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Economics 101, Beef and Cattle
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dairyman78
Posted 5/4/2021 07:28 (#8986458 - in reply to #8984989)
Subject: RE: Economics 101, Beef and Cattle


S.C. Wisconsin
I am no longer in the cattle business, but due to my age I have observed cycles in business. Jim is correct in his assessment in my opinion. Usually when a sector in business becomes popular a lot companies and people jump on board usually leading to excess production, Then there is a race to the bottom with very little or slim profits. A good share of the companies in this business either go bankrupt or exit the business. Then there are only a few players in the business that pretty well control business. In a lot of cases the companies that survive are not always the most efficient but have a lot of capital to out capitalize the competitors.
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