Center for Agriculture and the Economy
Leveraging expertise from the Kansas City Fed, the Center provides timely analysis of industry developments and conducts ongoing research on the agricultural economy.
The U.S. Farm Economy Has Outperformed Pre‑Pandemic Expectations
May 27, 2026
By Nate Kauffman
Economic conditions in agriculture have softened in recent years but remain notably stronger than what was expected prior to the pandemic. In 2019, USDA projected that farm income would remain subdued over the next 10 years due, in part, to expectations of strong global production of major row crops and limited demand growth. Instead, from 2020 through 2025, farm income was almost $300 billion higher, cumulatively, than what 2019 projections anticipated. Government payments accounted for $70 billion of this total. Although farm income has fallen from a near-record high in 2022, the post-pandemic strength has continued to provide support during the recent downturn.
Sources: USDA and Federal Reserve Bank of Kansas City staff calculations
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The Kansas City Fed's Continuing Commitment to Agriculture
Through regular surveys, analysis and connections across the industry, the Kansas City Fed has had a longstanding focus on U.S. and global agriculture. Leveraging this expertise, the Center for Agriculture and the Economy serves as a resource within the Federal Reserve System by providing timely analysis of industry developments and conducting ongoing research on the agricultural economy. The Kansas City Fed is committed to understanding developments in the agricultural economy and gathering perspectives from rural America in order to include them in discussions on the national economy.
The Kansas City Fed's Ag Connection
Agriculture is central to the Kansas City Fed’s 10th District’s economy, from farm production and food manufacturing to agricultural banking and finance. Through its regular surveys, analysis and connections across the industry, the Kansas City Fed has had a longstanding focus on the U.S. and global agricultural economy. At the same time, connecting with stakeholders and ag industry professionals through events, round tables and conversations is critical to the Bank’s work.