Asked by Emanuela Tigistu on May 10, 2024

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The U.S. Agriculture Act of 2014 did the following, except

A) ending the so-called countercyclical payments to farmers.
B) extending the direct payments to farmers, which were independent of their crop production.
C) creating an insurance program, called price loss coverage, which pays farmers if the price of their crop falls below a specified level.
D) introducing a countywide insurance program called agricultural risk coverage.

U.S. Agriculture Act

A series of federal laws that regulate agricultural production, markets, and prices within the United States, often including subsidies and support for farmers.

Countercyclical Payments

Government payments in the agricultural sector that increase when market prices are low and decrease when market prices are high, intended to stabilize farmers' incomes.

Agricultural Risk Coverage

A policy program in the United States providing income support to farmers against lower revenue from drops in market prices or yields.

  • Analyze the effects of government policies on agricultural economics, including price supports and subsidies.
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Verified Answer

HA
Huzaifah Al-Aqib Bin Farid Nasir G18B0008May 17, 2024
Final Answer :
B
Explanation :
The U.S. Agriculture Act of 2014 ended direct payments to farmers, which were previously made regardless of crop production, and instead focused on insurance and risk management programs.