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The Value of Planting Flexibility Provisions in the 1990 Farm Bill to Three Representative Texas Farms

Published online by Cambridge University Press:  28 April 2015

Ming-Che Chien  and
David J. Leatham
Ming-Che Chien
Affiliation:
Texas A&M University, College Station, Texas
David J. Leatham
Affiliation:
Texas A&M University, College Station, Texas
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Abstract

The 1990 Farm Bill reduces deficiency payments but also provides more planting flexibility for program participants. In this study, a mean-standard deviation analysis is used to analyze the impacts of planting flexibility provisions on crop selection decisions, farm returns, and farm risk. Results show that gains from the added planting flexibility do not offset the mandatory loss in the deficiency payments for program participants. Planting flexibility will lead to an increase in corn and wheat planted in the Northern Plains and an increase in cotton planted in the Rolling Plains and Coastal Bend, Texas.

Keywords

planting flexibilityfarm programsrisk
Type
Articles
Information
Journal of Agricultural and Applied Economics , Volume 26 , Issue 1 , July 1994 , pp. 148 - 157
Copyright
Copyright © Southern Agricultural Economics Association 1994

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