Intended to provide teachers with an analysis of contemporary United States agriculture, this analysis begins with an overview of the farm community focusing on the income distinction between wealthy commercial farmers and other farmers. The cause of farm unrest is that earnings are too low relative to expenses. The problems of declining farm incomes and land values are described. Major factors contributing to the farm problem are discussed and include: bad weather, reduced inflation, the increase in the value of the dollar, inappropriate agricultural policy, and productivity increases. Past government policies have failed to provide a solution because the people who benefit from an increase in agricultural prices and increases in government price supports are the current owners of farm resources. New proposals to help the farm problem include a governmental conservation plan to reduce supply and thus raise prices, but its impact is projected to be marginal. Two governmental policies are suggested that may greatly reduce the prospects of agricultural boom and bust: (1) promotion of free international trade in agricultural goods and (2) providing a stable macroeconomic policy to reduce inflationary expectations in land value. Tables illustrating farm income, farm community financial characteristics, interest rate comparisons, and farm real estate change are included. (TRS)