The Congressional Budget Office (CBO) projections of USDA's mandatory farm and nutrition program outlays are important in shaping US agricultural policy. Using CBO projections and observed outcomes from 1985 through 2020, we examine the degree to which projections of farm, supplemental nutrition assistance program (SNAP), and child nutrition program outlays are unbiased, efficient, and informative. We find that projections for farm and child nutrition program outlays are unbiased, SNAP outlays are unbiased at short-term but are downward biased beyond a 3-year horizon. All three series of projections are inefficient. SNAP and child nutrition program outlay projections are informative up to a 5-year horizon, but the farm program outlay projections are informative for only a 1-year horizon. Disaggregated farm program data since 2008 suggests that the uninformativeness principally stems from conservation and commodity program projections. The findings may be valuable to CBO, as they continue to improve projections, and to projection users, in adjusting their expectations.
Immigrants are vital to agricultural production in the United States, and nearly half the crop workforce is unauthorized. Previous attempts to reform the immigration system have not successfully legalized the farm workforce or caused substantive rise in farmworker incomes. Current proposed legislation would legalize unauthorized farmworkers, streamline the H-2A agricultural guest worker program, and provide a pathway to citizenship for H-2A workers while simultaneously requiring agricultural employers to check the immigration status of workers using E-Verify. This paper discusses proposed farm labor legislation in the context of current farm labor market conditions, outcomes of historical farm labor and immigration policies, and ongoing immigration trends.
Impacted by both economic and political forces, agricultural research serves as a critical approach to alleviating the adverse effects of climate change. Focusing on public agricultural research in the United States, this paper provides a literature review on research and development from the perspectives of the market environment and political economy. It also examines the current assessment of agricultural research effectiveness in addressing the challenges of climate change. A bibliometric analysis is conducted to appreciate the knowledge dynamics in the nexus of agricultural research, political economy, and climate change. Future research directions related to public agricultural research are discussed.
Agricultural and applied economists make substantial positive contributions to the domestic economy. Defining a measure of the true total value of their contributions is likely impossible, because so much about their efforts is difficult to comprehensively observe and quantitatively document. In this paper, we adopt a conservative approach to generating an estimate of the contributions ag and applied economists make to U.S. economic output and the associated welfare of society through their teaching, research, and outreach efforts. To conduct the analysis, we implemented a nationwide survey of Agricultural and Applied Economics (AAE) departments and developed a framework to calculate the value of their contributions to national income, or Gross Domestic Product (GDP). We estimate that AAE departments increase overall U.S. GDP by $2.6 billion, annually. Through its efforts to improve the human capital of its graduates, AAE teaching raises the (expected) national income by $2.2–$2.3 billion, while we value direct research and outreach contributions at $207 million and $146 million, respectively. Because we do not observe the opportunity cost of the resources used to generate those contributions, we do not claim to estimate a true net economic impact but rather attempt to quantify the gross economic contributions of the professional services AAE departments currently offer the economy. The values we provide—especially the research and extension estimates which are exceedingly difficult to measure—likely underestimate the true benefits AAE offers to the nation.
Agricultural and applied economists have maintained a public discourse at the Agricultural and Applied Economics Association (AAEA) meetings and subsequently published papers discussing the mission of land-grant institutions and the role of AAEA members in that mission. With a content analysis of 4001 Invited Papers and Presidential Speeches, we find agricultural and applied economists questioned their profession's purpose and role within the land-grant system. The reflective questions still apply to land-grant institutions and the agricultural and applied economics profession. We argue that AAEA members are crucial in addressing the food and agricultural challenges connected to society's deepest needs today and into the future.