Score contribution per author:
α: calibrated so average coauthorship-adjusted count equals average raw count
Accurate supply parameters are essential for policy analysis, especially since they often support taxpayer-funded relief programs costing billions of dollars. This study incorporates a broader dataset than traditional methods and applies modern, straightforward econometric techniques to estimate marketing and supply elasticities for the U.S.’s top crops: corn and soybeans. While rarely examined, marketing elasticities, at 3.27% for corn and 2.86% for soybeans, capture the rate at which producers market harvests based on expected cash-futures basis changes. A 3SLS approach estimates supply elasticities for corn and soybeans at 0.28 (95% CI: 0.09–0.47) and 0.12 (95% CI: 0.007–0.22), respectively; we use these elasticities to show that USDA’s COVID-19 compensation programs underestimated losses to the producers of both commodities.