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Impacts of CRC Price Limits on the Value of CRC Relative to RA

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CRC has price limits when calculating crop revenue. In 2008, there is over a 30% chance that harvest prices will exceed CRC limits for corn. Higher chances of exceeding CRC limits increase the value of RA relative to CRC. In corn, RA is worth about $11 than CRC at a 75% coverage level.

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