Yahoo Answers is shutting down on May 4th, 2021 (Eastern Time) and beginning April 20th, 2021 (Eastern Time) the Yahoo Answers website will be in read-only mode. There will be no changes to other Yahoo properties or services, or your Yahoo account. You can find more information about the Yahoo Answers shutdown and how to download your data on this help page.

? asked in Education & ReferenceHomework Help · 5 years ago

How does sharecropping create debt?

2 Answers

Relevance
  • 5 years ago
    Favorite Answer

    Sharecropping:

    Step 1 -Sharecropper is provided land and seed. In exchange he promises the landowner half the crop

    Step 2 -Sharecropper buys food and clothing on credit from landowner's store

    Step 3- Sharecropper plants & harvests crops

    Step 4 -Sharecropper gives landowner crop to sell. Sharecropper will get half of the earnings,minus the cost of his purchases for the year

    Step 5 -When settling up,landowner says that sharecroppers owes more than he has earned

    Step 6 -To pay debt,sharecropper must promise a landowner a greater share of next year's crop.

    As with anything else, if you have more necessary expenses (bills or what not) than you have money coming in, you find yourself getting into debt. You cannot spend more than you have and expect not to create debt. When you owe on debt, think about the interest too. In this case the landowner gets half the crop, a bigger share on next years crop, on top of owing on the credit borrowed. If you are poor or already hurting for money, it becomes a cycle hard to avoid. The only way to get out of the mess is to make serious cut-backs or earn more income. If you are already cutting back to only the essentials and making as much income as you possibly can, what else can you do? Plenty of Americans face this dilemma today with trying to maintain the cost of living. It's not something limited to just sharecropping. The fundamentals are the same.

  • ?
    Lv 7
    5 years ago

    An owner owns the field. You plant the crops, spend the money on seed/fertilizer. Ypu pay the owner rent.

    If the crop doesn't do well ( not enough rain, pests ), , you are in debt.

Still have questions? Get your answers by asking now.