Emerging Issues In Agricultural Finance

Michael Boehlje

ISU General Staff Papers from Iowa State University, Department of Economics

Abstract: Advances in technology have enabled farmers in the United States to achieve continued increases in output per unit of input for several decades. This technological revolution has brought about several significant changes in the structure of agriculture. The substitution of physical capital for labor and the increased use of purchased inputs has created a need for substantially more funds both in the aggregate and on a per farm basis. Technology has also resulted in fewer and larger farming units. Over time, profit margins in agriculture have declined, so farmers have been increasingly dependent upon outside sources of funds.

Date: 1981-01-01
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