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The new ACRE program: costs and effects

Author

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  • Brian C. Briggeman
  • Jody Campiche

Abstract

In 2010, many farmers will again choose between farm safety net programs offered by the U.S. government. They can remain in the more-familiar 2002 farm program, which protects against price declines and provides traditional direct payments. Or, they can enroll in the new Average Crop Revenue Election (ACRE) program, which protects against revenue shortfalls caused by falling prices or low yields. But ACRE requires farmers to give up a significant portion of their traditional 2002 farm program payments. Changing farm programs, especially ACRE, presents different costs and effects for not only farmers but taxpayers, too.

Suggested Citation

  • Brian C. Briggeman & Jody Campiche, 2010. "The new ACRE program: costs and effects," Main Street Economist, Federal Reserve Bank of Kansas City, issue 2.
    • Handle: RePEc:fip:fedkms:y:2010:n:2
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    File URL: http://www.kansascityfed.org/publicat/mse/MSE_0210.pdf
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    Cited by:

    1. Edwards, William M., 2011. "Iowa Farmers' Decisions to Enroll in the Average Crop Revenue Election (Acre) Program," Staff General Research Papers Archive 33990, Iowa State University, Department of Economics.

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