also be switched over to linkage with the cpi. b. the policy of reducing the number of foreign workers, in particular the illegal ones, should be implemented. c. the policy aimed at replacing income support with a program to increase the participation rate in the labor force should be implemented. d. a special work plan should be drawn up to retrain those who have been unemployed for more than a year. e. the programs of support for small and medium - sized businesses should be reviewed and strengthened, with special attention paid to those in outlying areas. f. wages policy should concentrate on the public sector. to carry out the policy of maintaining the real wage, the rules for determining wage drift ( compensation for seniority ; large differentials between grades ; the pace of advancement through the grades ; and other related expenses ) should be amended. 4. dealing with factories in difficulties a governmental approach must be determined to deal with the problems of factories in difficulties : a. a legal framework is necessary ( “ chapter 11 ” ). b. a process must be instituted to distinguish between factories whose continued existence cannot be justified on economic grounds, and those facing temporary difficulties. c. any recovery program for a particular factory should require the participation of the owners ( including investors in the capital market ), creditors, and employees, and not just the government. on the other hand, they are all, including the government, entitled to some benefit if the recovery program proves successful. what is the next step? the professional team and working teams in a meeting called by the minister of finance which took place on 14 november, 2001, with the chairman of the general federation of labour in israel ( the new histadrut ), the president of the manufacturers ’ association, and the governor of the bank of israel, a decision was reached to appoint a professional team. the team ’ s role would be to formulate a work plan such as that which i have outlined above. a work plan is not the same as an operative plan, and working teams must be appointed to go over the details. four such teams can work in parallel : 1. one team will be led by the budget department, and will include representatives of the prime minister ’ s office. this team will formulate the change needed in the budget for 2002, both in the aggregates and in the composition of expenses ; it will also deal with the amendment which will regulate the rules governing private legislation. 2. the second team will include representatives of the new his

thomas m hoenig : recent developments in us agriculture and its role in the us economy statement by mr thomas m hoenig, president of the federal reserve bank of kansas city, before the senate committee on agriculture, nutrition and forestry, washington dc, 17 february 2011. * * * thank you, madam chair. i appreciate the opportunity to discuss recent developments in u. s. agriculture and its role in the u. s. economy. agriculture remains a vital industry in the expansive region that the federal reserve bank of kansas city serves and, accordingly, our bank has a long tradition of focusing significant attention on industry developments. our observations on agriculture, in turn, have given us useful insight into the u. s. and global economies more broadly. in my remarks this morning, i ’ ll describe recent developments in the nation ’ s farm economy and discuss some risks that have my attention. recent developments in u. s. agriculture agriculture – broadly defined as farm production and output from related industries – accounts for almost one - sixth of u. s. jobs and economic activity. while the farm share of economic output has declined as other parts of our economy have grown, increased activity in broader agricultural industries – manufacturing, transportation, distribution and food retailing – has opened new job opportunities in both rural and metro communities. a robust agricultural sector cushioned the rural economy in our and other regions across the nation during the recent recession, and the industry ’ s strength is supporting further improvement in the rural economy today. in 2010, strong demand and tight supplies for most farm commodities contributed to a sharp rebound in farm profits, which then supported sales in farm equipment and other farm - based industries. strong profits from agriculture also girded important elements of our rural financial system. commercial banks with large agricultural loan portfolios posted stronger returns than their peers over the past three years. while more than 300 commercial banks failed during this time, only 22 were agricultural banks. agriculture is also benefitting directly from the rebounding economic strength of china and other emerging market economies, where rapid income growth is driving up food demand. the united states remains a net exporter of agricultural products, shipping more than 40 percent of its wheat, cotton, soybeans and rice crops to foreign countries in 2010. united states crop and meat exports are expected to rise to record highs in 2011. looking out a little further, economists expect global growth to exceed 4 percent well into 2012, with the developing and emerging market economies remaining in the lead. rapid