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Beijing to subsidize food after price spike

By ASSOCIATED PRESS
BEIJING — China's government stated Wednesday it will give poor families subsidies to help pay for food following a spike in prices.
The cabinet announcement came after politically sensitive food prices jumped 10.1 percent in October, raising the threat of increasing social tensions.
The government also promised efforts to increase supplies of grain, vegetables and diesel fuel.
The cabinet's statement stopped short of ordering direct price controls but said they could be imposed if necessary.
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