“A low-margin era for agriculture can be attributed to technology and volatility.” That quote came from Dr. David Kohl’s message to bankers at the Ag Credit Conference in Bismarck, North Dakota. “Supply is exceeding demand worldwide,” Kohl went on to say. “Technology and information is getting in the hands of better managers, which suppresses the margin.” The American economy is setting itself up for a recession. According to Kohl, this isn’t all bad for agriculture. “When the general economy is in recession, ag tends to do well. A recession often lowers the value of the dollar and lowers interest rates.” Hear from Kohl in this interview.
