Monday, November 04, 2019

Farm Progreams: Insurance or Social Program?

I've likely written something on this before, but I'm too lazy to look it up.

There are multiple ways, "frameworks", for looking at farm programs:
  • as a social program. In this view payments should go to farmers based on their need, what they have to have to continue farming.
  • as a reform program.  In this view payments should reward farmers for doing "good" things, like sustainable practices, etc.
  • as an insurance program.  In this view payments should be like insurance, where the size of the payment is proportional to the size of the enterprise.  That is, when you buy homeowners insurance, the amount of coverage is tied to the value of the house.  The same when you buy collision/comprehensive coverage for a car.
It's usual, particularly among liberals, to use the first two frameworks. 

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