Recent droughts have caused policy makers to implement water use restrictions in some areas, causing shifts out of irrigated cotton production. With the passage of the 2014 Farm Bill, cotton lint is no longer considered a program crop, and producers will now have to rely on using additional crop insurance for protection. Low cotton prices coupled with lack of domestic policies could negatively impact the amount of acreage dedicated to cotton production. Cotton supply functions were estimated to determine if structural changes exist.
