Re: Why Do Farmers Keep Farming When It's Hard?

Laurie Hodges (lhodges1@unl.edu)
Tue, 17 Aug 1999 18:15:49 -0500

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A related question: Given that by planting time 1999 it was generally known
that there was an oversupply of grain(s) in the pipeline with a forecast of
continued extremely low prices including limited export market (a major "user"
of U.S. grain), why would someone go ahead and plant more? -- which is now
coming into the pipeline and further compounding the over-supply and low
market
prices.

I think it goes beyond, "They always plant in the spring - they can't help
themselves- it's a habit." Most farmers' aren't that dumb. They knew it was
probably going to be a corn market less than $2.00/bu by harvest time. I
suspect ( and eagerly seek confirmation/denial) that it has something to do
with how they get paid from the Federal government, either involving the farm
program, crop disaster payments, or crop insurance that requires the farmer to
plant in order to receive whatever "bailout" is provided. Similarly, given
that prices are below production costs and the crop is in the field, why
harvest and incur additional equipment depreciation and harvest expenses?
Seems
like throwing more money down the drain, whether out of pocket expenses or
equipment depreciation and storage (if available) fees.

At 04:06 PM 8/17/1999 -0500, MEBUCKNER@wvwise.org wrote:
> Your answers can be helpful in developing our local strategy for
>farming
>and farmland protection, and hope you will send replies to the following
>question to me.
>
>QUESTION: Why do you think so many good farmers hold on and keep on
>farming, barely making it, working so hard, and getting so little monetary
>reward for their labors?
>
>MY COMMENTS: I realize that in some areas this may not apply, but it does
>apply here. Our farmers are experiencing two of the worst crises they
>have ever experienced: worst drought in many decades, and low commodity
>prices. I want to know what many of you think about WHY farmers keep
>trying to hold onto their land and keep farming in the face of so many
>difficulties.
>
> Anybody in insurance, plumbing, computer work, or just about any
>other
>job, under conditions farmers face, would have left that job long ago and
>found another line of work. Incredibly long hours, hard physical labor,
>little monetary reward (perhaps 2 cents out of every consumer food
>dollar). All that plus the drought. Plus knowing that people other than
>farmers are rejoicing in the monetary rewards of our present terrific
>economy.
>
> I am not looking for suggestions at this time about other options
>for
>farmers in their
>farming. I just want to know WHY you all think farmers hang in there.
>
> Thanks.
> Marian
>Buckner
>
>
>
>To Unsubscribe: Email majordomo@ces.ncsu.edu with the command
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-----
Dr. Laurie Hodges, Vegetable Specialist
377 Plant Sciences - University of Nebraska
Lincoln, NE 68583-0724
phone: 402-472-2854 FAX: 402-472-8650
e-mail: lhodges@unl.edu
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A related question: Given that by planting time 1999 it was generally known that there was an oversupply of grain(s) in the pipeline with a forecast of continued extremely low prices including limited export market (a major "user" of U.S. grain), why would someone go ahead and plant more? -- which is now coming into the pipeline and further compounding the over-supply and low market prices.

I think it goes beyond, "They always plant in the spring - they can't help themselves- it's a habit."  Most farmers' aren't that dumb. They knew it was probably going to be a corn market less than $2.00/bu by harvest time. I suspect ( and eagerly seek confirmation/denial) that it has something to do with how they get paid from the Federal government, either involving the farm program, crop disaster payments, or crop insurance that requires the farmer to plant in order to receive whatever "bailout" is provided.  Similarly, given that prices are below production costs and the crop is in the field, why harvest and incur additional equipment depreciation and harvest expenses? Seems like throwing more money down the drain, whether out of pocket expenses or equipment depreciation and storage (if available) fees.

At 04:06 PM 8/17/1999 -0500, MEBUCKNER@wvwise.org wrote:
>        Your answers can be helpful in developing our local strategy for
>farming
>and farmland protection, and hope you will send replies to the following
>question to me.
>
>QUESTION:  Why do you think so many good farmers hold on and keep on
>farming, barely making it, working so hard, and getting so little monetary
>reward for their labors?
>
>MY COMMENTS:  I realize that in some areas this may not apply, but it does
>apply here.  Our farmers are experiencing two of the worst crises they
>have ever experienced:  worst drought in many decades, and low commodity
>prices.  I want to know what many of you think about WHY farmers keep
>trying to hold onto their land and keep farming in the face of so many
>difficulties.
>
>        Anybody in insurance, plumbing, computer work, or just about any
>other
>job, under conditions farmers face, would have left that job long ago and
>found another line of work.  Incredibly long hours, hard physical labor,
>little monetary reward (perhaps 2 cents out of every consumer food
>dollar).  All that plus the drought.  Plus knowing that people other than
>farmers are rejoicing in the monetary rewards of our present terrific
>economy.
>
>        I am not looking for suggestions at this time about other options
>for
>farmers in their
>farming.  I just want to know WHY you all think farmers hang in there.
>
>        Thanks.
>                                                                Marian
>Buckner
>
>
>
>To Unsubscribe:  Email majordomo@ces.ncsu.edu with the command
>"unsubscribe sanet-mg".  If you receive the digest format, use the command
>"unsubscribe sanet-mg-digest".
>To Subscribe to Digest: Email majordomo@ces.ncsu.edu with the command
>"subscribe sanet-mg-digest".
>
>All messages to sanet-mg are archived at:
>http://www.sare.org/htdocs/hypermail
>

-----
Dr. Laurie Hodges, Vegetable Specialist
377 Plant Sciences - University of Nebraska
Lincoln, NE  68583-0724
phone: 402-472-2854 FAX: 402-472-8650
e-mail: lhodges@unl.edu

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