Lemmy Lemmy:
It's more complicated than that. We like certainty in our markets. Paying a slightly inflated price is a fair trade off to remove wild swings in prices.
Who's "we"? The government or the Canadian people? I wouldn't exactly call the inflated prices placed upon Canadian consumers as "slight", either. Actually, it can get rather excessive, like with dairy.
$1:
When the market price crashed in the pork industry in the early 90s, there were pig farmers dangling from their barn rafters all over Ontario. When agricultural markets aren't regulated, investment capital is scared away by the risk.
Couldn't this be said for any, and every industry in existence? Plus, don't co-ops exist for this reason? Farming is a risky industry, to be sure, but there are ways to cushion that risk without having an enforced monopoly, no?
$1:
It's not necessary, but it definitely adds stability to the market, as well as making agriculture profitable. Without price controls, you remove incentives to invest in agriculture and, ultimately, chase that production out of the country. Personally, I don't mind paying a little more for my agricultural products in order to keep those industries viable and our food supply domestic.
So how do American agriculture industries survive? They certainly don't have the same protections as is afforded to farmers by the CWB, or dairy farmers in Quebec, and yet there is still a relatively healthy farming sector in the United States.