AGAG 1
Require active communication and compromise among participants about conflicting issues to be resolved
power clusters
This model has an equilibrium which can be upset by the introduction of new "elements"
power clusters
legal restrictions put on either the maximum or minimum prices of inputs or commodities
price controls
Fill in the blank: In a truly free market, both consumers and producers are_________ rather than ________.
price takers, price makers
Which of the following best describes the primary purpose of the NRCS?
protect soil, water, and natural resources
grains futures act of 1922
provided oversight for secretary of ag on future grain exchanges
In case of disease outbreak!
quarantine designations
Why can't the government accurately pinpoint price supports?
real life variability
Requested by a local entity via governor. Generally requires farms/ranches to have suffered at least 30% loss in crop production or livestock(products), real estate, etc.
secretarial agricultural disaster designations
Which of the following describes the "Kings and Kingmakers" model?
This model focuses on powerful individuals, and their influence over policies
Which of the following factors tend to shift the supply curve?
Those that change the components of the production costs of individual farms
Policy objectives are generally tested by __________ and __________________.
Time and courts
What theory describes a time-dependent process whereby supply-and-demand price and quantity either cycles toward divergence or convergence to equilibrium.
cobweb
States that a policy should be undertaken if the winners under that policy con compensate any losers
compensation principle
Authorized to prevent soil erosion, preserve water quality through filterstrips or riparian buffers, protect plants of ecological value, and improve/protect wildlife habitat
conservation reserve program
Allows producers under five-year contracts to address structural, vegetative and management measures and planning to address areas of concern
conservation stewardship program
What two programs provided funding for bioenergy research and advocated for the use of renewable energy from bio-based products?
csp and grp
In general, in the case of agricultural commodities, ___________ is difficult to alter through imposed government policy.
demand
The droughts of the 1930's became known as ________________.
dirty 30s
Meat Inspection Act 1906
enacted in conjunction with public outcry
An attempt for producers under ten-year contracts to improve soil health, air quality, water quality and quantity, manage livestock and waste, manage pest and invasive species, etc.
environmental quality incentives program
Which program funds are provided to producers under 10 year contracts to improve soil health, air quality, water quality, and quantity?
eqip
All members in a society should be treated equally, at least under the law
equal justice principle
Factors that shift a demand curve for a commodity are _______ to its price and quantity.
external
A perfect deal exists in the business of trade.
f
Commodity loan programs have been a mainstay in agriculture since the 1920s.
f
Current federal budget issues do not threaten to significantly affect the future of US agriculture policy.
f
Interest groups do not attempt to influence congress members by acting as reliable and reasonable informants.
f
Local Farm Service Agencies are currently composed of elected city council members.
f
The "Flex" commodity program provision in 1985 allowed farmers to leave 25% of their fields fallow and receive national average commodity payments in return.
f
The 2014 Farm Bill was passed by President George Bush and modified by President Donald Trump.
f
The book, The Jungle, by Rachel Carson, had a major effect on the public which influenced environmental policy.
f
There were 5 McNary-Haugens bills drafted and 3 were passed into law.
f
Today, US agricultural policy seems to be trending towards pest control and burglary of farm tools.
f
Under the Ag Act of 2014, conservation programs were consolidated and received larger funding.
f
Attempts at price control and bans have generally been ____________.
failure
A quota is a tax on an imported product.
false
Commodity program supports were canceled permanently as suggested in previous Farm Bills.
false
Contaminated and ineffective vaccines and medicines were well regulated by the early twentieth-century.
false
Early in agricultural policy history , the Federal government had strong authority to raise revenue and provide subsidies of many sorts.
false
Historic policy responses have been consistently beneficial.
false
In place of crop commodity programs, Price Loss Coverage and Agricultural Risk Coverage optional programs are offered to producers of "all commodities".
false
Real life variability in in both supply and demand almost guarantees that a price support can be accurately set at equilibrium by policy.
false
The Uruguay Round ended in 1989 after 4 long years of meeting after meeting to discuss how ag policy would be handled.
false
When proposals for new trade, free trade, or trade-restricted agreements are offered, responding voices are usually unanimously for or against them.
false
Most agricultural laws must often conform to which level of government?
fed
Which Act was a response to rising farm bankruptcy rates?
federal farm loan act
What was one of the original goals of the Farm Bill?
feeding underweight soldiers
How many bills were drafted in the McNary-Haugen Act?
five bills, two were only passed
Which Title expenditure of 2014 was the most expensive?
food and nutrition
Which Act helped safeguard the health and well being of the nation and raise the nutrition levels in lower income households?
food stamp act of 1964
____________ demand for a commodity can be defined as that which arises from its purchase and actual use- its intrinsic value.
fundamental
Which interest group does not represent various of agricultural policies?
girl/boy scouts
Which of the following helped bring agricultural supply more in line with demand?
increase in export markets and storage programs
Congress, lobbyists and administration are key components of this model
iron triangle
Emphasizes the interaction of powerful groups as creators of agricultural policy
iron triangle
Powerful individuals make agricultural policy
kings and kingmakers
By the end of the 20th century, agricultural programs were blamed for supporting all of the following EXCEPT ______________.
labor strikes
Since program payments were decoupled from production in the FSRIA, it was technically possible for a ___________ to take over "farming" the land themselves and to collect all of the farm program payments.
landlord
Which of the following played a major role in agriculture's financial recovery in the early 1930s?
legislation to stabilize prices and control supplies
Agricultural policy laws can be _______________.
local, state, and federal
When crop yields are low harvest prices are likely to be high and in bumper crop years prices are likely to be ________.
low
Which is a method that is used to determine environmental value?
non market valuation
Which Act was passed during the 1920S?
clayton antitrust act
Low prices in agriculture have been historically perceived as a result of ____________.
overproduction
States that policy is optimal and should potentially be implemented if no one can be made better off without making someone else worse off
pareto optimality
Risk management and stabilization farm income at a sustainable level has been consistent since the ___________.
'30s
Which of the following was considered the fist "farm bill"?
'33 agricultural adjustment act
during western expansion, bad times led to farmers demanding government regulation of farm lending and a farm credit system
post civil war
western land settlement fueled by government's subsidization of railroad construction
post civil war
Which agency does NOT administer a large proportion of farm bills?
LAFD
The call for a different approach to federal commodity programs was stimulated by commodity which of the following? Select ALL that apply.
-farm crisis -international trade issues -gov deficits -environmental concerns
Record-keeping requirements were enhanced for organic producers to include maintaining not less than _____ years of production records for products sold or labeled as organic.
5
Approximately how many of the SNAP recipients were elderly or children?
50
The era of farm legislation was known for annual bills, which were a deviation from previous bill three to six years in length
60s
Crop insurance covers which of the following?
all are correct
A tariff is a __________________.
A tax on an imported product
Select ALL of the TRUE statements regarding Disaster Programs.
-After a disaster, if imports do not fill the gaps, a domestic shortage of supply can result in a dead-weight loss to society -Potential decreases in demand may decrease if the disaster is a disease outbreak -Keeping farmers in business has been seen as a form of insurance against future commodity shortages, control of food price increases and disaster-induced-deadweight losses to society
Ad hoc disaster programs received criticism stating that they discouraged farmers from using crop insurance by effectively providing a free insurance program. Select ALL of the actions taken to encourage insurance use and better manage the problem.
-Authority for the FSA/USDA to sell CAT loss insurance and conduct trial programs pilot programs was withdrawn and given to private insurance re-insurance companies -Crop insurance reform was authorized in the 2000 Ag Risk Protection Act -Insurance and risk mitigation education was conducted through state and federal agencies -Subsidy levels and funding for the crop insurance program were increased
Why are the risks of agriculture so unique?
-Because the weather is unpredictable and uncontrollable -Because of the changing market conditions, like populations demand -Because of the excessive heat & drought, cold, hurricanes and disease
Select ALL that apply. Which opportunities exist for states to facilitate improved local producer profits through trade?
-Coordinating and sharing information with other states when mutually beneficial -Promoting and coordinating international market development and expansion -Providing incentives for state-regulated lenders to assist with trade related costs -Maintaining and increasing support for research and Extension efforts to improve efficiency in agribusiness trade
Select ALL of the TRUE statements regarding the 1956 Agricultural Act.
-Dealt with agricultural surpluses that resulted from technological improvements -The Soil Bank Program was established -Policy was largely concerned with disposal of surpluses
What types of US agriculture issues have related to or ended up in political argument?
-Economic problems unique to agriculture -Globalization -Environmental protection
21st century farm bills reflected a deeper change from the 20th century farm bills. Select ALL that apply.
-Food and nutrition programs received an estimated 78 percent of funds authorized through the 2008 Act -Commodities no longer received the majority of emphasis or Federal funds
Select ALL of the TRUE statement regarding problems with imposed supply restrictions.
-Generally resented by producers -International trade agreements generally forbid government policies that distort market prices -When there is a shortage, black market tend to occur
Which is (are) steps to the Scientific Method?
-Hypothesis -development -Literature review -Problem identification -Conclusion with evidentiary support -Analytical testing of hypothesis
Select ALL of the risks mentioned in the text that threaten farmers.
-Safety of imported and domestic food products -Climate conditions and production practices of the 1930's that impacted soil , water and air quality -Regulations to prevent deliberate attempts to do harm to the public through the food supply.
Select ALL that apply. Government policy to deal with negative effects of trade might include which of the following?
-Supporting or redirecting income and economic growth -Limiting exploitation of of the factors of production such as labor or the environment -Providing opportunities for more to enjoy the benefits of rising standards of living while preventing some from being harmed by the,m.
select all the examples of progressive legislation passed with the aid of Agrarian and Populist movements
-laws to hold railroad responsible prairie and grain fires started by locomotives -setting maximum freight rates on coal mined within the states -establishment of public scales to assure fair measures
Farmers represent what percent of the population(according to the text)?
1%
The implementation of NAFTA took place on what date?
1/1/1994
How many countries came together during the Uruguay Round?
123
In 2012, approximately _______ % of the US population received SNAP benefits.
14
What percent of the US population received SNAP benefits in 2012?
14
farm credit problems
1787 until the civil war
preemption act permitting settlers to obtain 160 acres of land for $1.25 per acre
1787 until the civil war
Golden Age of Agriculture
1910-1914
In 1935, the Yearbook's Secretary Report listed the year _________ as the worst drought year ever recorded in the US.
1934
Which Acts still have the force of the law and will remain in effect until replaced?
1938 AAA, 1948 CCC, 1949 Ag Act
Food stamps were first initiated in ___________.
1939
Which of the following caused a brief reduction in wheat supply and a negative public reaction to resulting food price increases?
1973 russian wheat deal
To encourage insurance use, crop insurance reform was authorized in the _________ Agricultural Risk Protection Act.
2000
Streeter separates the appropriations process into how many categories?
3
How may basic conservation functions/programs were authorized in the 2014 bill?
4
Farm bills are drafted every ________________.
4-6 years
The Dairy Indemnity Program that provided payments to farmers who sustained losses due to federally approved substances
70s
The Russian Wheat Deal
70s
The demand for Defense Department accountability escalated during the Kennedy Administration in the 1960s and spilled over to all Federal agencies in the _____________
70s
In the case of livestock death losses in excess of normal and due to natural disasters, LIP payments were based on what percentage of the livestock's previous days market value?
75
Under the Ag Act of 2014, "local food" grants were added to the Farmer-to-Consumer Direct Marketing Act of ___________.
76
Food and Nutrition title expenditures represented ___________ % of total farm bill expenditures.
79
Easy credit led to an over-investment in agriculture (or a so called "bubble")
80s
Grain embargo enacted by Pres. Carter and lifted by Pres. Reagan in the ________
80s
To reduce surpluses, farmers received commodity certificates(PIK), to be redeemed by CCC stocks, in exchange for reduced plantings of farm program crops
80s
What was the amount of projected spending on the 2014 Farm Bill?
956 billion
Which of the options below best describes Nursery tree growers as defined in the 2008 bill?
A person that produces nursery, ornamental, fruit, nut or Christmas trees for commercial sale
Which of the following did the Ronald Reagan administration lift in 1981?
A punitive grain embargo on the Soviet Union
Which option below is part of the framework of the five principles of farming?
Adopting non-partisan strategies
What are agricultural subsidies?
An enhancement to income, input or output price provided by the government
According to the text, aside from using different analytical techniques, inference to measuring policy impacts, reasons for coming up with different results are __________.
Analysts can start with different facts and often have different training; beliefs and values stemming from a person's can get mixed in with policy analysis
Why is measuring policy impacts difficult?
Analytical results can vary depending on how the hypothesis is framed
How is a producer defined by the FSRIA ?
Anyone who farmed the land themselves or shared in risk of producing a crop
The massive dust storms created by a combination of drought and production practices are known as ______________.
Black Blizzards
Failure of the Federal Farm Board was credited to ___________________.
Congress underfunded the program
Who serves as specialists for committees and for individual House and Senate members?
Congressional staff
___________ serve as specialists for committees and individual House and Senate members.
Congressional staff members
______________________ serve as specialists for committees and for individual House and Senate members.
Congressional staff members
What goal should policy-makers have today when constructing new farm bills?
Create multi-year, long-term farm bulls flexible enough to incorporate needed changes
Which of the options is not a scientific method for measuring policy impacts?
Developing answers
From an economic standpoint, ideal government policy concerns the maintenance of __________
Economic efficiency and equity
Triggered for physical losses only, such as a building destroyed by a tornado. Requested by an FSA State Executive Director
FSA Administrator's physical loss notification
What agency administers SNAP?
Food and Nutrition Service
What was the largest single expenditure of the government on agricultural programs?
Food, nutrition and feeding programs
In the 1960s, ________ bills were created (in order to address a seemingly rapid change of pace) instead of the typical 3-6 year long bills from before.
annual
Where does the demand for Agriculture production come from?
Global food consumption
Select the true statement regarding economic reasoning and the agricultural policy.
Ideal government policy concerns the maintenance of economic efficiency and equity
Which of the following is NOT a part of Hanh's process from introduction to implementation as law.
If the results are not as intended, the process ends there. A new policy issue must be created
Which of the following is NOT a principle that helped farmers create legislation favorable to agriculture.
Increasing practices that encourage partisan politics
Fill in the blank: The more ______ the demand for a commodity, the more _______ it is that factors affecting price will bring a political stir.
Inelastic, likely
Which is the correct order of power in a kings and kingmakers model ? Left is the top and right is the bottom)
King, kingmakers, actives, interested citizens, apathetic citizens
What do agriculture regulations protect against?
Monopolies
A factor that does NOT shift the demand curve is.....
New technology making producing cheaper
Which of the following is FALSE regarding the Organic Production amendments?
Organic Certification Agents are required to maintain records for not less than 5 years and to make them accessible to Federal and state officials
Which of the following in NOT true about the WTO?
Political rule and social structure
Disaster declared by the President. Disaster relief administered through FEMA. Requested by a state's governor in response to a natural disaster
Presidential major disaster declaration
What is an example of an inelastic commodity?
Production costs
Which party determines how much Federal money is available for appropriation?
Senate and Budget Committees
Which of the following is a potential problem with marketing quotes, acreage restrictions and the like?
The birth of black markets
Why are subcommittees used?
They allow a group to focus on an issue more in depth and provide better information to a committee.
Why are congressional staff important ?
They interface and explain certain issues to congress member
Which of the following was NOT a factor in the end of the good times around harvest time in 1920.
US export demand increased
The Uruguay Round resulted in the creation of ________.
WTO
When are trade policies and agreements most effective?
When their implementation process is allowed
The successor to ACRE in the 2014 farm bill is the ______________.
ag risk coverage
an enhancement to income, input or output price, or production or marketing activity that are provided by the government
ag subsidies
Which of the following was considered the first "farm bill"?
agricultural adjustment act of 1933
Which of the following was NOT an Act passed in the 1920s?
agricultural marketing act
The National Resources Conservation Services stemmed from which event in this chapter?
black blizzards during the dust bowl
According to the text, __________ and __________ cycles were what persuaded people into thinking that an agricultural safety net was necessary.
boom and bust
Early 20th century US ag production was fueled by ___________________.
bringing new land into crop production
The US' most important "customer" for goods is ____________.
canadiaaaa
Continuing barriers to free trade include all except ___________.
chemurgy
Farm legislation of the 1960s was NOT driven by which issue?
low supply
Funding for a program can be either ______ or ________.
mandatory or discretionary
Who is able to draft portions of legislation such as the farm bill under the direction and final approval of Members of Congress.
senior staff members of congress
________________ demand for a commodity arises die to uncertainty which results from investors attempting to guess what will be produces for market and what prices will result.
sepculative
supply control policy that restricts the amount of acreage a farmer can plant
set-aside
The ________________ Act of 1890, strengthened by the Clayton Antitrust Act of 1914 and the establishment of the Federal Trade Commission, forbade anti-competitive practices in business.
sherman antitrust
Which book had major influence on environmental policy?
silent spring
Since the US has a mature economy and low increase in population, the domestic food demand has _________________.
slow down
The Jeffersonian ideal refers to ___________.
small and individually owned farms
a legal restriction on how much of a commodity can be produced or on how much can be sold
supply controls
A bill can sometimes not be implemented even if it gets passed by House and Senate.
t
According to the Ag Act of 2014, an "easement" is a interest in eligible land that is "conveyed for the purpose of protecting natural resources and the agricultural nature of the land".
t
Collaboration of interest groups and winning coalitions have been advantageous to agriculture.
t
Despite the congressional promise of no more commodity program payments, in response to political pressure, low prices during the latter years of the 1996 bill led to supplemental assistance payments and assistance payments during the 1998, 1999, and 2000.
t
Disease outbreak prevention has been critical to processors' as well as to producers' incomes.
t
Expanded Federal oversight from the 1970s is perhaps the genesis for the deep-seated frustration of farmers over Federal regulation and the EPA's perceived incursion into agricultural production practices.
t
Federal funds have been given to the states as "block grants" to promote the production and marketing of specialty crops.
t
Going into the 21st century, there were opposing views on the avoid-ability of the cyclical pattern of the boom and bust
t
Historically, policy response has been a double edge sword.
t
In response to criticism of the USDA's past treatment of minorities and other farmers, Title XIV Subtitle A of the 2008 FCEA included special exemptions and conditions for limited resource, economically disadvantage, and beginning farmers.
t
In theory, government price subsidies would keep more farms in business than the market needed.
t
Risk management and stabilizing farm income at a sustainable level has been a consistent policy issue for agriculture since the 1930's.
t
Since the mid-twentieth century, Congress has passed a new farm bill that temporarily sets aside the the requirements of Permanent Legislation. Without new farm bill legislation, the Permanent Legislation would once again become the law of the land, including implementation of parity prices, quotas, and allotments for supported crops.
t
Supply has been relatively easier to influence through policy than has influencing demand.
t
The 2008 Farm Bill cut program spending on commodity programs but continued Direct (DP) and Counter-Cyclical program payments (CPP) and added permanent disaster assistance components and an alternative to the CPP called ACRE.
t
The Dairy Indemnity Program provided payments to dairy farmers and manufacturers of dairy products who "through no fault of their own", had milk or dairy products banned from commercial markets because of contamination from pesticides, chemicals and other toxic substances, which were approved for use by the Federal government.
t
The HACCP inspect meat, produce, and recall products to prevent the spread of food-borne disease.
t
The farm bill is only one piece of legislation among many that affects, farms, rural communities, the environment, and the nation's food security.
t
Trade on a multi-country or global scale requires that there be relative production differences (comparative advantages) among prospective trading partners. Otherwise there are no potential benefits to trading.
t
Unpredictable climate and weather still determine final yields for most row crops, vegetables and orchard crops.
t
Whether policies accomplished (or will accomplish) their stated objectives are generally tested by time and the courts, or by other interests being served.
t
World War 1 was a critical era in creating political support for government in agriculture.
t
The government has tried to mitigate negative effects of trade by ______________.
taxing profits
Countries that have an "infant industry" may have a hard time competing with mature and established foreign companies because of the initially high start-up costs and the time it takes to develop markets.
true
The section of the US constitution that grants the Federal government jurisdiction over food and drugs shipped across state lines is ________________________.
the commerce clause
What does NOT affect demand on ag products?
time and day
Under the WTO, still currently in effect, subsidies were classified as Green, Blue, Amber or Red Box- depending on the level of_______________ caused by the subsidy.
trade distortion
According the AA 2014 an "easement" is an interest in eligible land that is "conveyed for the purpose of protecting natural resources and the agricultural nature of the land"
true
As insurance products continue to be developed and and introduced, the economic justification for and future of non-insurance like commodity programs must be questioned.
true
Boom and bust cycles of the 80s and 90s suggested a potential need for a US agricultural safety net.
true
Climate and weather are still uncontrollable and determine final yields for most row crops, vegetables and orchard crops.
true
Early efforts of the Federal government to raise revenue included taxing distilled spirits, tobacco and snuff, and sugar. Taxes on alcohol resulted in the Whiskey Rebellion. The Whiskey Rebellion can be considered one of the first farmer tax protests.
true
Early studies and pilot programs for a Federal food stamp program found that it increased the sale of commodities.
true
Easy credit and over-investing in farm land led to a real estate 'bubble'.
true
Factors that affect the demand for a specific product include consumers' income, tastes and preferences, availability and/or cost of substitutes, and population size.
true
In its ideal form, a fundamental proposition of trade is that increasing it potentially leads to increased income for labor savings and savings for consumers of importing countries.
true
Local foods grants were added to the Farmer-to-Consumer Direct Marketing Act of 1976. This includes assistance to enhance farmers' markets, roadside stands, community-supported agriculture, agritourism, and direct to the consumer marketing are emphasized.
true
The 2008 Act authorized reconsideration of late-filed claims and authorized 100 million to fund settlements brought against the USDA for past treatment of minorities and other farmers.
true
The Capper-Volstead Act allowed the Secretary of Agriculture to make sure cooperatives did not become monopolistic.
true
The Water Bank Act encouraged farmers to use flood plains, shore lands, and aquatic areas in a responsible manner.
true
The competitive process contains the potential for both good and bad.
true
Trade on a multi-country or global scale requires that there be relative production differences (comparative advantages) among prospective trading partners.
true
World War 1 was a critical era in creating political support for government in agriculture.
true
farmers organized to combat perceived abuses
true
Which was NOT a contributed factor to the post-WW1 agricultural depression?
unlimited credit access
Virus-Serum Toxin Act 1913
was meant to protect farmers from contaminated or ineffective vaccines
Provides funding to adopt or maintain conservation practices on lands used for agricultural production
working lands conservation program