The Kansas City Federal Reserve Bank’s recent “Main Street Economist” delves into the drought and its initial impacts on farmers and ranchers, agribusinesses and U.S. food prices.
“The most extensive drought in half a century has ruined one of the most promising harvests in U.S. history, and U.S. crop prices surged as the prospect of a bumper crop evaporated,” the Kansas City Federal Reserve Bank said. “With shrinking yields, crop insurance payments will be a vital revenue source for farmers, underpinning gross revenues for many crop producers.”
Kansas City Federal Reserve Bank news release
Disclaimer: The opinions expressed within this article are the views of the writer and do not necessarily reflect the views and opinions of American Farm Bureau Federation.
