I'm not really supporting or opposing the system, which is a topic for another place, but just mentioning that farming is not like people think it is. So trying to determine what 'market wages' would be like is not really possible when much of the entire industry is operated outside the bounds of the market.
Wait, so they are intentionally keeping food prices higher by paying people to not grow food? I mean, I understand that we need farmers and dipping food price markets isn't ideal, but... wow... what a world.
That's a feature, not a bug.
But yes, the rest of society will become a LOT "poorer" (but still comfortable) for no more than a decent increase in the living standard of the working poor.