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More insurance distortions

More insurance distortions<div class="link_description"><p>Crops in future generations will not be grown in exactly the same places they are grown today. Some existing agriculture areas will lose their viability due to climatic shifts. Other areas may pick up the slack — but only if we properly incentivize investment in the right places. </p>

Subsidized crop insurance distorts the financial equation for farmers. It may very well be that many farmers are sitting on land that no longer offers a true risk-adjusted opportunity for profit. But when the government literally takes risk out of the equation, there is no incentive to do anything different.