Midwest Farm Land Values Have Doubled Since '00
The charts above for farm values in Midwest states is based on data in the August 2008 "Agricultural Newsletter" from the Federal Reserve Bank of Chicago (7th District). Over the last year, farm land values have increased by 17% in the Seventh District (see top chart), following five consecutive quarters of double-digit increases (see bottom chart). Since 2001, farm land in the Seventh District has roughly doubled in value.
The Chicago Fed also reports that crop prices have increased by 32% on average over the last year, including a 69% increase in corn and 88% increase in soybeans.
With farm real estate values booming, commodity farm prices close to historical highs, and farm profits at record levels, this group still needs billions of dollars of subsidies (e.g. $288 billion 2008 farm bill)??