The 2018 Farm Bill continued this policy design in which farmers elected either ARC (CO or IC) or PLC (P.L. The year 1996 was selected because that is when Congress decoupled farm program payments from planting decisions and production. Only low prices trigger PLC payments, as defined by the statutory reference price or the temporary escalator provision. Regional differences in average payments are clear in Figure 4, offering another view of the general political environment for farm policy in the Farm Bill. The potential for innovation in policy design could be one among many opportunities lost to the demand for higher reference prices.

Source: New York Times June 30, 2023 03:07 UTC