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TeachMeFinance.com - explain Farm inputs Farm inputs The term 'Farm inputs ' as it applies to the area of agriculture can be defined as ' The resources that are used in farm production, such as chemicals, equipment, feed, seed, and energy. Most farm inputs are purchased (a change from the days when animals powered most operations), making production costs susceptible to nonfarm economic conditions. Over time, prices of farm inputs have increased relative to commodity prices, creating what farmers describe as a cost-price squeeze. The relationship between prices paid for inputs compared to prices received for output is quantified in the parity ratio'. Previous 5 Terms: Farm Credit System Assistance Board Farm Credit System Insurance Corporation (FCSIC) Farm equity Farm income Farm income and balance sheet Next 5 Terms: Farm labor housing grants Farm labor housing loans Farm loan programs of the FSA Farm loss (water) Farm Operating (OL) Loans About the author Mark McCracken Author: Mark McCracken is a corporate trainer and author living in Higashi Osaka, Japan. He is the author of thousands of online articles as well as the Business English textbook, "25 Business Skills in English". Copyright © 2005-2011 by Mark McCracken, All Rights Reserved. TeachMeFinance.com is an informational website, and should not be used as a substitute for professional medical, legal or financial advice. Information presented at TeachMeFinance.com is provided on an "AS-IS" basis. Please read the disclaimer for details.