Increase in Interest Rates Affecting Operating Loans

Interest Rates 111618

Agriculture leader Farmer Mac says interest rates are having an impact on operating loans. That's because most of those loans are on a variable rate.  Rising interest rates mean land may not be an attractive option for investors.  If the farm economy doesn't turn around soon, the fear is debt-to-asset ratios could rise to levels agriculture saw in the 1980s.  However, Farmer Mac economist Curt Covington says, that hasn't happened yet. Hear what he told us below:

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