High prices

[NY 986]

There is always the guy who paid 5,000 dollars and has reached a point in life where there is no more putting off selling his equipment. Will the guy who paid 20,000 be able to last long enough to whether a downturn. When everybody is saying it can't go bad is the time to look out. They say there are troubling signs in the economy such as more late payments, defaults, and bankruptcies happening.

 

[paul]

It will take a 1980s farm economy to change things.

We are still in the 1970s.....

 

[BarnyardEngineering]

(quoted from post at 10:45:23 02/05/23) When farm commodity prices drop. Right now farmers are swimming in cash so everyone and his brother wants to get on the gravy train too.

If corn was $10 a bushel I'd buy that, but it never even got to $8 last year.

 

[44 massey]

I figured with interest going up land values which would come down but apparently not!!! They just sold 300+ acres of irrigated farm ground about 15-20 miles from me here in northeast Nebraska and heard today it brought. $14,000 per acre!!!

 

[mjsnodgrass]

things around here are getting to where people are starting to dump things. payments on the things they bought with nnalert money are starting to catch up with them. i've been picking up a few things here and there. i do agree with you that the farmer that needs to downsize will probably sell his stuff cheaper. trouble around here, those are done deals by the time i find out about them. after the family picks through things, there isn't much left anyway.

 

[Tony in SD]

Paul. Not sure what you mean by 1980s farm economy. A lot of farmer went broke in the 1980s. Land went sky high as did interest rates. Then land lost 75% of its value. Was not a good farm economy as I remember it.

 

[RobCons]

I am confused and have been for a long time about where all the money comes from. Lot of reports say we are in bad shape, paychecks not keeping up with inflation and such. But look at restaurant and retail parking lots they are full of customers buying things. Tractors, cars, real estate, groceries, health care everything is more expensive than yesterday. Where is the money coming from? Oh and I dont see any future big decline in prices. Doesnt seem to be a reason for it to happen.

 

[flying belgian]

I have thought the same thing Robcons.

 

[Buckhammer]

A good economic barometer will be told on this site when those who post under the Whats For Supper thread are no longer posting pics of T-Bone steaks on the grill but are stating they are eating sloppy joes and homemade soup for the 4th night in a row.

 

[JD Dave]

As the old saying goes, Some people have more money than brains. I figure I'll be the last man standing around here with people in my town with 20,000 square foot houses on 10 acre lots asking $3,500,000.

 

[NY 986]

When's the last time we had such a thread? I think it's been a while. Have we become too jaded as a society for that?

 

[NY 986]

I think that some people are in the know in terms of obtaining money and are letting the rest of us wonder about it. I think
most of the 3.5 million dollar estates come from people that know how to work the system versus having a job or owning a
conventional company. Their are some that we do not want to know meaning criminal or unethical practices.

 

[Butch(OH)]

There is some nice laying and we'll drained crop ground near me for sale at $24,000 per acre!

 

[Bruce from Can.]

There have always been folks spending money
foolishly, or investing it unwisely. And there have
always been people that can afford to buy items that
others couldnt ever afford. I dont mind one but if
someone buys a 3 million dollar house, they contribute
a pile of property tax money to the local municipality.

 

[Bonnan]

yep!

 

[Bonnan]

We had stagflation. I got 10% plus raises every year in '70's but costs doubled.
Nothing like it until possibly now.

 

[Brendon-KS]

A very large percentage of the money you see floating around an economy was created by debt. If I walk into the bank and take out a $10,000 loan the money appears in my account but it
didn't come from anywhere. The bank is only required to have a small percentage of the money they loan out actually available on hand so it's not like the $10,000 got moved from the
bank's account to my account. It simply gets created out of nothing and appears in my account, ready for me to spend on whatever I want. The total amount of money circulating around the
economy is continually increasing as more money gets created this way which is why inflation steadily increases over time.

 

[Traditional Farmer]

When its Possom and Turnip greens we'll know.Huh Ow we already have the turnips

 

[Traditional Farmer]

And credit card debt is at an all time high with record number not being able to pay off the cards at the end of the month.

 

[Veronabob]

Prices on most things travel in cycles over time. All the free money the FED created in the last 10 years resulted in Government, Companies and individuals all buying more than they needed. This will probably not all end well. Individuals more than 60 days past due on vehicle payments is highest in many years and higher than 1908-09. I got my truck serviced recently and the Service Manager said he can't believe all the people he sees buying new vehicles with $1700 mo payments.

Eventually most things revert to their real value whether you are talking Real Estate, housing or living costs. I have seen toy tractors sell for $5000 to $10,000 recently. I would be a seller. not a buyer. I remember 30years ago p eople were standing in line to buy Hummel Plates for $400 each. Today you could not get .40 cents for one.

Today in many areas if you are making $15.00 per hour it will take more than half of that to pay your rent. Speculation is running rampant in many areas of our economy and people are only looking short-term.

Cash may become very valuable down the road and you can get 4% while you wait.