1. Charles B. Moss, Ashok K. Mishra, and Tyler Mark
Impact of Farm Program Payments on Biofuel Sector: Implications for Structural Change
Charles B. Moss, Ashok K. Mishra, and Tyler Mark

2. Introduction
Coals to Newcastle – Review of agricultural policy regimes.
Before the Brennan Plan
Crop allotments
Post Brennan Plan
Target Price/Deficiency Payments
Commodity Credit Corporation
Program Base Acres
FAIR 1996
AMTAPs or PFC
LDP
Reduced the linkage to base acres

3. FSRI
Maintained several features of the FAIR with respect to base acres
FCE
Continued the FSRI

4. p1y1+p2y2+p3y3-wx-l[f(y,x,a)]
p1f(x1)a1+p2f(x2)a2+p3f(x3)a3-wx+m(aT-a1-a2-a3)
(p1+t1 )f(x1)a1+p2f(x2)a2+p3f(x3)a3-wx+m(aT-a1-a2-a3)+k(a1*-a1)
[(p1+t1 )f(x1)-w]=[p2f(x2)-w]=[p3f(x3)a3-w]=m
a1*>a1

5. Change in Southern Agriculture
Corn Price
Corn and Fuel Prices
Sugar
Cotton
0.0146
Corn
0.1017
0.1031
Other Crop
0.0161
0.0109
Livestock
Seeds
0.0062
0.0008
Fertilizer
0.0167
0.0269
Pesticides
0.0046
0.0084
Fuel
0.0013
Labor
0.0113
0.0055