http://www.ers.usda.gov/AmberWaves/ The Economics of Food, Farming, Natural Resources, and Rural America en-us Wed, 25 Nov 2009 19:12:48 GMT 60 http://www.ers.usda.gov/AmberWaves/December09/ http://www.ers.usda.gov/AmberWaves/December09/#2009-11-16 Amber Waves presents the broad scope of ERS’s research and analysis. The magazine covers the economics of agriculture, food and nutrition, the food industry, trade, rural America, and farm-related environmental topics. Available on the internet and in print, Amber Waves is issued in print four times a year (March, June, September, and December). The internet edition, or “eZine,” includes links to web- only resources, such as podcasts and additional articles. Mon, 16 Nov 2009 13:00:00 GMT http://www.ers.usda.gov/AmberWaves/December09/Features/GlobalEconomic.htm http://www.ers.usda.gov/AmberWaves/December09/Features/GlobalEconomic.htm#2009-11-16 Import capacity is expected to decline in many lower income countries due to the global economic downturn, with potential food security implications. Based on an ERS study, the number of food-insecure people in 70 developing countries was estimated to increase 2 percent in 2009. The highest growth in food insecurity is likely to be in Sub-Saharan Africa because domestic agricultural production is assumed to revert to average levels following above-average production in 2008 and remain the most vulnerable region through the next decade. Mon, 16 Nov 2009 13:00:00 GMT http://www.ers.usda.gov/AmberWaves/December09/Features/USCornYields.htm http://www.ers.usda.gov/AmberWaves/December09/Features/USCornYields.htm#2009-11-16 Recent increases in inflation-adjusted crop prices have sparked renewed interest in the potential for continued increases in crop yields, particularly since increases in crop yields could affect food security, bioenergy production, and the Nation’s response to global climate change. Although market forces and biological factors influence corn yields, research investments have been the driving force behind increasing corn yields in the past. Continued scientific advances could accelerate the rate of growth in corn yields, but achieving a nationwide yield of 300 bushels per acre by 2030 would require a tripling of the projected growth rate, and would be historically unprecedented. Mon, 16 Nov 2009 13:00:00 GMT http://www.ers.usda.gov/AmberWaves/December09/Features/PeanutTobacco.htm http://www.ers.usda.gov/AmberWaves/December09/Features/PeanutTobacco.htm#2009-11-16 Farm legislation in the early 2000s eliminated longstanding supply controls and geographic restrictions on the production of peanuts and tobacco. Adjustments to the new environment occurred rapidly as many producers decided to quit growing peanuts and tobacco, and a substantial number of producers quit farming entirely. While farm numbers declined at a different rate for peanuts and tobacco, the ensuing consolidation produced fewer, but larger, farms for each crop that are more efficient and responsive to market developments. Mon, 16 Nov 2009 13:00:00 GMT http://www.ers.usda.gov/AmberWaves/December09/Features/DebtLandscape.htm http://www.ers.usda.gov/AmberWaves/December09/Features/DebtLandscape.htm#2009-11-16 Farm business debt levels have risen noticeably over the past decade, reaching a record $240 billion in 2008. But the value of farm assets has grown even faster, increasing the wealth of farm operators. Nonetheless, recent declines in farm income and falling land prices have raised concerns about the financial position of U.S. farms that rely heavily of debt. In 1986, nearly 60 percent of farms used debt financing. By the end of 2007, farm debt was more concentrated in fewer, larger farm businesses, with only 31 percent of farms owing debt. And while the unused debt repayment capacity of farm operators is much lower than it was during the 1980’s farm financial crisis, larger farms are more likely to use a high share of their debt capacity. As a result, while the farm sector as a whole is in sound financial shape, some segments of the sector could be over-extended if incomes and land prices continue to fall. Mon, 16 Nov 2009 13:00:00 GMT http://www.ers.usda.gov/AmberWaves/December09/Features/IncomeVolatility.htm http://www.ers.usda.gov/AmberWaves/December09/Features/IncomeVolatility.htm#2009-11-16 Income volatility has increased over the last four decades, with the greatest increase among those with the lowest incomes. The interaction of income volatility and program design has important implications for eligibility and participation in food and nutrition assistance programs, with some families not applying when eligible and others leaving while still eligible. In recent years, the effects of income volatility were eased when major nutrition assistance programs extended the periods for which households receive benefits. Mon, 16 Nov 2009 13:00:00 GMT http://www.ers.usda.gov/AmberWaves/December09/Features/FoodInsecurity.htm http://www.ers.usda.gov/AmberWaves/December09/Features/FoodInsecurity.htm#2009-11-16 The recent economic downturn has brought a sharp increase in the number of Americans who report having difficulty meeting their food needs. In fact, in 2008, the number and percentage of U.S. households classified as “food insecure” reached the highest level recorded since Federal monitoring of food insecurity began in 1995. USDA’s food and nutrition assistance programs provide additional resources in times of rising food insecurity. In fiscal 2008, combined expenditures for all USDA food and nutrition assistance programs totaled $60.6 billion, an increase of 10 percent over expenditures in 2007. Mon, 16 Nov 2009 13:00:00 GMT