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Counter-Cyclical Agricultural Program Payments: Is It Time to Look at Revenue?

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Abstract

(Revised) This paper examines the Supplemental Income Payments for Producers (SIPP) program, a proposal to adjust the current federal farm program to react to declines in farm revenue. The SIPP program, as currently outlined, would provide farmers assistance when current national revenue for a crop falls below a set percentage of historical national revenue for the crop. The authors explore the implications of changing the percentage of revenue and/or the level of revenue covered (national, state, county, etc.). Revenue guarantees based on the futures markets rather than past revenue outcomes are also discussed.

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  • Chad E. Hart & Bruce A. Babcock, 2000. "Counter-Cyclical Agricultural Program Payments: Is It Time to Look at Revenue?," Center for Agricultural and Rural Development (CARD) Publications 99-bp28, Center for Agricultural and Rural Development (CARD) at Iowa State University.
    • Handle: RePEc:ias:cpaper:99-bp28
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    Cited by:

    1. Dismukes, Robert & Arriola, Christine & Coble, Keith H., 2010. "ACRE Program Payments and Risk Reduction: An Analysis Based on Simulations of Crop Revenue Variability," Economic Research Report 262248, United States Department of Agriculture, Economic Research Service.
    2. Richardson, James W. & Klose, Steven L. & Smith, Edward G., 2001. "Counter-Cyclical Farm Safety Nets," Policy Issues Papers 42779, Texas A&M University, Agricultural and Food Policy Center.
    3. Marjoleine Hennis, 2002. "New Transatlantic Conflicts: American and European Food Policies Compared," EUI-RSCAS Working Papers 1, European University Institute (EUI), Robert Schuman Centre of Advanced Studies (RSCAS).

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