"If the decision [by Congress] is that it’s up to the private sector to provide it, the logical course is to reform the current crop insurance program by eliminating the insurance industry’s windfall profi ts as well as insurance-type commodity programs, including ACRE and SURE. If Congress concludes that it would be more efficient to provide a safety net through USDA’s Farm Service Agency (FSA), it should design an easy-to-deliver program in the commodity title that protects farmers against major production risks and frees private insurers from federal oversight. A privatized crop insurance program could then offer policies to farmers who wish to fi ll in any gaps in coverage.The alternatives are logical, but Congress has rarely been logical.
Saturday, November 05, 2011
Bruce Babcock's Choices: RMA or FSA
From his study for EWG: