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Acreage Response To The Target Price And Set-Aside Provisions Of The Food And Agriculture Act Of 1977

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  • Evans, Sam

Abstract

The Food and Agriculture Act of 1977 increased the influence of target prices on acreage allocation decisions Differences between target and market prices were highly correlated with rates of participation in recent grain set-aside programs But, target prices also encourage set-aside participants to increase acreage of the set-aside crop The net effect of a set-aside on acreage of a specific crop may, thus, be positive or negative. Deficiencies in the target price formula magnify the potential for target prices to disrupt the allocative function of market prices.

Suggested Citation

  • Evans, Sam, 1980. "Acreage Response To The Target Price And Set-Aside Provisions Of The Food And Agriculture Act Of 1977," Journal of Agricultural Economics Research, United States Department of Agriculture, Economic Research Service, vol. 32(4), pages 1-11, October.
    • Handle: RePEc:ags:uersja:148691
    DOI: 10.22004/ag.econ.148691
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    Citations

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    Cited by:

    1. Grigsby, S. Elaine & Dixit, Praveen M., 1986. "Alternative Export Strategies And U.S. Agricultural Policies For Grains And Oilseeds, 1950-83," Staff Reports 277896, United States Department of Agriculture, Economic Research Service.
    2. Burt, Oscar R. & Worthington, Virginia E., 1988. "Wheat Acreage Supply Response In The United States," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 13(1), pages 1-12, July.
    3. Ervin, David & Algozin, Kenneth & Carey, Marc & Doering, Otto & Frerichs, Stephen & Heimlich, Ralph & Hrubovcak, Jum & Konyar, Kazim & McCormick, Ian & Osborn, Tim & Ribaudo, Marc & Shoemaker, Robbin, 1991. "Conservation and Environmental Issues in Agriculture: An Economic Evaluation of Policy Options," Staff Reports 278567, United States Department of Agriculture, Economic Research Service.
    4. Langley, James A. & Price, J. Michael, 1985. "Implications of Alternative Moving Average Loan Rates," Agricultural Economic Reports 307994, United States Department of Agriculture, Economic Research Service.
    5. Chang, Hung-Hao & Chen, Yu-Hui, 2011. "Are participators in the land retirement program likely to grow energy crops?," Applied Energy, Elsevier, vol. 88(9), pages 3183-3188.

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