Wednesday, June 18, 2008

FSA's Problems with the New Farm Bill

Are implied in the discussion at the University of Illinois extension farmgate site.

Different members of Congress had different takes on the Average Crop Revenue Election Program, so the odds are that FSA will come up with an interpretation that someone disagrees with, and that someone may have enough clout to change the law on them. (I think it's true that a flood-caused spike in corn prices in 2008 makes the program more problematic in the long run, since it raises the likelihood of a fall in prices in the out years, and the revenue guarantee is based on history. In the old days for yields we used the "Olympic average", dropping high and low years which recognized that farming can be very variable. Something to consider.)

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