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KS and NE in eastern 3rd | If you make a 10% return on your variable cost then you are roughly making 40 per acre on corn. Now if the margins get tighter and the return drops to 5% you need to farm twice as many acres to get the same profit. There's a limited amount of profit in the ag sector, the more hands that are in the pot the less each will get. This is why the number of farms will decrease and the size of the remaining operations will increase. | |
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Frytown and Soysbeans
