Posted 4/7/2021 06:12 (#8937470 - in reply to #8937311) Subject: RE: Thinking about ag economy
Reality is spot on for the 80’s crisis. Cost of production increased because interest rates increased and commodity prices decreased.
Harken to today, it doesnt have to be interest rates causing cost of production to go up it can be dollar devaluation causing health care, iron and paint, pesticides, fertilizer, seed, property tax, parts, labor, insurance and repairs ........
All the while the world will out produce chinese demand and prices will eventually go down to the long term uptrend line.
I showed this chart to my seed customers at my risk management meeting. As unprobable as it seems it is possible.