Author Question: Explain how the Commodity Credit Corporation (CCC) benefits farmers. What will be an ideal ... (Read 31 times)

jjjetplane · **on:** Jul 21, 2018

Explain how the Commodity Credit Corporation (CCC) benefits farmers.

What will be an ideal response?

Question 2

What is the purpose of the Farmers Home Administration (FHA)?

What will be an ideal response?

adf223 · **Reply #1 on:** Jul 21, 2018

Answer to Question 1

The CCC, administered as an agency of the U.S. Department of Agriculture, is a government-owned
corporation. Loans are made on commodities such as grain, cotton, peanuts, and tobacco. Farmers use
the commodities as security for the loan. Payment of the loan is made by purchasing the loans or
delivering the commodities to the CCC.

Answer to Question 2

The government created the Farmers Home Administration during the Depression. Its purpose was to
assist tenant farmers in becoming landowners. The FHA provides financing to farmers who are unable
to secure credit from any other source. The following are the advantages of borrowing money from the
FHA:
A large percentage of the total cost of the property can be borrowed.
The repayment plan is based on the borrower's ability to repay.
Supervision of the loan and assistance with planning are provided.