FARM ADJUSTMENT AND THE ROLE OF GOVERNMENT*

The problem of low income farms in Australia is examined in a dynamic context of overall farm adjustment. It is suggested that the pace of agricultural adjustment has been and is too slow, in the light of current and prospective market and cost trends. Consideration is given to both the case for, and the possibilities of, government action and the relationship of on?-farm adjustment to the adjustment needs of the economic and the social infrastructure on the agricultural sector.