Generate text that refutes this claim: CAP is costly and unfair to other industries  Currently CAP costs the European Union approx. 40% of its whole budget. However, this money is used to provide subsidies for industry that only employs less than 5 % of workforce and creates less than 2 % of GDP. [1] We can easily assume that nearly half of EU’s budget can be used more effectively and can, instead, be used to support other, more potential industries which can boost the currently sluggish economic growth. Moreover, the subsidies for European farmers are so high they can contribute up to 90 % of farmers’ pre-tax income. [2] No other industry has such privileges – when European coal and iron industry became uncompetitive and needed to be slimmed down, the European union did not subsidise the industry to such degree even though such action could have saved thousands of jobs.  [1] Charlemagne, ‘Milking the budget’, The Economist, 22 November 2012,   [2] The Economist, ‘Europe’s farm follies’, 8 December 2005,
business economic policy international europe house believes eu should abandon
The importance of agricultural industry cannot be valued on the merit of how much percent of GDP it creates. It is one of the industries that are vital for the society as whole – without food the society cannot properly function. In the case of complicated world we are now living in food security – the ability to be self-sufficient in producing food at least to some degree – is important. Also agriculture is not the only industry which is subsidised – the subsidies to other industries such as coal and steel come directly from member states’ budget and not EU’s. Thus for example Germany subsidizes car production by about $1300 per vehicle. [1] The 40% figure is therefore deceptively high as it is the only industry through which subsidies go through the EU budget rather than individual member states.  [1] Davison, Remy, ‘Far from pole on car subsidy grid’, Business Spectator, 26 July 2013,