western iowa,by Denison | Boone & Crockett - 12/4/2023 04:33
Rates is over time, farming assets such as livestock, land and equipment should all get cheaper, but higher interest rates should, can, and will drive down the inputs and expenses necessary to operate the farm, so the % of net profit should, can and will be the same, (or more) on much lower capital requirements. This is necessary so as to provide the producer a true return on his invested capital and labor. Pretty disheartening to thaw out frozen waterers and vaccinate sick livestock for equal, or less return than having the cash invested in the bank.Edit too add; this kinda in response to both BLkCow and Balzys replies.
If I had followed this line of thinking I would be just a grain farmer,wouldnt be fighting a "C corporation" and be a annoyance at the coffee shop !
Year in year out it is about a 1% gain-really good year 2%
Better to own the bank,they get a return on you-always thought it took a smart man to get a return on the other guys money with just returning interest and capital |
what are bred cows selling for
