The front page headline of the Des Moines Register on October 210, 2017 read: “Hoping To Break Even” The sub-heading read, “Iowa farmers are facing their fourth year of possible losses as they head into this year’s harvest season”. (See link below.)
The story mostly about the worries of some farmers. It painted a picture of farmers on the brink of bankruptcy for reasons that were out of their control.The Register reported, “For a good number of farmers, it will be a fourth year of losses.”
I don’t doubt that a “good number” of farmers will lose money, but it may be due to their own fault rather than factors that are out of their control… just like businesses in many other industries. There was one telling fact that contradicted the mostly emotional report: “Since 2013 Iowa farm income has dropped from $5.72 billion to $2.6 billion in 2016…” That fact makes it pretty clear that a lot of farmers are still making a substantial profit, and are not losing money.
Farmers are working very hard to make sure that they don’t lose their federal subsidies, even though they have more wealth and higher incomes than most U.S. citizens. When the current Farm Bill expires in 2018, we need to sharply reduce farm welfare subsidies.