Journal of Agricultural and Applied Economics, 28,1 (July 1996):88–94 @ 1996 Southern Agricultural Economics Association Alternatives for Small Farm Survival: Government Policies Versus the Free Market

This paper briefly outlines a topology of small farms and then considers the role of the government versus the market in key public policies such as commodity income support, environment, stability, research, and rura [ development. A number of options are explored for public policy to better serve small farms, including drastic alternatives such as graduated property taxes on farmland, with exemp-tions or lower rates for small farms. These and other alternatives are not necessarily recommended. Improved extension education and human resource development offer some of the most promising public policy opportunities to help small farmers. Key Words: government, limited resource, market, programs, research, rural, scale, small farm. A 1987 study reported that 80 % of a random sample of American adults indicated that “the family farm is an essential part of our heritage and must be preserved ” (Jordan and Tweeten, p. 3). In translating that belief into reality, much conflict arises over such questions as: What is a family farm? and How best can it be preserved? For purposes of this paper, we arbitrarily define a small farm as a crop and/or livestock production, decision-making and risk-bearing unit, with annual sales of less than $100,000, While most such small farms are family farms, we recognize that family farms also can be larger. Commodity programs are being phased down