Revising Classification Structure Using Survey Data [Discussion]

New York State has three brop-raising farm classifications; fruit farms: vegetable and berry farms; farms, not otherwise classified. Before 1965, the basis for assigning a farm to either the fruit for vegetable farm classification was the acreage used for different types of crops. If more than 50% of the farm's acreage was used for fruit or vegetable production, the farm was assigned to the fruit or vegetable classification. After a study in 1965, the New York Compensation Insurance Rating Board felt that the 50% acreage requirement did not properly allocate the farm compensation hazard and changed it to an income requirement: annual income from the sales of fruit or vegetables must constitute more than 50% of the total farm income.