Back at the Reinsch Farm - Lecture Slides | IN 312, Study notes of International Business

Download Back at the Reinsch Farm - Lecture Slides | IN 312 and more Study notes International Business in PDF only on Docsity! IN312 International Trade Department of International Trade & Marketing (ITM) http://www3.FITnyc.edu/ITM Chapter 3 Back at the Reinsch Farm Chapter 3: Back at the Reinsch Farm • Lubbock, Texas: US’s 25% cotton center. • Role of tractors in cotton farming • The Reinsch children leave the farm • The political influence of US farmers • Who and where is the competition? 800 + = to : wa < @ Oo oS eat 500 +— i he Pounds of Cotton Lint per Acre 300 + 7 po —- Yield 200 ae 100 + —_ — o+—— ——4 tt a ot ot & & & Ss sv & & & & & & Ss & s se Source: USDA. FIGURE 3.3 Cotton Yields Per Acre Percentage of Work Done with Tractors Source: Adapted from Street, p. 164. LANDBREAKING| PLANTING CULTIVATING STATE 1939 | 1946 |1939 | 1946 | 1939 | 1946 ALABAMA 10 25 3 13 5 14 TEXAS 49 85 | 45 80 43 83 FIGURE 3.2 Use of Tractor Power in Cotton Production, Alabama vs. Texas  200.0 - 120 ———— criti 1 180% ‘Civil War OPI 862-84=100) : ==: = Price per pound | i Lo tieents) ane 160.0 , | it Widespread adoption of = 140.0 synthetic fabrics a " , +80 in ' a ie \ 8 120.0 ; L | a i: : 3 "5 : = 100.0 “1 1 +60 8 ea = ' Peak Boll Weevil = = 60.0 ' Infestation i 5 bet 5 “a0 ° 60.0 . 40.0 + 20 20.0 breecorra sere ——as 0 PLL CLP LEE LELE EELEE EE EE ES SPP Fo. PP OPS POP PP SP Year Sources: Cotton prices from USDA. CPI 1800 to 1912 from Mitchell (1998). CPI 1913 to 2003 from Bureau of Labor Statistics. FIGURE 3.4 Cotton Prices and Consumer Prices DD eeeerrr renee ren rr EE TEEPE TET PPTL PPT