Posted by johndeerefan on November 08, 2012 at 08:38:00 from (216.135.37.250):
In Reply to: Farm subsidies posted by Fritz Maurer on November 07, 2012 at 16:58:42:
I really don't understand where everyone thinks these programs and subsidies are a cash cow.
Example 1: CRP ground.....Yes you get paid an amount per year per acre. But, you have to pay for a percentage to plant it and maintain it. Plus, you actually make more per acre leasing it out or farming it. Not to mention I really hate the stuff. I haven't seen the first sign of wildlife in our fields since we planted the junk 4 years ago. Before that we row cropped it and had plenty of wildlife.
Farm subsidies: He who has the most land gets the most $$$ for corn, wheat, or soybean bases. Yes they receive large amounts, but they also spent a whole lot more on the real estate. I haven't seen a farm that was able to pay for itself using only the government programs.
Like everything else, it takes money to make money or equity. Some programs will pay 50% of the cost up to a certain amount, but you have to foot the bill for the other part. That is a nice trade off if you were going to do it anyway. But, not so great if you are just doing it because 50% of it is paid for. Your still out the cash and it only builds up the equity return. Which is only good if you plan to sell at some point.
Can someone explain to me why people think farmers are actually making a living off the gov. programs? I just don't see it.
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