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Analysis of Key Non-Dairy Provisions of the Farm Security and Rural Investment Act of 2002

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Author Info
Fortenbery, T. Randall
Dobson, William D.
Abstract

The contentious 2002 Farm Bill has been described by many as the most politicized farm legislation in recent history. Many lawmakers concluded that the 1996 Farm Bill was based on flawed assumptions and that U.S. farmers needed a more dependable safety net. Hence, their support for the 2002 Farm Bill, which represents a partial return to agricultural policies existing prior to the 1996 Freedom to Farm Bill. Many crop producers will see enhanced short-run returns under the new legislation. In addition, the new Farm Bill will remove incentives for expanded soybean production relative to corn in the U.S. Politically popular conservation payments increase under the new legislation. However, trading partners have been angered by the legislation. This will sour the atmosphere for agricultural trade liberalization negotiations in the Doha WTO Round, and may trigger additional complaints to be launched against the U.S. under the WTO dispute settlement mechanisms

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Publisher Info
Paper provided by University of Wisconsin-Madison, Department of Agricultural and Applied Economics in its series Marketing and Policy Briefing Papers with number 12740.

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Date of creation: 2002
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Handle: RePEc:ags:waaebp:12740

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Keywords: Agricultural and Food Policy;

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