Despite hopes from some agricultural experts, the recently-passed economic stimulus bill really doesn’t do a whole lot for America’s farmers. Weighing in at a staggering $787 billion, the stimulus expands the federal government by about 25 percent (for one year) – an enormous amount of money by any estimation. (As a DC wit once remarked, “a billion here and a billion there, pretty soon you’re talking about real money.”)
There is some direct funding for agriculture programs in the bill. About $20 billion has been allocated to increase the level of food stamp issuance, which has a small positive impact on agricultural demand. In addition, the USDA has received some increased funding for grants for things like rural housing, infrastructure projects, and health programs in farm communities, and a small budget allocation for improving USDA computer systems. There is also a continuation of funding for biofuel, wind, and solar projects, some of which will find its way into the hands of farmers who have supplemented their crop operations with energy production.
On balance, however, the bill has almost no direct support for the agricultural sector. Hopefully, the spending provisions of the bill will jumpstart the economy and shorten the recession, producing higher demand for farm products and keeping the farm economy humming indirectly. It is clear, however, that the administration does not have the farm community on the front burner in terms of policy priorities.

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