AbstractThis chapter explores options for an active adjustment policy for US agriculture. First, it provides a brief review of exiting policies, with particular emphasis on elements oriented towards facilitating adjustment. It then (i) discusses the likely initial impact of a policy change involving a reduction in support; (ii) notes the associated market adjustments; and (iii) identifies particular target groups for adjustment policy. Finally, suggestions are offered for the future direction of policy for agriculture, dealing specifically with measures to address reductions in farm asset values, human capital issues and persistent poverty.