An Analysis of Federal LandBank Borrowers

This paper uses Federal LandBank Data to examine loan characteristics and farm financial characteristics. Given that farm financial characteristics and loan interest rates can change, this paper examines if current farm financial characteristics can predict the current loan interest rate. In addition, this paper tests to see if farm profitability can be predicted using two debt financial characteristics. Results indicate that interest rates and profitability are not very predicatable based on current farm financials information once the loan progresses.Agricultural Finance,