problem by establishment of a "hay bank." Essentially, this is carrying 

 inventories from years of abundant supply over to years of short supply. 

 The intensity of cropland use with 75 cows was at a level of 1.5 acres 

 providing the hay for 1 cow. At this level of intensity little hay was 

 bought or sold when date of cut was June 1.2 c As date of cut advanced, 

 greater quantities of hay sales were made. With date of cut advanced to 

 June 30, sizable quantities of hay were sold. The extent of and variation 

 in hay purchases or hay sales in 52 weather patterns for harvesting hay 

 are shown in Table 5. 



100 Cows and Selected Hay Harvesting Systems 



This ratio of cows to cropland represented a rather intensive use of 

 cropland and the operations were essentially based upon some hay pur- 

 chases occuring as early as the June 15 date of cut. With a June 1 date of 

 cut, sizable quantities of hay were purchased at assumed prices. Hay 

 purchases or sales for this size option are shown in Table 5. 



Number of Cows Varying and Selected Hay Harvesting Systems 



The herd size under this situation was allowed to vary to the ex- 

 tent that all eatable forage produced on the 100 acres was fed to dairy 

 cows. This assumed that the farmer is able to buy and sell dairy cows in 

 the market each year to vary his herd size. It also assumed that the 

 complementary farm production resources are available. The particular 

 advantage of this situation lies in eliminating problems with the pricing 

 of hay, and hence, in concentrating the full influence of date of cut on 

 net farm income in terms of feeding quality. 



Under this situation there were no hay purchases but only sales of 

 small quantities of hay that was beyond use as feed due to rain damage. 



Influence of Date of Cut and Weather 

 Pattern on Gross Farm Income 



75 Cows and Selected Hay Harvesting Systems 



Gross farm income declined as date of cut advanced for both har- 

 vest systems. The distribution of gross income by date of cut for the 52 

 weather patterns with the crushed, field cured, and baled system is 

 shown in Table 6. The distribution for the crushed, baled, barn dried 



-'' The option of purchasing and selling hay presents at least 2 analytical prob- 

 lems. The first involves estimating prices paid and prices received. The second in- 

 volves assumptions about variations in quality of purchased forage. To reflect market- 

 ing services performed such as transportation and commission costs on sales, the 

 purchased price for hay was established at a higher level than the sales price. These 

 prices reflect what the farmer would receive or pay for hay at the farm storage 

 point of sale. Purchased hay was assumed to be of the quality obtained by cutting on 

 June 30. This seemed to be a realistic assumption in light of actual quality of hay 

 exchanged in the hay market. 



35 



