farm safety net

CBO adds 2 percent to cost of farm bill programs

Higher enrollment in SNAP and lower commodity prices will boost the 10-year baseline for the farm bill to $1.48 trillion, the most expensive ever, said the Congressional Budget Office in an updated projection of federal spending. The baseline sets the limit for spending in the new farm bill. …

Crop insurance is part of the safety net but not counter-cyclical

The farm safety net is often described as a cushion for producers against hard times because crop subsidy payments are counter-cyclical — they become larger as commodity prices decline. The federally subsidized crop insurance program is the largest part of the safety net, but net indemnities are not counter-cyclical, said four agricultural economists on Monday.