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| I would like some one to tell me where the idea that lower prices are going to reduce corn acres by a significant amount?
If you want to see the future you have to understand the past.
In the years leading up to the dust bowl prices kept falling while acres increased . That's a fact. Lower prices can lead to even more production.
We have no three year reserve. We have no loan to speak of. And we have no set aside program or pik program.
What we have is an insurance program that's going to lead to a wreck like none we have ever seen. If you think weather is going to save prices you would be making an against the odds bet. That rhetoric is some what comical when it's never countered with what if we go above trend line . I have seen what happens when the bottom drops out. I have seen farmers go door to door trying to sell their farms when the real estate guys couldn't find a buyer before the bank was going to foreclose . I've seen farms sell for half what people paid ten years later .
Like I wrote a month ago 5.25 for 180 is pretty good. And now 4.50 times 200 is still pretty good. Better than storing till July and a big crop coming and take 3.50 for it.
Edited by sealkiller 9/20/2013 23:05
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Low prices and corn planting reduction myth.
