America’s Food System at a Crossroads: Abundance, Impacts, and Policy Shifts

America’s Food System at a Crossroads: Abundance, Impacts, and Policy Shifts

The United States food system is a vast engine that feeds hundreds of millions daily, from the sprawling cornfields of the Midwest to the corner stores of inner cities. It delivers an unprecedented bounty of affordable food – Americans spend only about 11–13% of household income on food on average [1][2] – yet this abundance comes with hidden costs and inequities. Today, that system faces converging pressures: ecological strain, social challenges like hunger alongside obesity, and economic shifts. At the same time, sweeping new policy agendas under the current administration (guided by the conservative “Project 2025” blueprint) and the recently enacted “One Big Beautiful Bill” budget law are reshaping how the food system serves those at the base of the pyramid (BoP) – America’s low-income communities. What follows is an executive summary in narrative form, tracing the state of the U.S. food system and how recent policies impact society’s most vulnerable.

Ecological Footprint: From Farm to Environment

America’s food abundance rests on a massive ecological footprint. Agriculture occupies hundreds of millions of acres of land and consumes vast water resources. In 2015, U.S. farms used about 118 billion gallons of water per day for irrigation – nearly half drawn from over-tapped groundwater aquifers [3]. Fertilizer runoff from Midwestern farms each summer feeds a colossal “dead zone” in the Gulf of Mexico (reaching ~8,800 square miles, the largest measured since 1985) [4], choking aquatic life. The heavy use of agro-chemicals – nearly 900 million pounds of pesticidesannually – contributes to soil degradation and biodiversity loss [5]. Meanwhile, farming is a significant emitter of greenhouse gases: about 24% of total U.S. emissionsin 2022 came from agriculture (methane from cattle, nitrous oxide from fertilized soils, etc.) [6], plus processing, packaging, transport. Its footprint, accounts for roughly 12% of U.S. energy consumption [7]. In short, the ecological cost of our food system is substantial – from depleted soils and polluted waters to a warming climate – raising concerns about long-term sustainability.

Yet current policy shifts signal a retreat from environmental stewardship. The administration’s Project 2025 plan openly downplays climate change and seeks to “eradicate climate change references from absolutely everywhere” in federal policy [8]. It calls for rolling back emissions-curbing regulations and even abolishing the National Oceanic and Atmospheric Administration (NOAA), a key agency for climate and weather science [8]. This approach favors short-term economic activity over environmental protection, but it could leave food and farm systems more vulnerable. Climate extremes – droughts, floods, heatwaves – already threaten crop yields and drive up food prices. Loosening environmental safeguards may worsen these impacts, hitting low-income and rural communities hardest (they often lack resources to adapt). In neglecting sustainability, the current trajectory risks undermining the very ecological foundations of America’s food security.

Social Dimensions: Abundance Amid Inequity

Socially, the U.S. food system is marked by a paradox of plenty. Food is plentiful and relatively cheap, yet millions go hungry or lack nutritious diets. Even before recent policy changes, over 13.5% of U.S. households (18 million households, ~47 million people) experienced food insecurity in 2023, a rate that rose for a second year [9][10]. Hunger disproportionately affects low-income families, children, and communities of color. At the same time, diet-related illnesses from poor nutrition are widespread – about 41% of U.S. adults are obese and diet-linked conditions like heart disease and diabetes are rampant [11]. Many low-income neighborhoods are so-called food deserts, lacking supermarkets with fresh produce. Families in these areas rely on convenience stores or fast food, leading to nutritional deficits even when calories are ample. This nutritional divide contributes to health disparities and higher healthcare costs.

Labor and community well-being are also at stake. The food system employs over 22 million American workers (more than 1 in 10 jobs) when counting farms, food processing, grocery and restaurant workers [12]. Many of these jobs – from farm fields to meatpacking plants to restaurant kitchens – are low-wage and physically demanding. A significant share of farm labor is performed by immigrant and migrant workers (around 41% of hired farmworkers lack legal work authorization [13]), often under difficult conditions. Yet Project 2025’s agenda pushes for more “flexibility” for employers: it urges easing worker safety rules for small businesses and keeping overtime pay thresholds low in rural industries [14]. While framed as helping family farms or small firms, such rollbacks could leave farm and food workers (already among the lowest-paid) with fewer protections on the job [14]. In parallel, the administration has “ramped up spending on immigration enforcement”, leading to more workplace raids and deportations [15][16] – a climate of fear that can further marginalize immigrant food workers and their children in schools.

Perhaps the starkest social symptom of our food system’s imbalance is the coexistence of food waste and hunger. The U.S. throws away an estimated 30–40% of its food supply each year [17] – an annual loss of around 350 pounds of food per person [17] – even as food banks see long lines. This inefficiency has both environmental costs (wasted energy, overflowing landfills) and moral ones. Bridging this gap – channeling surplus food to feed the needy, for instance – is a constant challenge for charities and local governments. Public nutrition programs like SNAP (food stamps) and school meals have been critical in reducing hunger and poverty. SNAP in particular is the nation’s most effective defense against hunger, serving ~42 million people [18]. It not only feeds families but also pumps money into local economies during hard times. Likewise, free school meal programs ensure millions of children get nourishment that aids their learning and health.

Economic Significance: Farms, Food, and Finance

Economically, the food system is a pillar of the U.S. economy, though often an invisible one. Agriculture and related industries contribute over $1.5 trillion to U.S. GDP (about 5.5%) [19]. The farm sector itself is only ~0.8% of GDP [19], but it underpins huge value-added industries: food processing, transportation, retail, and restaurants. In fact, restaurants and food service are the largest employers in this sector, with over 12 million workers [20] (many of whom are low-income). The American food dollar is now mostly spent beyond the farm gate: farmers receive only about 14.5 cents of each consumer food dollar (down from 40 cents in 1975) [21], as agribusiness, distributors, and retailers capture the rest. This reflects a highly consolidated food system, where a few big firms dominate. Four companies control roughly 85% of U.S. beef packing and a similar share of soybean processing [22]. Giant grocery chains and big-box retailers have concentrated market power (the top 4 food retailers sold 35% of America’s food in 2019, up from 15% in 1990 [22]). This consolidation can drive efficiency and keep consumer prices low, but it can also squeeze farmers, limit competition, and make the supply chain brittle (as seen when single meat plants closing due to COVID caused national disruptions).

Government policy has long shaped the economics of food and farming – from crop insurance to nutrition assistance. A notable feature of U.S. policy is that nutrition programs (like SNAP and school meals) constitute the bulk of federal “food and farm” spending, far exceeding direct farm subsidies [1]. In essence, public investment in the food system has often focused on feeding people (especially the poor) rather than propping up prices – a recognition of food’s role as a social safety net. However, the way subsidies are structured still influences what foods are abundant and cheap. About 70–80% of farm subsidies go to commodity crops like corn, soy, wheat, and cotton, which cover most cropland [23]. Fruits and vegetables (“specialty crops”), though vital for health, receive relatively little support. This imbalance has meant raw ingredients for processed foods (corn for sweeteners, soy for oil, grain for livestock feed) are inexpensive, while healthier produce can be pricier – one factor in why low-income diets skew toward calorie-dense, processed items. Economists note that if fruits and veggies were subsidized to lower their price, consumption among low-income Americans would likely rise [24]. In short, economic signals in the food system often don’t align with public health needs.

Current economic realities further complicate the picture. In recent years, inflation hit grocery bills hard. Food prices jumped significantly in 2022 and have remained “persistently elevated” into 2024–2025 [25]. By the end of 2024, even the maximum SNAP benefit (boosted by inflation adjustments) did not cover the cost of a modest meal in 99% of U.S. counties [26]. The average meal cost about 20% more than what SNAP benefits could afford [27]. This means low-income families have been struggling with a widening gap between food costs and assistance, often having to choose between paying for groceries or other essentials. These economic pressures make the role of public nutrition aid more critical – precisely at a time when new policies are pulling that aid back (to curb federal spending). It’s a one-two punch for the Base of Pyramid Economy: high living costs and reduced support.

Project 2025: A Blueprint for Reshaping Government

Enter Project 2025, the comprehensive conservative policy blueprint that is guiding the current administration’s agenda. Unveiled by a network of right-leaning think tanks, Project 2025 envisions a dramatic restructuring of federal governance and a reversal of many prior policies. At its core, Project 2025’s philosophy is to shrink the federal government’s role in social programs and regulation, shift responsibilities to states and the private sector, and assert a more muscular executive branch to implement a nationalist, “America First” agenda [28][29]. In practice, this means major changes across the board – from education and welfare to environmental and labor policy. Key objectives of Project 2025 include:

  • Tightening the Social Safety Net: Impose stricter work requirements and limits on welfare programs. For example, the plan calls for work requirements for individuals on SNAP (food stamps) [30] and Medicaid, predicated on the belief that aid should be conditional on employment. It also recommends ending or cutting programs seen as “dependency” inducing – even proposing to eliminate free school meals for low-income students and to end Head Start preschool for poor children [31]. These changes reflect an emphasis on personal responsibility and cost-cutting, albeit at the risk of reducing services for vulnerable groups.

  • Reducing Federal Aid and Equity Programs: Project 2025 views many anti-poverty and equity initiatives as federal overreach. It advocates letting a major funding stream for low-income schools expire (Title I of the Elementary and Secondary Education Act, worth ~$18 billion) [31]. It frames education and nutrition as private goods rather than public goods, meaning such needs should be met by families or local charities, not guaranteed by Washington [31]. In line with that, the blueprint explicitly calls for cutting nutrition assistance – one document derided efforts to expand SNAP benefits and pledged to scale them back to pre-2021 levels [18][32].

  • Deregulation and “Energy Dominance”: On the economy, Project 2025 pushes for deregulating industries, including agriculture and energy. It casts environmental regulations and climate policies as hindrances to growth. The plan was written by officials who include prominent climate change skeptics [33], and it recommends scrapping numerous climate initiatives (e.g. reversing course on emissions standards and pulling out of international climate accords) [8]. It even suggests abolishing agencies like NOAA and sharply cutting research on climate or sustainable agriculture, which are seen as politicized [8]. The emphasis is on maximizing domestic energy production (oil, gas, even coal) and industrial output, with minimal federal interference, signaling a clear pivot away from sustainability goals.

  • Consolidating Power and Cutting “Woke” Programs: The blueprint also has a political dimension – it aims to consolidate more power in the Executive branch, making federal agencies more directly answerable to the President. Civil service protections would be rolled back so that thousands of federal employees could be replaced to ensure loyalty to the agenda [34][28]. Many progressive-leaning programs are targeted: diversity and equity initiatives, certain civil rights enforcement, and anything deemed “woke” is to be excised. For instance, Project 2025 recommends closing the Department of Education entirely and transferring its functions elsewhere [35][36]. It is a sweeping vision of a smaller welfare state and a more centralized authority, rooted in traditionalist and free-market principles.

In summary, Project 2025 provides the ideological justification for cutting public assistance and deregulating the economy, under the promise of boosting self-reliance and growth. These objectives have directly influenced policy moves in 2025. The current administration – aligned with this blueprint – has moved quickly to implement many of its recommendations, especially via the budget. The most prominent example is the budget reconciliation package known colloquially as the “One Big Beautiful Bill.”

The “Big, Beautiful” Budget Bill: Impact on Low-Income Americans

Volunteers pack boxes of canned goods for a community food program. With cuts to federal nutrition aid on the way, food banks anticipate increased demand as low-income families struggle to fill their pantries.

On July 4, 2025, President Trump signed into law the One Big Beautiful Bill Act – a sweeping tax and budget bill that encapsulates much of the Project 2025 agenda in fiscal terms. Despite its celebratory name, this law brings historic cuts to America’s safety net programs, even as it extends tax cuts mainly benefiting higher earners and businesses. For low-income communities at the base of the pyramid, the “Big Beautiful”bill is poised to have far-reaching effects, particularly through changes in SNAP (food assistance) and related supports:

  • Deep Cuts to SNAP: The law slashes funding for the Supplemental Nutrition Assistance Program by roughly $186 billion over the next decade – about a 20% cut to SNAP’s budget [37]. Analysts note this is the largest cut in the program’s modern history, undoing expansions from recent years [18]. The result is that an estimated 5 million people will lose some or all of their food benefits, including 800,000 children [38]. These are not mere numbers – they translate to millions of families having less to spend on groceries each month. With food prices still high, anti-hunger experts warn this will push many into deeper food insecurity [25]. Food banks and pantries, already strained, expect “barren cupboards” at home to become more common [39][40]. In fact, charities in some states report demand outpacing supply as people turn to emergency food aid to fill the gap [41]. In short, the SNAP cuts alone are projected to increase hunger and poverty in America [25] – a stark reversal after decades of progress (hunger had been trending down before the pandemic).

  • Tougher Work Requirements: The budget bill imposes strict work requirementson adults receiving SNAP, echoing Project 2025’s call for “personal accountability.” Able-bodied adults without dependents (ABAWDs) now must work at least 80 hours per month or lose benefits after a time limit. Crucially, the law raised the age limit of those who must meet these rules – now adults up to 64 years old (previously 49) are subject to work requirements [42]. It also narrowed exemptions for parents: whereas before, any caretaker of a child under 18 was exempt from work rules, now only those with children under 14 are exempt [43][44]. In practice, this means parents of older teenagers must work to keep benefits, even if affordable childcare or suitable jobs are out of reach. Advocates argue these changes are out of touch with reality – many caregivers or older adults struggle with finding work due to age, health, or caregiving responsibilities [45]. Studies have shown that strict work requirements often do not lead to stable employment, but they do lead to eligible people being dropped from aid [46]. Indeed, many people cut off are actually working poor who cannot navigate the added paperwork in time [47][48]. The administration claims the goal is to “reinforce work” and reduce dependency [49], but the likely outcome is fewer people receiving help – by design, some Republicans see the caseload reduction as a victory regardless of the human cost. States are bracing for thousands of newly ineligible households, and some Republican-led states that philosophically oppose welfare may not step in to help. As one anti-hunger advocate put it, “A vote for this bill will result in more kids facing hunger – in every state, in every community” [50].

  • State Burdens and Reduced Funding: The law fundamentally changes SNAP’s financing, ending the federal government’s full funding guarantee. Starting in 2028, states will be required to cover a share of SNAP benefits out of their own budgets if their error rates in administering the program are above minimal levels [51][52]. Even states with efficient programs will see higher costs: the federal reimbursement of state administrative expenses for SNAP will drop from 50% to 25% [53][54]. In essence, Washington is handing states a huge bill – for example, Texas might have to find over $1 billion per year to keep its SNAP running at current levels [55]. Many state governors, Democratic and Republican, warned that they cannot absorb these costs without cutting benefits or tightening eligibility [56]. Some even hinted they might withdraw from SNAP entirely if forced to pay a quarter of benefits [57] – a scenario that would be unprecedented, potentially leaving needy families with no assistance in those states. This devolution of responsibility aligns with Project 2025’s vision of shrinking federal roles, but it could create a patchwork of hunger relief, where access to food aid depends on your state’s politics and budget. Meanwhile, the federal dollars “saved” here have been redirected to pay for tax cuts and other priorities [58][59].

  • Restricting Eligibility and Future Benefits: The budget bill tightens who can get help. It eliminates SNAP eligibility for many legal immigrants who had been allowed (such as refugees and asylees or long-residing aliens), restricting aid mostly to U.S. citizens and long-term green-card holders [60]. It also terminates funding for SNAP’s nutrition education program (SNAP-Ed) after 2025 [61] – a move that quietly cuts community programs teaching low-income families how to shop and cook healthy on a budget. Perhaps most consequentially, the law changes how benefit levels are calculated in the long run: it mandates that updates to the Thrifty Food Plan (the USDA’s market basket for a basic diet, which determines SNAP benefit amounts) be “cost neutral” in future revisions [32]. This wonky phrase means that when the government revises the food basket (normally to reflect newer nutrition guidance or real rising costs), it cannot increase the overall cost of SNAP. In other words, benefits beyond inflation are effectively frozen at current real levels [32]. Nutrition advocates call this provision “dangerously misguided” [62], as it ignores the reality that the Thrifty Food Plan was deemed inadequate in the past. (In 2021, USDA raised SNAP benefits ~25% after finding the old Thrifty diet unrealistically sparse – that kind of adjustment would now be forbidden [63][62].) Freezing the basket locks in the gap between benefit levels and actual living costs, meaning SNAP will not keep pace with true expenses for low-income families over time.

  • Ripple Effects on Children and Communities: Cuts to SNAP don’t just affect those households directly; they also spill over into other supports. For instance, when children live in a SNAP-enrolled family, they are automatically certified for free school meals. If their parents lose SNAP, the kids may no longer get free lunch at school unless the family navigates an application process (which many may not, due to language barriers, stigma, or simple confusion) [64]. School districts also rely on overall low-income enrollment numbers to qualify for the Community Eligibility Provision (CEP), which allows high-poverty schools to serve free meals to all students without paperwork. With fewer students on SNAP, fewer schools will meet the threshold to offer universal free meals, potentially bringing back lunch fees for some schools that recently went free-for-all [65][66]. Advocates fear a return of school lunch debt and stigma – hungry kids embarrassed over not affording lunch [66]. “We’ll see a rise in stigma in the cafeteria, a decrease in school meal participation…and increased hunger in the classroom,” warns one child nutrition expert [66]. Indeed, the Food Research & Action Center emphasizes this double-whammy: “Cuts to SNAP will increase hunger at home and in classrooms”, undermining children’s ability to learn [67][68]. Beyond schools, local grocers in poor areas could see sales drop (SNAP dollars often prop up rural groceries and urban markets alike), and the broader economy could feel a modest drag, as every $1 of SNAP is estimated to generate ~$1.50 in economic activity during downturns. Finally, charities will be hard-pressed to fill the gap: many GOP-led states have even refused federal funds for summer child feeding programs [69], citing “administrative costs” – leaving NGOs to somehow feed kids when school is out. All told, the policy shifts seem poised to widen the already troubling inequities in nutrition and opportunity for low-income Americans.

It’s worth noting that the One Big Beautiful Bill Act did more than cut food aid. It also made deep cuts to Medicaid (health insurance for low-income and disabled people), likely dropping millions from coverage [70][71]. It rescinded various benefits (like student loan relief) and poured money into other areas like military and immigration enforcement [72][15]. Simultaneously, it extended the 2017 tax cuts indefinitely, a boon heavily tilted toward corporations and high earners [73]. In fact, the law will reduce federal tax revenue by an estimated $4.5 trillion over 10 years while cutting spending on programs like SNAP by around $1.4 trillion[74]. The trade-off is effectively tax breaks for the wealthy “paid for” by reduced support for the poor [75]. While proponents argue that tax relief will spur economic growth and job creation, critics point out that few benefits will trickle down to a single mother who now has lost food assistance or a senior whose state might drop their nutrition program.

Implications for the Base of the Pyramid

Stepping back, what do these developments mean for those at the bottom of the economic pyramid in America? The meta-level picture is sobering: the U.S. food system is immensely productive, but its bounty and burdens are unevenly distributed. Ecologically, we are drawing down natural capital (water, soil, climate stability) to sustain our food supply, which in turn can hurt the poor most (through polluted drinking water or climate disasters that raise food prices). Socially, we have a persistent hunger problem amid plenty – a clear sign of systemic imbalance – and a public health crisis of diet quality. Economically, the food sector generates wealth and low prices, but also poverty-wage jobs and consolidation that marginalizes small producers.

Now, overlay the current policy shifts: instead of addressing these issues by strengthening supports or investing in sustainable, equitable food access, the policies are largely retrenching. Project 2025 and the 2025 budget agenda prioritize cutting government intervention. In the short term, this means less money in the pockets of low-income families for food, fewer nutrition programs in schools and communities, and more hurdles to qualify for assistance. Millions of Americans living paycheck to paycheck will feel these changes on their dinner tables – smaller grocery budgets, difficult choices between work and caregiving, and increased reliance on charity. The public sector is pulling back precisely when economic realities (inflation, pandemic aftershocks) made life harder for the working poor. Current policies also do little to tackle food deserts or nutrition education – in fact, the SNAP-Ed cut and the halting of some local food initiatives suggest a step backward on that front [61][76]. Low-income neighborhoods may see little relief from their lack of fresh food options without targeted investment, which is not forthcoming under the new budget priorities.

In the longer term, the Project 2025 philosophy could reshape the social contractaround food. If nutritional assistance is no longer treated as a right or guarantee but rather a conditional, state-dependent benefit, the safety net becomes weaker and patchier. We could see deeper regional disparities – e.g. a poor family in a state that maintains SNAP versus one in a state that opts out or underfunds it. The burden of feeding the hungry would shift even more to nonprofits, religious groups, and local governments. While charity is important, it is unlikely to fully substitute a 20% federal cut; food banks themselves often rely on USDA commodities and funds, which are now under threat (the Commodity Supplemental Food Program for seniors, shown in the image above, could lose funding under the administration’s future budgets [77]).

There is also a feedback loop to consider: hunger and poor nutrition can impair children’s educational outcomes, workers’ productivity, and overall health, which in turn entrenches poverty. By pulling back supports like SNAP and school meals, the policies risk worsening long-term economic mobility for the BoP population. That runs counter to the stated goal of self-reliance – it’s harder to climb the ladder on an empty stomach or with preventable health issues. In plain terms, food insecurity is both a cause and consequence of poverty, and policies that increase food insecurity may ultimately increase poverty [25].

On the flip side, supporters of these policies argue that reducing government spending will curb inflation and debt, perhaps yielding a stronger economy for all. They claim that work requirements will encourage labor force participation. However, thus far research and historical experience do not strongly support those claims [46]. The early signs – governors warning of unworkable burdens, nonprofits scrambling – suggest the transition may be rocky.

In the story of America’s food system, we are at a pivotal chapter. Will the nation continue the 20th-century trend of expanding their safety net (as when food stamps, WIC, school lunches were established) or will it reverse course, leaving market forces and charity to determine who eats? The current administration’s approach clearly favors the latter: a leaner government role, with more emphasis on individual effort and private charity. For the bottom of the pyramid, this could mean greater precarity. It amplifies the importance of local initiatives – urban farms, food co-ops, state-level programs – to fill gaps. Some states may innovate to protect their residents (for instance, a few states are considering using their own funds to continue expanded benefits). The federal retreat might spur new coalitions and advocacy, as hunger is a politically potent issue when visibly on the rise.

In conclusion, the U.S. food system remains a marvel of productivity but is shadowed by ecological and social challenges, and recent policy shifts risk exacerbating those challenges for the most vulnerable. The “One Big Beautiful” bill delivered generous tax cuts and celebrated self-reliance, but it also quietly pulled away a foundational support beam for millions of low-income Americans – food assistance. As this story unfolds, its human impact will be seen in quiet ways: a mother skipping meals so her children can eat, a senior stretching a food box through the month, a child too hungry to focus in class. These are the everyday realities at the base of the pyramid. The hope among communities and advocates is that awareness of these impacts will galvanize solutions – because a truly great food system is one that nourishes everyone, sustainably and equitably. The stakes, both moral and economic, could not be higher, for as the saying goes, a nation’s greatness is measured by how it treats its most vulnerable. And in America’s food story, the next chapters will test that measure.

Claudius van Wyk

Co-convenor - Holos-Earth Project

1mo

An excellent thought-provoking and revealing study Klaus - thank you.

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