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To: John S Mosby

Jim Rogers who is living in Asia now. He is the money manager originally from AL.

He said a good career option right now in America is to become a farmer. At least people will have something to eat.

Things are going to get worse.


416 posted on 10/24/2010 10:26:04 PM PDT by Frantzie (Imam Ob*m* & Democrats support the VICTORY MOSQUE & TV supports Imam)
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To: Frantzie

Except that you cannot buy your way into farming now and make it pencil out. Hedge fund clowns like Rogers have bid up the price of farmland to unsustainable levels, even for the prices of commodities farmers are enjoying now.

The only way to get into farming now and make it pencil without subsidies is to marry it or inherit it.

And I’m saying this as a guy who did buy a farm for cash in 1998 and made it pencil in 2005, 6 and 7.

When we moved to Wyoming, I could not believe what people were asking for ag land in most of the state. You could not make a farming or ranching operation pencil out unless you were growing dope or you had magic cattle that crapped gold nuggets. I saw such absolutely nonsensical prices like $4+ mil for a “ranch” that would run about 100 cows, $2 mil for a farm that had about 400 acres in dryland grains.

Utterly absurd prices, completely at variance with the economics of farming.


441 posted on 10/24/2010 11:09:38 PM PDT by NVDave
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