Good afternoon,
The March 14<sup>th</sup> deadline to fund the government is inching closer and closer. Today, the House will <a href='[link removed]'>vote on a bill</a> to fund federal agencies through September to avoid a shutdown. Yet again, lawmakers are playing games with funding deadlines and exposing the American economy to unnecessary risks.
Measles cases are flaring up across the nation, jumping <a href='[link removed]'>35% in one week</a>, with cases now reported in 12 states. HHS Secretary Robert F. Kennedy Jr. announced the Department of Health and Human Services would conduct clinical trials on unproven treatments—such as vitamin E and cod liver oil—that he claims lead to '<a href='[link removed]'>miraculous and instantaneous recovery</a>' despite no evidence to support those claims.
Here are a few important updates...
ARE TARIFFS WORKING? (NO.)
The trade war shows no sign of slowing down. Economists warn that the Trump administration's tariffs on China, Mexico, and Canada could trigger <a href='[link removed]'>a full-blown recession</a>. China has already retaliated, imposing an <a href='[link removed]'>additional 15% tax</a> on vital American farm products, such as chicken, pork, soybeans, and beef. As China pivots to less expensive alternatives, American farmers are being set up to fail.
President Trump's tariffs have <a href='[link removed]'>jeopardized the trade relationships</a> that American farmers have worked tirelessly to build. Farmers are still struggling to recover from the damaging effects of the trade war that occurred during Trump's first term, and new tariffs will only exacerbate economic hardships. In Minnesota, where one in every <a href='[link removed]'>four rows of soybeans</a> is exported to China, generating over $2 billion in sales annually, the ongoing trade war will devastate the state's agricultural community.
A <a href='[link removed]'>Virginia-based farmer</a> described the tariffs as having 'cast a web of uncertainty around agriculture,' leaving farmers bracing for the trade war's impact. This period of heightened stress will undoubtedly cast ripple effects across the rural economy, potentially weakening support from a key demographic of President Trump's base as farmers continue to bear the burden of his policies. As one <a href='[link removed]'>struggling farmer</a> put it, 'the administration is offering a flashlight that kind of flickers off and on.'
FARMING AND THE ENVIRONMENT?
For decades, the USDA has supported farmers in adopting techniques to better preserve their lands, many of which also benefit the environment. Now, terms such as 'climate adaption and resilience planning' and 'environmental education' are under scrutiny, and billions in aid to the U.S. farm sector have been frozen. Funding for climate-resilient farming practices, which received labels under President Biden's administration, has been halted, putting <a href='[link removed]'>more than $400 million</a> of climate-related projects at risk.
President Trump has targeted 'climate-smart' projects, even though farmers are simply trying to make their lands healthier. According to an analysis from the University of Illinois Urbana-Champaign, if IRA funds for conservation programs remain frozen, farmers could stand to lose <a href='[link removed]'>$12.5 billion overall</a>.
EGG-O-NOMICS WEEKLY
Last week, the average price for class A large eggs was $6.85, a 16.49% increase* since the week of January 17th.
*Based on USDA weekly average pricing for class A large eggs.
NUMBER OF THE WEEK
<a href='[link removed]'>$55.6 billion</a> – The economic contribution of the National Parks system to the U.S. economy in 2024. The parks also supported over 415,000 jobs.
The vast majority of spending related to park visitors is done in rural economies, directly contributing $26.4 billion to rural communities. With the planned slashing of seasonal workers at national parks this economic engine could be under threat. With the rising danger of a recession, many rural communities would be devastated by this lost income.
This is a tremendous return on investment – the park system only requires $3.475 billion in funding to operate.
LOOKING AHEAD
On <a href='[link removed]'>March 26, SCOTUS</a> will hear arguments in a case challenging the constitutionality of federal funding for rural broadband service.
WHAT WE'RE READING
AP News: <a href='[link removed]'>China strikes back at Trump tariffs with 15% levies targeting US farmers</a>
Reuters: <a href='[link removed]'>Farmers put plans, investments on hold under Trump USDA spending freeze</a>
The Washington Post: <a href='[link removed]'>Republican Medicaid cuts could shutter rural hospitals, maternity care</a>
The Daily Yonder: <a href='[link removed]'>Experts Warn Selling-Off of Public Lands Could Be the Goal Behind Dismantling of Federal Agencies</a>
Be sure to follow the One Country Project on <a href='[link removed]' target='_blank'>Bluesky</a>, <a href='[link removed]' target='_blank'>Twitter</a>, <a href='[link removed]' target='_blank'>Facebook</a> and <a href='[link removed]' target='_blank'>Substack</a>, and listen to <a href='[link removed]' target='_blank'>The Hot Dish</a> podcast.
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