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| Well, the livestock folks use around 1/3 of the corn produced and we are price takers just like grain guys. There really isn't a way to just pass along the feed price increase. If the hog/cattle/bird market goes up, then it's ok, if not, not so much. Livestock has already been hit pretty hard and I can't imagine high corn prices not having a 'demand destructing effect'.
I don't disagree that in some ways food is a little too cheap compared to it's value to our lives, but as price takers/capitalists/free marketers, it really isn't our place to go communist/union and demand people pay more. We are all free to market our crops anywhere we want and if you can get more $, great, but if we stay within the price discovery system of the cme, we are not in a position to command price. I really don't think we want to be either - A world where we ration food, is not a comfortable one. | |
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Are prices too high ???
