# Study: MFP Payments Larger Than Short-Term Price Impact of Trade War

> Kansas State University economists Joseph Janzen and Nathan Hendricks found that Market Facilitation Program payments generally exceeded the short-term price damage from the trade war. Payments for cotton and sorghum were well above estimated price losses, while corn was an exception. The authors noted that long-run losses are not captured in the analysis.

- Date: 2020-05-13 · published 2020-05-13T12:00:00.000Z
- Category: policy · region US · magnitude low
- Page: https://feedsoft.ai/events/53123-study-mfp-payments-larger-than-short-term-price-impact-of-trade-war
- Commodities: [Sorghum](https://feedsoft.ai/c/SORGHUM.md)

## Why it matters

The finding suggests trade aid has offset the short-run price hit to farmers, which may reduce pressure for acreage shifts away from affected crops. The long-run impact on export demand remains uncertain.

## Read by commodity

- SORGHUM: neutral

## Sources

- dtnpf.com: https://www.dtnpf.com/agriculture/web/ag/news/business-inputs/article/2020/05/13/study-mfp-payments-larger-short-term

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.