Kentucky tobacco farmers provide model for deregulation, increased production and profit
URBANA – If someone agreed to buy your home as is a year from now, you'd likely cancel the kitchen remodel. According to a study at the University of Illinois, Kentucky tobacco farmers adopted that same logic when the tobacco companies announced the buyout – also known as the Tobacco Transition Act of 2004 that ended a 66-year-old federal farm program. However, the immediate drop in productivity was followed by startling changes. Over the 10-year period of the study, the number of farms declined from just over 40,000 farms to just over 8,500 farms – but productivity increased ...



