CARD publication cited in media

March 3, 2020

Ed Balistreri, Wendong Zhang, John BeghinThe article, “The state-level burden of the trade war: Interactions between the Market Facilitation Program and tariffs,” in the winter 2020 issue of Agricultural Policy Review was cited in the Mar. 3 Successful Farming story, "Red Farm States End Up in The Black with Tariff Payments."

In the winter issue of Agricultural Policy Review, the Iowa State University economists say eight states–Iowa, North Dakota, Nebraska, Kansas, South Dakota, Arkansas, Minnesota, and Montana–received more in payments from the stopgap Market Facilitation Program (MFP) in 2019 than they lost due to tariffs. Agriculture was the only sector of the economy to receive trade-war aid, so states where agriculture dominates fared the best.

“Both the 2018 and 2019 MFP payments concentrate heavily on Midwest states, reflecting the political influence of these states’ rural communities,” write ISU Economists Edward Balistreri, Wendong Zhang, and John Beghin. “Many Midwest states experience net welfare gains as MFP payments totally offset the incidence of tariff retaliation on the state economy.”

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