Yep that's pretty much it... a sort of vicious circle. Crops remove the nutrients from the soil, which we never fully replace with synthetic fertilisers, cause these only provide soil with NPK and in turn our food grows nutrient deficient, which means the quality of our diet declines over time. And we try to fix it by eating more, which has more of an adverse effect on our health actually, but the food market grows, cause farmer get paid by the weight... and our soils become poisoned and depleted of nutrients due to intensive farming practices.
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Excellent summary, you are 100% correct. Farm produce should be monitored for nutritional quality. The results should then get factored into the price. Instead of only using weight, they could use Weight x 'Nutritional Score.'
The scores should then be made public on the packaging so people have the choice of purchasing the cheaper 'lower grade' produce or paying a premium for the top class stuff.
This would incentivize farmers to focus on quality as much as quantity as both factors would influence the price equally.
Governments could then also set a minimum nutritional standard in all foods.