Farm Real Estate
The value of deflated farm real estate in 2012 dollars at the beginning of the current period of farm prosperity was nearly 50% higher than at the beginning of the 1970 period of farm property: $1.8 trillion (2006) vs. $1.2 trillion (1973) (see Figure 2). Despite these different starting values and the different time paths of deflated net cash farm income, farm real estate has increased at a similar rate in the two periods. At the end of the 7th year in the first period (1979) the cumulative increase in U.S. deflated farm real estate was 87%. By the end of the 7th year of the current period of farm propensity (2012), the cumulative increase in U.S. deflated farm real estate was 77%.