The prices of most things farmers and ranchers produce will vary widely in future years as they have in the past. It is not possible to reorganize a farm or ranch every time there is a variation in prices. The benefits of a given crop rotation can only be secured after several years. When crop rotations are changed fields and fences may also need to be changed. Buildings may need to be built or remodeled to handle the new crops. Livestock enterprises should be chosen with regard to the crops produced. Since many years are often required to establish profitable herds and flocks, most farmers need to take a rather long-run view of the prices which can be expected. Usually they cannot afford to go in and out of hogs, poultry, beef cattle, or sheep with every price change.
Number of Pages
South Dakota State College
Berry, Russell L., "Prices and Costs for Use in Farm and Ranch Planning" (1957). Agricultural Experiment Station Agricultural Economics Pamphlets. 199.