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Not just for farmers: Six ways that agriculture programs affect food, nutrition, and the environment Virginia Tech – March, 2013 Parke Wilde
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Outline 1.Inter-disciplinary and multi-sectoral 2.Six categories of agriculture policies 3.Demand expansion 4.Nutrition assistance
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Outline 1.Inter-disciplinary and multi-sectoral 2.Six categories of agriculture policies 3.Demand expansion 4.Nutrition assistance
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3 A social ecological framework for nutrition and physical activity decisions Source: Dietary Guidelines for Americans, 2010.
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Source: USDA/ERS.
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Source: USDA Economic Research Service 5 The USDA Economic Research Service food marketing dollar - 2010
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Source: Adapted from Monke (2012a). 6 Authorizing legislation: mandatory programs in a new Farm Bill for 10 fiscal years 2013-2022
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Outline 1.Inter-disciplinary and multi-sectoral 2.Six categories of agriculture policies 3.Demand expansion 4.Nutrition assistance
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Source: Wilde, 2013. 9 Six broad categories of farm policy interventions
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Source: Wilde, 2013. 10 Six broad categories of farm policy interventions
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Price supports 11
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Source: Wilde, 2013. 12 Six broad categories of farm policy interventions
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Source: Wilde, 2013. 13 Six broad categories of farm policy interventions
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Deficiency payments 14
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Source: Wilde, 2013. 15 Six broad categories of farm policy interventions
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Source: Wilde, 2013. 16 Six broad categories of farm policy interventions
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Source: Wilde, 2013. 17 Six broad categories of farm policy interventions
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Source: Wilde, 2013. 18 Six broad categories of farm policy interventions
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Government payments from U.S. farm programs 1996 - 2010 19 Source: Organization for Economic Cooperation and Development (OECD), Producer Support Estimates (PSE), 2012. Note: Payments based on output are identified separately, because of their implications for overproduction and for trade policy (see Chapter 4).
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U.S. conservation programs 1996 - 2010 20 Source: Organization for Economic Cooperation and Development (OECD), Producer Support Estimates (PSE), 2012. Note: Payments based on output are identified separately, because of their implications for overproduction and for trade policy (see Chapter 4).
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U.S. Producer Support Estimate1996 - 2010 21 Source: Organization for Economic Cooperation and Development (OECD), Producer Support Estimates (PSE), 2012. Note: Payments based on output are identified separately, because of their implications for overproduction and for trade policy (see Chapter 4).
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Outline 1.Inter-disciplinary and multi-sectoral 2.Six categories of agriculture policies 3.Demand expansion 4.Nutrition assistance
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MyPlate
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Checkoff program annual revenue, 2010
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Outline 1.Inter-disciplinary and multi-sectoral 2.Six categories of agriculture policies 3.Demand expansion 4.Nutrition assistance
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Supplemental Nutrition Assistance Program (SNAP) a.k.a. Food Stamp Program
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SNAP benefits / food-at-home sales Source: Wilde, AJAE, 2012. Data source: USDA/FNS (SNAP) and USDA/ERS (food spending).
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SNAP benefits / food-at-home sales Source: Wilde, AJAE, 2012. Data source: USDA/FNS (SNAP) and USDA/ERS (food spending).
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Google Gadgets http://usfoodpolicy.blogspot.com/search/label/Food%20Stamp%20Program http://www.tinyurl.com/snap-vis/
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Why do reasonable people disagree about the cost of healthy food? Differences in: Definitions of “healthy” Time constraints and cooking abilities Reference populations and geographic locations Policy objectives Ways of learning about the world
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Nutrition criteria and other constraints Tolerance for difference from current consumption Cost required Choosing the cost of a healthy diet (in the spirit of the Thrifty Food Plan)
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It all depends on what constraints you impose... Source: Wilde and Llobrera, Journal of Consumer Affairs, 2009.
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Source: Wilde, Troy, and Rogers, American Journal of Agricultural Economics, 2009. Food at home
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Source: Wilde, Troy, and Rogers, American Journal of Agricultural Economics, 2009. Food away from home
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Healthy Incentives Pilot
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For more information … Food Policy in the United States: An Introduction (Routledge/Earthscan, March 2013) www.usfoodpolicy.com
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Government role in checkoff programs Increasing oversight from USDA/AMS Absence of producer referenda “Government Speech”
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Pork industry organizations National Pork Board (NPB) –semi-governmental “checkoff” program –may not lobby the government –funded by $64 million in mandatory checkoff payments National Pork Producers Council (NPPC) –private trade association –may lobby the government
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Sale of “Other White Meat” In 2006, NPB (checkoff) agrees to pay NPPC (trade association) $60 million. Appraised cost to rebuild a new slogan: $38 million over 7 years. Terms: $3 million per year for 20 years, with interest.
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Questions about “Other White Meat” appraisal and terms Was discounting handled correctly? Were there any other buyers?
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