How the economy is shaping ag equipment purchases Published on 1/16/2025 The analysis is provided by Matt Erickson, an economist for Farm Credit Services of America (FCSAmerica). While nobody can predict what 2025 holds for agriculture, today’s economic trends and past cycles provide valuable insights for thinking about farm equipment purchases. AgDirect, one of the leading equipment financing programs in the nation, looks at some of the key factors shaping on-farm income and decisions. Equipment has gotten more expensive. Price matters when purchasing new farm equipment. Since 1990, the average price of a new tractor has outpaced the rate of… Read More »
Fiscal 24 has been the worst period of profitability for Iowa farmers in 10 years, causing further problems in the manufacturing sectors and creating a $1.5 billion market loss. Over the last several months, the Iowa agriculture economy has seen a tremendous downturn. Thousands of workers have been laid off at various manufacturing plants around the country. These layoffs are part of a chain reaction caused by a downtrend in the agriculture economy as a whole. Layoffs continue to happen in Waterloo, adding to the hundreds laid off in Dubuque and Davenport, among others. Cargill, an international ag food products manufacturer, has laid off… Read More »
Many of us grew up with machines that bring back (fond or maybe not so fond) memories. I grew up on a farm in western Nebraska where we had both farm and construction equipment. We needed the construction equipment to transform one of our farms to accommodate another innovation in 1981 – center pivot irrigation. In the early 1990s, caterpillar introduced their first autonomous trucks to be used in certain mining operations. Today, they boast millions of miles driven and billions of tons of material transported. While much has changed in the last two decades, adoption of the innovation incorporating… Read More »
As the United States enters the year 2024, the economic landscape appears to be a dynamic mix of opportunities and challenges. The nation, having weathered the storm of the COVID-19 pandemic and faced various economic uncertainties, is poised for growth in the coming year. This article delves into key aspects of the United States economic outlook for 2024, exploring factors that will shape the nation’s economic trajectory. Growth Prospects: The U.S. economy is anticipated to continue its recovery and exhibit steady growth in 2024. The combination of robust consumer spending, increased business investment, and government initiatives is expected to drive… Read More »
As we turn the page from one season (football, harvest, road construction) to another (basketball/wrestling, tax, winter), the conversations at the coffee shop and around the break room table will change as well. A few things are always topics though like the weather. But I think what all of us want to know is, “Are the clouds on the horizon storm clouds and if so, what can we expect?” Similar to conversations about the weather many of us have been discussing what is influencing economic trends. Many dealers have weathered all kinds of storms, including economic ones, and you… Read More »
