The price of peanuts, another important Georgia crop, increased from 1. Subsidies were distributed to landowners, not to sharecroppers, who were abundant in Georgia. When the landlords left their fields fallow, the sharecroppers were put out of work. Some landowners, moreover, used the subsidies to buy efficient new farming equipment. This led to even more sharecroppers being put out of work because one tractor, for example, could do the job of many workers.
In the Supreme Court struck down the AAA, finding that it was illegal to tax one group—the processors—in order to pay another group—the farmers. Despite this setback, the Agricultural Adjustment Act of had set the stage for nearly a century of federal crop subsidies and crop insurance.
In Congress enacted the Soil Conservation and Domestic Allotment Act, which helped maintain production controls by offering payment to farmers for trying new crops, such as soybeans. Crop insurance was included in the new Agricultural Adjustment Act of , which paid subsidies from general tax revenues instead of taxes on producers. The legacy of crop subsidies and crop insurance continues well into the twenty-first century.
In the U. In , 2. Dobbs, Chris. Dobbs, C. Agricultural Adjustment Act. In New Georgia Encyclopedia. The law offered…. The soybean plant, first introduced to Georgia in , originated in China. The plant was brought to the Georgia colony by Samuel Bowen, who planted it after settling in Savannah. In the latter part of the nineteenth century, the U. Department of Agriculture encouraged the cultivation of soybeans in the state.
The New Georgia Encyclopedia does not hold the copyright for this media resource and can neither grant nor deny permission to republish or reproduce the image online or in print.
All requests for permission to publish or reproduce the resource must be submitted to the rights holder. In , three years after Roosevelt contracted polio, he began visiting Warm Springs in Georgia. The springs were thought to be beneficial for polio victims. In the short run, farmers were paid to destroy crops and livestock, which led to depressing scenes of fields plowed under, corn burned as fuel and piglets slaughtered. Nevertheless, many of the farm products removed from economic circulation were utilized in productive ways.
More important was the long run effect of the AAA. Farmer were paid not to plant as much cotton, corn, wheat and other staples and to create marketing boards to regulate output in a range of crops. As a result, farm prices rose. On January 6, , however, the U. Supreme Court ruled that key provisions of the law were unconstitutional; in particular, the majority of the Court felt that the control of agriculture was a state function not a federal one [8].
This was to reduce any surplus in crops and to increase the market value of crops. One of the task that the Roosevelt administration was given was to decrease the surpluses in milk, tobacco, wheat, field corn, rice, cotton, and hogs Rasmussen 2. These products were focused on because: 1 Changes in prices of these commodities played a crucial role in deciding the prices for other important commodities.
In the AAA of Farmers who reduced their crop size were paid proceeds from taxes imposed on the processors of farm products. The regulation of agriculture was deemed a state power U.
Two years later on February 16, , the Agricultural Adjustment Act was enacted. The Act revised provisions to the previous AAA with the exception that the processors tax would no longer provide any funding. The Federal Government would now provide the funding for farming Peters.
0コメント