Costs and Benefits of Moving to a County ACRE Program

dc.contributor.author Babcock, Bruce
dc.contributor.author Babcock, Bruce
dc.contributor.department Center for Agricultural and Rural Development
dc.date 2018-02-16T00:41:56.000
dc.date.accessioned 2020-06-30T01:00:25Z
dc.date.available 2020-06-30T01:00:25Z
dc.date.copyright Fri Jan 01 00:00:00 UTC 2010
dc.date.embargo 2015-03-21
dc.date.issued 2010-05-01
dc.description.abstract <p>Better integration of the different programs that comprise the farm safety net seems inevitable in the next farm bill given widespread public concern over the rapidly growing federal debt. With $5 billion in direct payments flowing annually to farmers who own or rent base acres without regard to farm income, $7 billion flowing to crop insurance companies over the last two years, and $2.6 billion flowing to cotton farmers in the last two years from programs that violate our trade commitments, there is substantial room for improvement. One path toward better integration would be to modify the ACRE (Average Crop Revenue Election) program so that it covers county revenue rather than state revenue. For approximately the same cost as the direct payment program, 100% of planted acres could be covered at a 95% coverage level. Accounting for county ACRE payments before crop insurance payments are made could easily reduce the cost of the crop insurance program by more than $4 billion per year.</p>
dc.identifier archive/lib.dr.iastate.edu/card_policybriefs/4/
dc.identifier.articleid 1001
dc.identifier.contextkey 6878926
dc.identifier.s3bucket isulib-bepress-aws-west
dc.identifier.submissionpath card_policybriefs/4
dc.identifier.uri https://dr.lib.iastate.edu/handle/20.500.12876/12165
dc.source.bitstream archive/lib.dr.iastate.edu/card_policybriefs/4/10pb2.pdf|||Fri Jan 14 23:59:08 UTC 2022
dc.subject.disciplines Agribusiness
dc.subject.disciplines Agricultural and Resource Economics
dc.subject.disciplines Agricultural Economics
dc.subject.disciplines Economics
dc.subject.disciplines Insurance
dc.subject.keywords ACRE
dc.subject.keywords agricultural risk
dc.subject.keywords Average Crop Revenue Election program
dc.subject.keywords crop insurance
dc.subject.keywords direct payment program
dc.subject.keywords farm bill
dc.subject.keywords farm payments
dc.subject.keywords SURE
dc.subject.keywords Supplemental Revenue Assistance Payments Program
dc.title Costs and Benefits of Moving to a County ACRE Program
dc.type article
dc.type.genre article
dspace.entity.type Publication
relation.isAuthorOfPublication be977ffd-4ef3-4f33-a854-9db833e957f4
relation.isOrgUnitOfPublication 1a6be5f1-4f64-4e48-bb66-03bbcc25c76d
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