A while back, I wrote about the high price of hay in the Pacific Northwest, and the pressure it was putting on horse owners. Now comes news that the hay prices of last summer were an economic freak event, and prices have fallen sharply.
This is a classic economics lesson. Hay in the Pacific Northwest was under high demand globally, and the prices rose to reflect that. At a certain point, the prices became too high, and people started buying hay from neighboring states. Read more
