Government Payments and Concentration of Cropland Studied
The debate surrounding farm programs and the 2007 farm bill is too often reduced to sound bites and sloppy rhetoric that does little to educate the general public on the importance and effects of farm and rural legislation. But once in a while, something comes along that reminds us the farm bill and its effects must be objectively researched and reported on. Rather than shouting slogans and talking past one another, such research can help illuminate the often hidden common ground in farm and rural policy.
The November 2007 issue of Amber Waves (a USDA magazine) contains an important article that explores the relationship between government payments and the concentration of cropland ownership in various regions. They have some interesting conclusions, which all sides of the farm program debate would do well to heed.
The authors, Nigel Key and Michael J. Roberts, find a definite relationship between concentration in land ownership and the rate of government payments. Since 1987, their research shows the following:
“Within each region, cropland concentration increased more rapidly in ZIP code areas with the highest initial payments per cropland acre, and the relationship between concentration and payments is persistent, steadily increasing as payments increase.”
Key and Roberts caution that claiming the government payments actually caused increased concentration would not be supported by their research. At this point, they have merely discovered a link between the two, not proof that one causes the other.
Nevertheless, such findings clearly indicate the need for more study, and provide strong backing to claims such as the Center’s argument that current farm programs contribute to the consolidation of farming in America.
Rural America cannot afford to get rid of farm programs, but we also cannot afford to continue down the path of consolidation and concentration that agriculture has been on for decades. The nature of the relationship between concentration in agriculture and government policy will always be debated. But now more than ever, we cannot debate the two are inextricably linked. We need to find ways to make that a positive link, and construct government policy that works to help family farming, ranching, and rural America.
Read the Amber Waves article at:
www.ers.usda.gov/AmberWaves/November07/Cropland.htm.
Contact: Dan Owens, dano@cfra.org or 402.687.2103 x 1017 for more information.
The November 2007 issue of Amber Waves (a USDA magazine) contains an important article that explores the relationship between government payments and the concentration of cropland ownership in various regions. They have some interesting conclusions, which all sides of the farm program debate would do well to heed.
The authors, Nigel Key and Michael J. Roberts, find a definite relationship between concentration in land ownership and the rate of government payments. Since 1987, their research shows the following:
“Within each region, cropland concentration increased more rapidly in ZIP code areas with the highest initial payments per cropland acre, and the relationship between concentration and payments is persistent, steadily increasing as payments increase.”
Key and Roberts caution that claiming the government payments actually caused increased concentration would not be supported by their research. At this point, they have merely discovered a link between the two, not proof that one causes the other.
Nevertheless, such findings clearly indicate the need for more study, and provide strong backing to claims such as the Center’s argument that current farm programs contribute to the consolidation of farming in America.
Rural America cannot afford to get rid of farm programs, but we also cannot afford to continue down the path of consolidation and concentration that agriculture has been on for decades. The nature of the relationship between concentration in agriculture and government policy will always be debated. But now more than ever, we cannot debate the two are inextricably linked. We need to find ways to make that a positive link, and construct government policy that works to help family farming, ranching, and rural America.
Read the Amber Waves article at:
www.ers.usda.gov/AmberWaves/November07/Cropland.htm.
Contact: Dan Owens, dano@cfra.org or 402.687.2103 x 1017 for more information.
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