2007 Michigan Land Values and Leasing Rates

Land is a natural resource that is valued for many reasons. Farmers utilize land to earn their livelihood and as a store of wealth for future retirement. Potential rural residents have increasingly sought open space for a home site and pursuit of a lifestyle. Developers seek financial opportunities to invest in and develop it for non-farm uses. Recreational needs are often met through use of land. For some, land is viewed as an investment and a hedge against inflation. This myriad of demands for land combined with its fixed supply continually alters its market price, which is a monetary measure of its perceived value.Land Economics/Use,

2006 Michigan Land Values and Leasing Rates

Land Economics/Use,

2005 Michigan Land Values and Leasing Rates

Land Economics/Use,

2008 Michigan Land Values and Leasing Rates

land values, Land Economics/Use,

2011 Michigan Land Values and Leasing Rates

Land is a natural resource that is valued for many reasons. Farmers utilize land to earn their livelihood and as a store of wealth for future retirement. Potential rural residents have increasingly sought open space for a home site and pursuit of a lifestyle. Developers seek financial opportunities to invest in and develop it for non-farm uses. Recreational needs such as hunting are often met through use of land. For some, land is viewed as an investment and a hedge against inflation. This myriad of demands for land combined with its fixed supply continually alters its market price, which is a monetary measure of its perceived value.Agribusiness, Farm Management, Financial Economics, Land Economics/Use, Production Economics, Agribusiness, Farm Management, Financial Economics, Land Economics/Use, Production Economics,

ECONOMICS OF HEIFER RAISING OPTIONS

As dairy farms grow and specialize in milking cows, one enterprise that may be removed from the dairy farm to allow for milk cow herd expansion is heifer raising. Custom heifer raising is increasingly common across the country and purchasing heifers may be preferred to raising heifers. However, these alternatives are not suitable for all dairy farmers. In this article, we examine heifer enterprise costs relative to using a custom raiser or purchasing heifers. We identify factors that should be considered in making the proper decision relative to the heifer enterprise.Livestock Production/Industries,

REGIONAL COMPETITIVE POSITION OF PORK INDUSTRY

In the recent past U.S. pork industry experienced geographical shifts in its production and processing. Some geographical areas have competitive advantages over the areas in raising pigs. Costs of raising pigs vary by type and size of operations, and other location specific factors. We used enterprise budgeting approach to estimate the profitability of representative feeder to finishing operations in different geographical regions in U.S. We obtained data from the United States Department of Agriculture databases, costs and returns survey and various university sources. The cost differences were not due to the unit prices of inputs but were largely driven by the differences in their efficiencies. Overhead costs varies by locations and size of operation. Pork feeding operations of all sizes operate at a loss if we account for all the cash expenses and opportunity costs given the prices of all inputs and output. However, producers got positive profits over the variable costs. The Eastern Corn belt regions' pork producers reap the highest operating profit ($1,861 per 100 hogs) followed by the Western Corn Belt region and the West region ($1,661). The results of production systems analyses as outlined here suggest that smaller firms have limited ability to compete with larger firms on the basis of cost of production. The key to keeping hog business competitive is higher production efficiency. Feed, labor, and building and equipment efficiencies were potential means of cutting production costs. Smaller producers who do not attain strong efficiencies in production are at a disadvantage relative to larger producers.Livestock Production/Industries,

PROFITABILITY AND PRODUCTION EFFICIENCY OF THE CROP AND LIVESTOCK ENTERPRISES OF MICHIGAN DAIRY OPERATIONS: 1998 SUMMARY AND ANALYSIS

This paper summarizes the 1998 results of the Dairy Profitability and Production Efficiency project. Among the major findings are that the average cost of production was almost exactly equal to the average milk herd revenue on a per hundredweight basis. All eight farms covered variable costs of producing milk. Five of the eight farms showed a profit when all costs of production were included. All six farms that raised their own replacement heifers lost money on the enterprise. With respect to crop production, corn and corn silage were not profitable enterprises. The hay enterprise was profitable for five of the farms.Productivity Analysis,

FACTORS AFFECTING REGIONAL SHIFTS OF U.S PORK PRODUCTION

The U.S. pork industry in the recent past has transferred into fewer, larger and specialized operations. Inputs availability, developments of transportation systems, technological changes, government regulations and the consumer preferences have been driving changes in the pork industry. Spatial inequalities affect the competitiveness of one region relative to other regions. This paper is focused on how these forces affect the regional competitiveness of the pork industry and movement towards larger, specialized and geographically concentrated operations. A mathematical programming model is used to analyze the effect of market forces on the pork industry structure. The results of this study show that although raising hogs in larger operations is less costly, small-sized operations in some regions still need to produce hogs to meet the demand for consumption and export. Environmental compliance cost is considered one of the major factors of industry relocation; the analysis showed that the effect of such costs was minimal. Feed costs and transportation costs play a greater role in location of production and processing. Pork operations tend to locate near the populous areas to meet the consumer demand and to minimize the transportation cost. Pressures from current and future environment regulations, moratoria and scarcity of agricultural land for manure management tend to keep the hog operations away from high population areas. A future scenario analysis suggested that the Western region of the U.S. would experience higher growth in pork production. The current trend of fewer and larger production units and location change in the pork industry will continue.Livestock Production/Industries,

USING A MULTIPLE PRODUCT AND MULTIPLE INPUT APPROACH TO DAIRY PROFIT MAXIMIZATION: A SIMULATION USING OPERATIONS RESEARCH METHODS

Dairy producers generally take a single output/multiple input approach when making production decisions. Under component pricing, with large variance in individual component prices, a multiple output/multiple input approach maximizes profits. This paper applied our approach to the individual farm milk production decision.Livestock Production/Industries, Productivity Analysis,