| tmrand - 12/5/2016 08:30
I agree with you there Jon. $3 wheat is like $2 corn. Just tell the guys in the corn belt not to grow corn. What would they do? Just spend their time standing in the soup line?
We would quickly have to find a way to grow it cheaper. No doubt it would be pretty nasty at first. Guys walking away from rents, nuttier guys picking up the ground going almost immediately bankrupt which would lead to an overshoot to the downside on rents and possibly other inputs. That won't last long though. Once the dust settles things will find their real value. Sticking the government into the deal just further distorts things and with so many acres in production no politician wants that set aside bill or "optics". It also means once started it would be continual - set aside isn't likely to fix the oversupply problem. |
How the volunteer paid set aside will work.
