Net Farm Income Forecast To Be Down
20 Percent in 2009
Net farm income is forecast
to be $71.2 billion in 2009, down $18.1 billion (20
percent) from the preliminary estimate of $89.3 billion
for 2008. Still, $71.2 billion would be 9 percent above
the average of $65 billion earned in the previous 10
years.
Net cash income, at $77.3
billion, is forecast down $16.1 billion (17 percent) from
2008 but still 7.6 percent above its 10-year average of
$71.8 billion. Net cash income is projected to decline
less than net farm income primarily because it reflects
the sale of $1.8 billion in carryover stocks from 2008.
Net farm income reflects only the earnings from production
that occurred in the current year.
Highlights
- After reaching record levels in 2008, all
three measures of sector earnings are forecast to decline
in 2009.
- Net cash income would fall 17 percent, but
remain above the previous 10-year average of $71.8
billion.
- Net value-added and net farm income
would also decline from record levels but remain well
above previous 10-year averages.
- Total expenses are forecast to decline for
the first time since 2002.
- The 2007 and 2008 increases in farm expenses, at
$20.5 billion and $36.2 billion, respectively, were
the largest year-over-year absolute changes on record.
- The $13.5-billion decline in expenses projected
for 2009 would still leave farm expenses 9 percent
higher than in 2007.
In 2008, the farm sector was whipsawed by highly volatile
domestic and international macroeconomic forces. Prices
of both farm commodities and farm production inputs spiked
in the first half of the year and then plunged in the
latter half. The U.S. farm sector is perhaps more intertwined
with the world economy than ever. Demand arising from
both the growing populations and rising incomes in other
countries has expanded markets for farm commodities and
increased competition for critical production inputs such
as fuel, feed, and fertilizer.
Commodity production in 2009 can be forecast with some
confidence, assuming that weather patterns adhere to recent
trends. Local and regional production patterns have been
established largely due to relatively constant soil attributes
and weather conditions. The production decisions of individual
farmers are limited by these characteristics and guided
by good production practices, such as crop rotations to
control disease and pests and to maintain soil fertility.
Nonetheless, yields are a critical component of production
levels, and production quantities are never precise until
the harvest occurs.
In contrast, the forecasting of prices received and
paid by farmers is highly uncertain. Volatile international
markets can drive farm prices up and down, and have
made farm income forecasts more treacherous of late.
The record net farm income in 2008 was driven by a large
increase in the value of crop production that was only
partially offset by rising costs of production for the
farm sector. The value of crop
production exceeded its previous record (set in 2007)
by $31 billion, a 21-percent increase. Prices of major
crops (corn, soybeans, wheat) trended upward in late 2007
and continued doing so in the first part of 2008 as the
remainder of the 2007 harvest was marketed. These prices
declined in the latter months as the 2008 harvests occurred,
but remained high by historic standards. Exports were
strong as a weak dollar relative to other currencies made
U.S. commodities more competitive in international markets,
and ending-year stocks of many commodities were low. Commodity
prices trended downward late in 2008 as the national and
world economies softened.
d
d
See monthly prices for crops
and livestock.
See annual prices for commodities.
Corn production
is projected to total 12-13 billion bushels in 2009, which
would be the second highest on record. Soybean production
is projected to be near 3 billion bushels and the fourth
highest on record.
It is expected that 2009 will be another good year for
the farm economy, bolstered by strong demand for feed
crops, oilseeds, and food grains, though earnings will
not equal those of 2007 and 2008. Net farm income, projected
at $71.2 billion, would be the fifth largest on record,
as would net cash income ($77.3 billion) and value added
($108.8 billion).
Most crop prices are expected to be substantially lower
in the 2008/09 marketing year, which includes the 12 months
following the 2008 harvest. Even with larger quantities
of most grains and oilseeds available to market, lower
prices will pull down receipts and production value from
2008's record level. A substantial reduction in milk prices
will signal the same outcome for livestock commodities.
Despite increases for red meat and poultry receipts, overall
livestock receipts are projected down by nearly $11 billion
in 2009.
On the input side, prices are also projected to be less
than in 2008, particularly for most manufactured inputs,
feed, and services such as repairs or transportation.
Overall, the reduction in gross income will be larger
than the reduction in costs, leaving all measures of income
and output below the record levels established in the
past 2 years.
d
The value of crop production is expected to decline
$20.7 billion in 2009, but still remain $10.6 billion
above the value of crop production in 2007. The value
of livestock production is expected to decline $11 billion,
due to a $12-billion drop in dairy production. With farm
production costs (most notably, feed, fertilizer and fuel)
also projected down in 2009, net value added is forecast
to be down $17.3 billion (12.6 percent).
d
Feed costs are a large component of livestock expenses,
and the exceptionally high prices for feed crops in 2008
were pinching livestock producers. Rising costs cause
livestock producers to eliminate their least productive
animals and cut back in less profitable areas of their
operations. In 2009, softening world economies will likely
result in lower demand for the better cuts of meat, if
not meat in general, and thus counter some of the benefits
of less costly feed crops.
Net value added and net farm income have followed the
value of commodity production over both the long term
and in year-to-year fluctuations. Because farmers typically
do not vary their production mix dramatically from year
to year, purchases of production inputs have been relatively
stable. Thus, the direction and magnitude of annual changes
in the value of livestock production have arisen primarily
from market prices for livestock and livestock products.
On the other hand, variability in the value of crop production
is determined by both market prices and production levels.
Crop production varies with changes in yields due to weather,
plant disease, and pests.
d
See our glossary for
definitions of terms.
See the official
USDA estimates and forecast tables.
d
d
d
Declines in Cash Receipts Expected
for Almost All Crops in 2009
Annual receipts from food grains are expected to decline
by almost 22 percent in 2009. This decline mostly reflects
an anticipated 26-percent drop in wheat receipts, which
are expected to account for almost 78 percent of food
grain receipts in 2009. Much of the expected decline in
wheat from 2008 to 2009 results from an almost $2-per-bushel
decline in its annual average price. U.S. wheat exports
are down as U.S. wheat farmers face large world supplies,
especially from the EU-27, Canada, Russia, and Ukraine.
Feed crop receipts, which account for 32 percent of crop
receipts, are expected to decline about 14.6 percent in
2009. The decline is led by a 15.6-percent decline in
corn receipts, which accounted for an estimated 82.3 percent
of feed crop receipts in 2008. The annual average price
of feed corn is expected to decline 75 cents per bushel
in 2009, reflecting weaker demand for corn in ethanol
production and in export markets. Declines in 2009 cash
receipts are also expected for hay (8.7 percent) and barley,
oats, and sorghum (14 percent).
Oil crop receipts are expected to decline over 6.6 percent
in 2009. This decline mostly reflects an expected 6.6-percent
decline in soybean receipts. Soybeans are expected to
account for almost 93 percent of oil crop receipts in
2009. Calendar-year prices for soybeans are expected to
decline by almost $2 per bushel in 2009 and by almost
$55 per ton for soybean meal. Sharp declines in petroleum
prices have reduced the value of soybean oil in biodiesel
production, lowering the premium food processors are willing
to pay. Abundant global supplies of oilseeds and vegetable
oils are weakening U.S. soybean exports. Additional supplies
of domestic vegetable oils are easing demand for soybean
oil. Soybean meal use has also been reduced by a surge
in domestic canola meal use. Soybean meal exports have
softened with rising supplies of soybean meal and competitive
feed grains in India and Europe.
The largest percentage decline (23.7 percent) in cash
receipts is expected for cotton lint and seed, due to
both lower quantities sold and lower prices. Cotton is
expected to account for 2.3 percent of 2009 crop receipts.
Cotton production has declined as farmers have switched
to other crops and as the slowdown in the world economy
has decreased export demand for U.S. cotton.
The average annual price for fruits and tree nuts is
expected to decline by 8.2 percent from 2008. While quantities
sold are relatively stable from 2008 to 2009 for most
fruit and tree nut commodities, there will be fewer fresh
oranges and grapefruit available. Overall, fruit and tree
nut receipts are expected to account for 10.4 percent
of 2009 crop receipts.
Vegetable and melon receipts are expected to decline
over 4 percent from 2008 as fresh-market vegetable acreage
and production decline. Given a smaller 2008 fall crop
(which is marketed through the following summer), potatoes
are also expected to incur a small decline in sales volume,
with higher prices during the first half of the year giving
way to lower values later in 2009. Cash receipts from
the sale of vegetables for processing may increase in
2009 as processors offer higher contract prices to secure
delivery. Quantities sold of dry beans are expected to
exceed their 2008 levels by about 1 percent, but at reduced
prices. In 2009, vegetables and melons are expected to
account for 12.8 percent of total crop receipts.
All other crops are expected to increase their share
of all crop receipts from 14.4 to 16 percent by maintaining
relatively stable cash receipts from 2008-2009 in the
face of declining receipts for most other crops. Greenhouse
and nursery receipts and prices are expected to increase
about 1.6 percent in 2009. Tobacco receipts are expected
to increase almost 9 percent in 2009, partly due to an
expected 3-cent-per-bushel increase in average tobacco
price. Both cash receipts and annual average prices for
sugarbeets and sugarcane are expected to increase in 2009.
Global Economic Uncertainty and Reduced Milk Prices
Drive Animal Sector Receipts Down in 2009
The value of livestock, dairy, and poultry is forecast
to be $131.9 billion in 2009, down 8 percent from 2008.
Domestic and global consumers are being pinched by the
global economic slowdown and high retail prices. This
has reduced demand for livestock, poultry, and dairy products
in domestic and international markets. The U.S. dollar,
which started to strengthen relative to other currencies
in late 2008, has also reduced projected exports of animal
products.
The animal sector is projected to account for 44 percent
of total agricultural cash receipts in 2009. This is nearly
the same ratio as in 2008.
Soft consumer demand is expected to dramatically reduce
milk prices for farmers in 2009. As a result, dairy cash
receipts are projected to be down more than 35 percent
from 2008 levels. While supplies are forecast to remain
similar to last year, farm prices for milk are expected
to decline significantly for much of the year. A slight
price recovery is expected toward the end of 2009 as excess
cows are liquidated. Weaker global demand for dairy products,
a strengthening U.S. dollar, and improved dairy productivity
in Australia and New Zealand are expected to stifle export
growth in the dairy sector in 2009.
Cash receipts for cattle and calves are expected to move
slightly upward to a nominal record high of $50.2 billion.
Beef production is expected to maintain levels similar
to 2008. Although falling crop prices have improved feedlot
margins, weak beef demand will keep placements similar
to 2008. Cow slaughter will continue to be higher than
usual in 2009 as producers cull cows to increase herd
efficiency. Cattle prices are expected to move slightly
upward though weak retail demand will likely preclude
a return to the record prices of recent years. Increased
access to South Korean customers has edged projected beef
exports slightly upward for 2009; however, widespread
recession will limit gains.
Hog producers' cash receipts are expected to increase
3 percent to $16.4 billion in 2009. Supplies are forecast
to be down slightly for the year, which will help boost
prices above the low levels of late 2008. Although U.S.
hog exports have been strong in recent years, they are
expected to fall due to depressed consumer demand for
animal protein in international markets.
Cash receipts for broilers are anticipated to be $24.4
billion in 2009, a 4-percent increase over 2008. Supplies
are expected lower than 2008 due to reduced chick placements,
raising prices about 6 percent. Global economic uncertainties
are expected to diminish the previously strong broiler
export demand, which will reduce leg quarter prices.
Cash receipts from egg production are expected to decrease
around 4 percent in 2009. Lower farm prices in 2008 led
to a reduction in the laying flock, which will decrease
egg production during the first half of 2009. Supplies
are expected to increase as layer placements increase
during the second half of the year. Meanwhile, prices
are expected to trend downward for most of the year due
to reduced domestic demand. Lower prices are expected
to help increase U.S. egg exports over 2008 levels.
Production Expenses
Forecast To Achieve First Year-Over-Year Decline Since
2002
Following an expected increase of $36.2 billion (14.2
percent) in 2008 to a nominal record $290.6 billion, production
expenses are forecast to decrease $13.5 billion (4.6 percent)
in 2009 to $277.1 billion, the second highest level ever.
This drop would be the first since 2002 and the largest
nominal decline ever. Still, forecast expenses for 2009
would constitute a larger share of gross farm income—79
percent—than in 2008.
d
Ten of the 17 expense categories projected by ERS are
forecast to fall in 2009. Feed, fertilizer, fuels, and
oils should drop by more than $3 billion apiece. Sizeable
reductions in prices paid for inputs, especially a projected
31-percent fall in prices paid for fuels, are behind the
lower expenses. After rising almost 16 percent in 2008,
prices paid for production inputs, interest, taxes, and
wages (PITW) should drop more than 3 percent in 2009,
the first decrease since 2002. After rising $7.1 billion
(19 percent) in 2008 and $17.2 billion (61 percent) over
the last 3 years, feed expenses are expected to drop $4.4
billion (9.7 percent) in 2009. The decrease is due primarily
to a projected 9.4-percent fall in prices paid for feed.
Prices paid for complete feeds, the largest component
of feed used, have fallen 26 percent since they peaked
in August 2008. Since corn accounts for around 90 percent
of feed grains used for feed and soymeal is the principal
oil crop product used as feed, prices paid for feed depend
mainly on the prices for these commodities. The forecast
2009 calendar-year average prices of both are down 16
percent. On the quantity side, the number of grain-consuming
animal units (GCAUs) is forecast down 1.5 percent. Cattle-on-feed
are expected to be lower in each quarter in 2009 than
in 2008. Net placements will be up but total supply should
decline. Pork and broiler production are each forecast
down around 1.5 percent. Milk production is expected to
increase 0.5 percent.
Livestock and poultry purchases are forecast to rise
$336 million (1.9 percent) in 2009. Since cattle and calf
purchases account for more than 75 percent of this expense,
this market has the biggest effect on livestock and poultry
purchases. The current economic downturn has weakened
beef demand, offsetting the positive effects of lower
grain prices. Prices paid for feeder steers in 2009 are
expected to remain almost exactly the same as in 2008.
(A projected rise in steer prices in the 4th quarter of
2009 balances lower prices in the first 3 quarters.) An
expected reduction in cattle inventory during 2009 will
lower available supply. The price for milk cow replacements
was trending down in late 2008 as a large number of cows
were being sent to slaughter because of projected low
milk prices in 2009. The annual average farm prices for
hogs and broilers are forecast to rise in 2009.
After rising $15 billion (39 percent) in 2008 to $53.8
billion, the principal crop-related expenses are forecast
to fall $3.7 billion (6.8 percent) to $50.1 billion in
2009. One indicator of crop-related expenses--acres planted
of the principal 14 field crops--is projected to decrease
1.7 percent in 2009. Production of vegetables and fruits/nuts
will also decrease.
d
Following an increase of $3.4 billion (28 percent) in
2008, seed expenses are forecast to rise $400 million
(3 percent) in 2009. Seed prices have been rising rapidly
since 2000 because of biotechnology advancements and the
resultant improved yield potential (Crop
Production Cost and Outlook, FAPRI). Prices paid
for seeds increased an estimated 27 percent in 2008, and
are expected to rise another 7 percent in 2009.
It is difficult to predict how fertilizer expenses will
be divided between 2008 and 2009. They will certainly
be up markedly in 2008, as prices paid for fertilizers
rose 68 percent, and they will probably fall in 2009,
as prices paid are projected to decline almost 9 percent.
Farmers who did not prepurchase fertilizer in late 2007
could not avoid the runup in fertilizer prices during
the first half of 2008. However, as prices continued to
rise through September, farmers probably curtailed purchases.
This tendency was reinforced by plummeting wholesale fertilizer
prices during the last 3 months of the year. Many farmers
probably held off purchasing fertilizer as they waited
for retail prices to come down. The volatility in commodity
prices and the credit market has made farmers cautious.
At the same time, suppliers, who had bought their fertilizer
inventories at the higher prices, have been reticent to
lower the prices they offer to farmers. In addition, many
fertilizer dealers have been requiring full cash payments.
Farmers will eventually need to buy fertilizer, but the
timing and the purchase prices are indeterminate at the
moment. A sudden, large-scale surge in purchases during
the spring would create greater demand than usual. Further,
because of the current dropoff in demand, some fertilizer
production plants have been closed, so the supply of fertilizers
may be constricted when producers try to purchase for
the 2009 crop year. These factors could keep retail prices
from falling to the same extent that wholesale prices
have.
Fertilizer expenses were a greater concern to crop farmers
than fuel costs in 2008 as they were expected to rise
$10.8 billion (64 percent), due primarily to the increase
in fertilizer prices. Fertilizer expenses are forecast
to fall $3.5 billion (12 percent) in 2009, due again to
the movement in fertilizer prices. Another factor that
points to lower fertilizer prices in 2009 is that the
cost of natural gas, the primary source for nitrogen fertilizers,
is forecast to decline in the fourth quarter of 2008 and
fall 38 percent in 2009. Total applications in 2009 (acreage
for principal crops times per-acre application rates)
are forecast down 0.8 percent.
Pesticide expenses are forecast to fall $685 million
(6.2 percent) in 2009. Prices paid for pesticides should
fall by a little more than 2 percent in 2009. Pesticide
use is forecast down 0.3 percent in 2009.
Fuel and oil expenses are forecast to decrease $5.4 billion
(33 percent) in 2009. Like fertilizer prices, fuel prices
have risen dramatically since 2002. Annual average fuel
prices have registered six straight double-digit percentage
increases and, since 2002, are projected to have risen
more than 200 percent through the end of 2008. Prices
paid for fuels have fallen since July 2008, however. By
the end of December 2008, fuel prices stood 31 percent
lower than in December 2007. In mid-January, the price
of crude oil was below $40 per barrel, down from nearly
$150 per barrel in July (see: www.oil-price.net).
This fall in prices during the latter part of 2008 is
significant because questions about the timing of input
purchases on the 2008 Agricultural Resource Management
Survey (ARMS) showed farmers purchasing 50 percent of
their fuels in the third and fourth quarters. Refiner
acquisition cost is projected to remain around $40 throughout
2009, a drop of 57 percent from 2008. Lower planted acreage
in 2009 will likely prompt a reduction in fuel use during
the year.
Payments to Stakeholders (Providers of Hired Labor,
Rented Land, and Debt Capital)
Payments to stakeholders are projected to increase around
$800 million (1.7 percent) in 2009 and are expected to
constitute 41 percent of net value added, up significantly
from 2008. Stakeholder payments as a percent of total
expenses have been dropping since 1984 when they peaked
at 26.5 percent. In 2009, the ratio should rise slightly
to 17.6 percent.
Following a $1.1-billion (5-percent) rise in 2008, employee
compensation (hired labor) is forecast to fall around
$100 million (0.4 percent) in 2009. Farm wage rates are
projected to be nearly the same in 2009 as in 2008. Fruit/nut,
vegetable, dairy, and greenhouse/nursery operations are
the heaviest users of hired labor. The production of fruits
and nuts is slated to fall in 2009. Vegetable production
will likely remain about the same, while diary and greenhouse/nursery
production should be up a small amount.
Net rent to nonoperator landlords is expected to rise
around $700 million (7 percent) in 2009. The 2009 increase
would be the result of an 8-percent increase in cash rent,
an 11-percent drop in share rent, and a 12-percent decline
in landlord government payments.
In 2009, interest expenses are forecast up $200 million.
Total end-of-year debt will be 1.0 percent higher as real
estate debt is forecast up $3.2 billion (2.5 percent)
and nonreal estate debt is expected to decrease around
$800 million (0.8 percent). Annual average interest rates
on both outstanding real and nonreal estate farm loans
in 2009 are expected to be the same as rates in 2008.
Government Payments
Forecast at $11.4 Billion
Direct government
payments are expected to total $11.4 billion in 2009,
down from the $12.4 billion paid out in 2008. This level
would be 27 percent below the 5-year average for 2004-08.
Direct payments under the Direct and Countercyclical Program
are forecast at $4.89 billion for 2009, almost a 5- percent
decrease from the average for the previous 5 years. This
decrease is primarily attributed to producers giving up
a portion of their direct payments upon enrolling in the
Average Crop Revenue Election Program (ACRE) in 2009.
This program was recently authorized by the Food, Conservation,
and Energy Act of 2008 (2008 Farm Act), whereby direct
payments in 2009 will be reduced by 20 percent for ACRE
enrollees, even though few if any ACRE payments will actually
be made in this calendar year. In general, direct payment
rates are fixed in legislation and are not affected by
the level of program crop prices. The small fluctuations
across calendar years are the result of changes in the
number of farmers taking advantage of optional advanced
payment in December, affecting the share of the payment
rolled into the following calendar year. As of last December,
very few advanced payments were made.
Countercyclical payments are forecast to increase from
$720 million in 2008 to $1.2 billion in 2009. The drop
in cotton prices in the latter half of 2008 is responsible
for this projected increase in program payments. Since
2006, only upland cotton and peanuts have received countercyclical
payments. Under the 2008 Farm Bill, the timing of countercyclical
payments will change. For crop years 2008 through 2010,
producers will receive two countercyclical payments. A
partial payment will be made after 180 days of the marketing
year and the final payment will be made beginning the
following October 1 st.
Marketing loan benefits—including loan deficiency
payments, marketing loan gains, and certificate exchange
gains—are projected at $685 million in 2009, up from
$90 million in 2008. In 2009, upland cotton producers
will realize almost 99 percent of the total marketing
loan benefits. The other crops receiving marketing loan
benefits are wool, mohair, and pelts. Although prices
have declined from their peaks in 2008, marketing loan
benefits are still not available to the remaining program
crops at current price levels.
The Milk Income Loss Contract Program (MILC) compensates
dairy producers when domestic milk prices fall below a
specified level. High prices in 2008 meant that less than
$1 million in MILC payments went to producers. For 2009,
current economic uncertainties appear to be reducing demand
for dairy products; falling milk prices are forecast to
generate $700 million in MILC payments to producers this
year.
Forecast at $360 million in 2009, Tobacco Transition
Payment Program (TTP) payments are expected to be one-third
less than in 2008. Payments reported here include both
CCC payments and lump-sum payments. Begun in 2005, this
program provides annual payments over a 10-year period
to eligible quota holders and producers of tobacco. Since
the inception of the program, lump sum payments to individuals
have been made through agreements with third parties in
return for the producers' and quota owners' rights to
the 10-year TTP payment stream. While significant lump-sum
payments were made in 2005 and 2006, producers continued
to participate in these buyout agreements in 2007. As
a result, actual TTP payments to producers are expected
to continue declining beyond 2009, albeit at a decreasing
rate.
Conservation programs include all conservation programs
operated by the Farm
Service Agency and the Natural
Resources Conservation Service that provide direct
payments to participating producers that adopt approved
conservation practices. Estimated conservation payments
of $3.2 billion in 2009 reflect programs being brought
up toward funding levels authorized by current legislation.
Ad hoc and emergency disaster program payments are forecast
to be $260 million in 2009. Disaster payments appropriated
under Title IX – Agricultural Assistance - of the U.S.
Troop Readiness, Veterans' Care, Katrina Recovery, and
Iraq Accountability Appropriations Act, 2007, were largely
paid out in 2008. As a result, these payments are projected
to drop by 90 percent in 2009. The 2008 Farm Act created
a permanent fund for disaster assistance, the Agricultural
Disaster Relief Trust Fund. Producers in disaster counties
who are eligible for Supplemental Revenue Assistance (SURE)
payments made from this trust fund will begin receiving
payments in calendar year 2010.
d
| Farm Income Forecasts
Grow More Refined Over 19 Months The periodic
farm income forecasts and estimates published by
ERS over the course of a crop year (5 over a span
of 19 months) can vary markedly from one release
to the next. For example, the first forecast of
2009 income (in February 2009) undergoes painstaking
refinement as new information becomes available.
Release dates for the updated forecasts correspond
with the availability of seasonal data and annual
survey results. For example, an August 2009 update
of annual crop values benefits from preliminary
output and yield numbers as reported by producers
in the field. Likewise, production expenses can
be extrapolated from prior-year expense data and
several months of current-year input prices. Additional
refinements in November and the following February
(2010) incorporate harvest, sales, and inventory
data. Ultimately, an August 2010 estimate of 2009
farm income will be published.
Individual components of the farm income accounts
adhere to different timetables and are subject to
varying degrees of uncertainty. For instance, crop
inventory adjustment is a residual component of
total supply (production and beginning-of-year stocks)
and use (domestic and exports). Farm household income
is contingent on many factors (amount of off-farm
work hours and wage rates) that transcend crop and
livestock numbers. Government payments—which
are a function of prices, production, eligibility
rules, and ad hoc disaster legislation—are
also hard to forecast with any certainty, and that
uncertainty compounds the margin of error that measures
like net cash income are subject to from first forecast
to final estimate.
Crop and livestock receipt forecasts tighten significantly
as additional price and output data become available
during the forecast period. As a result, by harvest
time, the relative error (between forecast and actual
totals) is generally less than 2 percent for total
cash income and less than 5 percent for net farm income.
Of course, in absolute terms this can amount to as
much as $4 billion across the farm sector. |
See glossary.
|
