I think that a big part of the problem for us in agriculture, is that we (farmers, maybe myself included) are often willing to continue providing our product while we subsidize its production costs. OK... so what am I really saying? We often don't really DEMAND that we must "pay ourselves"... enough to make a reasonable wage, PLUS a reasonable profit for our business. Often, IF there is a profit, THAT is our only "pay" for our investment of time in the business.
If no farmers would be willing to produce and sell their product at "a loss" like this... meaning the selling price ALWAYS had to cover ALL of the cost of production, including all labor, PLUS a reasonable profit on the business itself... and if it didn't or if it couldn't reasonably do that, they'd quickly refuse to provide product... they'd quit... and they'd then have to find another way to "make a living", or another business to contribute their time to.............. and I will in general prefer to include accomplishing that without "government subsidies"... (many government subsidies also are automatically accepted and are calculated into the bottom line production costs of other products and services that we all use, need, or purchase as well... as a standard matter of practice... bio-fuel mandates for example for the ethanol industry, similar incentives for the petroleum industry, tax incentives for investment in a community, and the list goes on and on... so I don't want to get too high and mighty about "ag subsidies" here)... What do you think would happen to farm commodity prices, if this were the case? Supply would begin to dwindle, prices would come up (which MAY begin to affect demand), and it'd all straighten itself out, eventually. But many, if not most in agriculture, are willing to work off-farm jobs for their "living", not requiring that they have to have profit... ON TOP OF a reasonable wage for their time and expertise level, plus covering all inputs related to the production of the product. I'll willingly raise my hand as one who "pays himself last"... HOPING that I'll have something left over to accomplish that. I for sure don't try to figure out how many hours I put in, and then assign a reasonable hourly wage to those hours, before selling my animals!
That IS what industry does though. All of their employees get paid for their time, and so do their executives... FIRST. All of their creditors and vendors get paid... and their insurance, and their equipment overhead costs, all capital investments are covered... and recovered... PLUS a reasonable profit, through the sale of their product to the consumer. THAT determines the price. If they can't accomplish that, they quit... maybe file for bankruptcy even if they need to.
We're too independent to do that collaboratively though... and industry (like the packers in the meat industry), and the consumers are fully willing to take advantage of us because of how we function. I don't know the answer, because I too LOVE what I do. But if I had to pay myself a minimum of $30-$40/hour for all the hours that I put in, and charge that to the cost of the beef I sell at current prices even, I doubt that I'd make much "profit", most of the time.
That said, I've also worked in town... and the quality of life that I have now is worth FAR more to me than the $$$ I might be able to bring home to my family by working somewhere else. THAT has value too. As long as I can stay ahead of the bills, I'm happy.
