EFFECTS OF EMPHASIZING DECOUPLED VERSUS COUPLED POLICY TOOLS IN THE 2002 FARM BILL
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The 1996 and 2002 farm bills moved government support toward decoupled tools rather than support coupled to production and/or prices. This paper analyzes whether areas with more production risk would prefer decoupled or coupled support. The results indicate areas with more yield risk would prefer decoupled payments and vice versa.