2001 NORTH DAKOTA AGRICULTURAL OUTLOOK: REPRESENTATIVE FARMS 2001-2010

Net farm income for most representative farms in 2010 will be lower than in 2000. Low profit farms, which consist of 25% of the farms in the study, may have negative net farm income throughout the forecasting period, and may not have financial resiliency to survive. Cropland prices and cash rental rates are projected to increase slightly except in the Red River Valley where they are projected to fall. Debt-to-asset ratios for most farms will increase slightly throughout the forecast period. Debt-to-asset ratios for the low profit and small size farms are higher than those for large and high profit farms.