Reducing agricultural subsidies in Iran threatens food security and environment.
The study looked at how giving subsidies for farming supplies affects agriculture, the economy, food security, household welfare, and the environment in Iran. By using a special method, the researchers found that cutting subsidies for agriculture could lower food production and raise prices, which might hurt food security. They also discovered that reducing subsidies could lower the welfare of both city and country people. However, cutting subsidies could help reduce pollution in the environment. Farmers might struggle if subsidies are cut, leading to lower production in agriculture compared to other industries. The study suggests gradually reducing subsidies while giving cash to farmers, especially those in rural areas.