
way -- and suggested his own solutions to it are the antidepressants Sen. Gramm implied Americans need. Earlier
this year at a West Palm Beach, Fla., town hall meeting held Jan. 24 -- and available on YouTube -- McCain asserted
America's economic downturn is all in our heads. "A lot of this is psychological," McCain said. "A lot of it's
psychological." McCain asserted the same sentiment this past April on Fox News with Neil Cavuto. Cavuto asked
McCain about the benefits of McCain's plan to rescind an 18-cent gas tax during the summer. "I'm very concerned
about it, Neil. And obviously the way it's been going up is just terrible," McCain said. "But I think psychologically -
and a lot of our problems today, as you know, are psychological - the confidence, trust, the uncertainty about our
economic future, ability to keep our own home. This might give them a little psychological boost. Let's have some
straight talk, it's not a huge amount of money." And a little less than one month ago at a June 23 rally in Fresno,
Calif., McCain said much the same thing when linking America's wars in Iraq and Afghanistan to gas prices. "I am
confident that, uh, the, the conflicts that we are in in both Iraq and Afghanistan have also a bearing on that. Even
though it may take some years, the fact that we are exploiting those reserves would have psychological impact that I
think is beneficial," McCain said. So, far from committing a media gaffe, Gramm seemed to be articulating a talking
point long established by McCain. And this should trouble us both as Louisianians and University students. We live
in a rural state. Many of us reside in an industrial city that just happens to have a major university smack in the
middle of it, and -- as many of our international students have discovered -- having a car in Baton Rouge isn't a
luxury. It's a necessity. Unlike many other big cities in America, Baton Rouge's public transportation is simply
incapable of making busing convenient. Its streets are too clogged with traffic to make biking safe or
particularly efficient - and the climate doesn't help either. We are stuck with the economy we have right now,
just as when we graduate, we will be living in the economy the next president, Congress and Senate leave us. Rising
gas prices hit a lot harder when there is no workable alternative to driving. So, Louisiana politicians need to
answer some tough questions this coming election - especially those running on the Republican economic
platform articulated by McCain. Does prospective vice presidential candidate and current Gov. Bobby Jindal agree
with Sen. McCain that a large part of the economic problems in America are psychological? Are rising gas prices a
figment of our imaginations? Would Jindal suggest Louisianians see a therapist rather than ask our
representatives in Washingto to address national economic malfeasance? Or would an exorcist suffice?
Gonzaga Debate Institute 2008 46
Scholars File Title

Louisiana – Sugar Link Turn


N/U and Turn – Louisiana sugar farms losing profitability now, subsidies only divert
critical funding

Michel 4 (Norbert Ph.D., is a policy analyst in the Center for Data Analysis at The Heritage Foundation, March 7, Nothing, sweet about
sugar subsidies, http://www.heritage.org/Press/Commentary/ed031204a.cfm)
The fact is, because of foreign competition -- which is not going away -- American farmers no longer can
earn sufficient profit from sugar. But rather than switch to more profitable crops, these farmers lobby
Congress to restrict imports from foreign countries or levy tariffs to make foreign sugar uneconomical.
As a result, they prolong their precarious positions, and Americans pay two to three times what the rest
of the world pays for sugar.
Worse yet, most of the support money goes not to struggling family farmers but to megafarms. Indeed,
one Florida family, the Fanjuls, receive nearly half of all the benefits from the sugar-support program.
Perhaps Ryan subscribes to the "moderate" view on tariffs -- that keeping the price of domestic sugar
artificially high for a few years will enable the industry to restructure and move toward more profitable
endeavors. But for how many years? Louisiana sugar producers have been protected by tariffs almost
continuously since 1816. Import quotas on sugar have existed since 1934, except for one eight-year break that ended when
President Reagan re-established them in 1982.
Despite the assistance, the industry has continued to shrink on its own. The number of sugar mills in
the state has fallen from 46 in 1960 to 24 in 1980 to fewer than 20 today, even though the mills have
become more productive. And now Sen. Landrieu -- and almost every other Louisiana politician -- opposes
the Central American Free Trade Agreement, a plan that would double import quotas for sugar but take 15
more years to do it.
What if, rather than propping up Louisiana's sugar industry since 1934, market forces had instead
been allowed to dictate the best uses of the state's land and labor? What would have become of the
state's great sugar plantations? Would they have switched to more profitable, more dependable crops
or -- with the help of those dollars that went to sugar support -- to non-agricultural uses?
We can't say for sure, but we can say that we'd have paid less for sugar over the past 70 years. We also can
say we would've spent far fewer tax dollars to enrich a few wealthy landowners and that more of our
land and labor would have been used for more profitable ventures.
Moreover, anyone who followed the state's recent election for governor heard two words repeatedly --
"brain drain." It's a huge issue in Louisiana, and both candidates rolled out plans to stop the exodus of
the state's educated citizens and create more opportunities for them at home.
Might more prudent use of the millions that went to "save" the sugar industry over the last 70 years
have prevented this brain-drain crisis? Again, we can't say for sure. But we can say that when resources
are diverted from their best use for decades on end, it forces those who are not members of the
privileged sugar families to go elsewhere for opportunities.
Gonzaga Debate Institute 2008 47
Scholars File Title

Florida – Non–Unique - Economy Low Now


1Florida is in recession

CNNMoney ,08/01/08,CNNMoney.com,
http://money.cnn.com/news/newsfeeds/articles/apwire/56323bb0343913a0040c68e8b5664531.htm#TOP
NEW YORK (Associated Press) - Economists from the Wachovia Economics Group said that Florida is
officially in a recession.
In a report released Thursday, Wachovia analysts said Florida's economy declined at its sharpest rate in 16
years during 2008's second quarter.
Analysts predict that the state will lose momentum through 2008, then bottom out late this year or in
early 2009.
There is one bright spot.
Tourism has held up well, the report said, with the number of visitors to the state up 3.4 percent

Recession now in Florida

Helen Huntley, 08/01/08, Time personal finance Editor,


http://www.tampabay.com/news/business/article751252.ece
Wachovia economists confirmed Thursday what many Floridians already felt in their bones:
The state is in a recession.
In its first down quarter in 16 years, the Florida economy shrank 1.6 percent during the second
quarter. It was the state economy's worst performance since 1991. The numbers produced the most
miserable showing of all the large states and a sharp contrast to the U.S. economy, which grew 1.9 percent.

1Florida’s Economy low- weather, housing, lack of energy growth

Tampa Bay Business Journal ,07/31,08, Tampa Bay Business Journal


(http://www.bizjournals.com/tampabay/stories/2008/07/28/daily45.html)
“Our Florida utilities benefited from better weather than last year, but the continued weak Florida
economy and housing market limited customer and energy sales growth. Various forecasts earlier in
the year indicated that the housing market was expected to bottom out in 2008, but the credit and
housing issues appear to be deeper and more protracted than were forecast even a few months ago,”
Hudson said.
Gonzaga Debate Institute 2008 48
Scholars File Title

Florida – Non–Unique - Economy Low Now


Florida’s economy low for another year

Jennifer Larino, 07/11,08, Orlando Business Journal , Contributing Writer


(http://www.bizjournals.com/orlando/stories/2008/07/14/focus1.html)
The University of Central Florida was hit with the second part of a one-two punch last week when the
state announced plans to cut the school's funding by another $10.9 million.
This latest news comes on top of plans already under way at UCF to cut its colleges' funding for 2008-
2009 by $13.9 million after budget shortfalls resulted in reduced funding for education, social services
and other programs statewide.
Forecasts calling for the current slow economy to last at least one more year means UCF can expect even
more bad news next year, says UCF Provost Terry Hickey. "I don't think it's unreasonable to expect another
reduction."

Housing market is down

Susan R. Miller, 07/29/08, South Florida Business Journal, Associate Director, Information Services and Systems
(http://www.bizjournals.com/southflorida/stories/2008/07/28/daily21.html?q=Florida%20economy)
The news remains grim for South Florida’s housing market, with numerous factors in play that
continue to stave off a recovery in sales of new and existing homes.
A week economy, higher energy prices and bad news coming from financial markets are keeping
potential buyers at bay, according to a report released Tuesday by Metrostudy.
“While builder cutbacks and discounted pricing are having an effect on reducing the inventory of homes, the
tightening of credit standards has removed a sizable number of formerly qualified buyers from the market,
and the uncertainty surrounding Fannie Mae and Freddie Mac represents additional financial market
problems,” said Mike Inselmann, president of Metrostudy, a national housing tracking and consulting
company.

Florida housing market crash effects national economy


Adrian Burns, 07/25/08, Business First of Columbus,
(http://www.bizjournals.com/columbus/stories/2008/07/28/story4.html?q=Florida%20economy)

A market that once seemed like a banker's Valhalla for its fountain of growth is instead weighing
heavily on the Ohio banks that ventured there.
A line of Midwestern banks in recent years traveled to Florida in an effort to tap the state's red-hot real
estate market and robust economic growth. But the housing market there has turned ice cold and the
state's economy has declined with it - woes that are wreaking havoc for the banks that once had high
hopes for their forays.
Gonzaga Debate Institute 2008 49
Scholars File Title

Florida – Non–Unique - Sugar Industry ↓ SQ


Sugar buyout to cost $1.6 billion revenue, and a loss in 10,700 jobs

Laura Layden, 07/30/08, naples news, (http://www.naplesnews.com/news/2008/jul/30/study-sugar-buyout-cost-


16-billion-revenue-10700-j/)
Florida’s buyout of U.S. Sugar Corp. may bring more water to the Everglades, but it will be a huge
drain on the state’s economy.
The deal could wash away $1.64 billion in revenue annually and 10,711 jobs statewide, a draft study by
University of Florida/IFAS researchers found.

US sugar buyout will costs thousands of jobs

Laura Layden, 07/30/08, naples news, (http://www.naplesnews.com/news/2008/jul/30/study-sugar-buyout-cost-


16-billion-revenue-10700-j/)
Most of the lost jobs would be in agriculture. But manufacturing jobs also would disappear and so
would at least 500 jobs in transportation and warehousing, retail trade, health and social services and
government, according to researchers.
Most of the hurt will come from the loss of the company’s sugar cane operations because it’s the bulk
of its business, with about 150,000 acres dedicated to the crop. About 7,018 jobs could be wiped out
statewide.
Gonzaga Debate Institute 2008 50
Scholars File Title

Florida – Turn - Environment


Florida’s strong economy destroys the Everglades
R. Weisskoff, 99, Economic Systems Research, Vol. 12, No. 3, 2000
(Received January 1999; revised November 1999) Missing Pieces in Ecosystem Restoration 273,
http://exchange.law.miami.edu/everglades/science/weisskoff/missingpieces.htm

In summary, South Florida's strong economy compounds its environmental problems: an expanding
agricultural and commercial society serving a large tourist, retiree, and transient population. All this
surrounds North America's only semitropical and largest remaining wetland, the Florida Everglades.
The conflict between the economic growth of South Florida and the Everglades is occurring on four fronts
(see the right-hand map in Figure 1). In the northern and central stretches of the ecosystem, the growth of
Orlando's suburbs, the cattle lands of the Kissimmee River Valley, the diking of Lake Okeechobee, and the
drainage of the Everglades Agricultural Area (EAA) have all resulted in changing the quality and quantity of
the downstream flow to the remaining Everglades. To the southwest of Lake Okeechobee, new areas are still
being opened for cattle, citrus, and vegetable production. To the east, only the 100 mile-long protective levee
restrains the expansion of the Miami-Ft. Lauderdale metropolitan areas into the Everglades, and three large water
conservation areas, actually vast holding tanks, compartmentalize what once was the 'River of Grass'. To the south,
Florida Bay and the Keys receive the nutrient-rich runoff from canals that drain the nearby eastern counties.
The cities thrive as the Everglades die, despite the $1.1 billion already spent on restoration projects.4