The representative. [volume] (St. Paul, Minn.) 1893-1901, 1895-03-27
A LIVELY
An Answer to One of Our Corresponds
nts-AilcEed inaccuracies Shown

An Answer to One Of Our Correspond
ents-AiIcged Inaccuracies Shown
Up.
To the Editor:
In the issue of March IS, under the head
Ing of "Co-Operation," Populist Farmer
gives some of his ideas on the system, and
asks that some one more competent might
also take up the question.
1 may not be more competent, but as 1
do not agree with him on a few trivial
points, 1 will sail in and give him the bene-
fit of my ideas, just mentioning the items
on which w differ. He says that 20 years
experience in selling goods shows him that
the average retail profit is 80 per cent. 1t
may have been so 20 years ago, but if he
thinks to compare the business of that time
with that of today he must have awakened
from a Rip Van Wrinkle sleep, and had bet
ter investigate a little before going further
Into details. Thirty-three per cent! with
the present competition and merchants fail
Ing every day!
Then he suggests having 500 farmers or
ganize, putting in $50 each, making a neat
little capital of So, 900. That looks we'll in
print, but when We think how large an
area one would have to cover to find 500
farmers who would agree to trust one an
other, and if found, how hard to extract
$50 at the present low rate per capita, then
the plan is not so simple.
He then goes on blithely to tell how much
would be put into groceries. dry goods,
etc, leaving $4,000 for outfit and
Tools, and then adds serenely:
Inc average farmer will trade at the
store during the year to the amount of
B4M' Does he mean cash, or butter and
Eggs? If he means the former, he is hardly
acquainted with the average farmer who
lately is obliged to borrow. money TO nav
the interest on his mortgage.
now, he says, eff we figure the gross
prohts at 80 per cent it will give $50. 900 as
the gain of 500 farmers" He had better
figure 100 per cent profit, which would give
b much larger gain and be more encOurap-
ing still.
DoeS ne mean that each farmer, in adj
ultion to his $50 share. must pay into the
store S4W cash in order to realize 500 profit
every year? If so, where will he first get
that $500? The average farmer. myself
among the number, would be glad to have
MIN answer that simple query. If he can
not pay his store bill now, Of 5000 or less.
TO the eXacting Shylock of a country mer-
chant, how can he pay that amount to his
own cooperative store at the same high
rate of profit? If he means thai one would
save that amount by getting his goods at
wholesale he would still have to take OUT
OF the store $500 worth of goods to make
that saving, and where would the cash he
found for the wholesale houses, for the first
year, L mean-the second year he owns O
Chicago wholesale house and does not need
TO pay cash. The first $50 would hardly car
ry him through the year, and the wholesale
merchant would be loath to accent his
butter, eggs and other farm produce as
tne country dealer is obliged to do. The
hrst years proft-on paper-is so large that
Popullst Farmer branches out the second
year on a larger scale, and if he keeps on
Will soon have the country merchant in
tears and Wall street in his pocket. That
Is the bright side of the picture. But did
ms ~ years experience teach him nothing
about dead stock, goods carried from veor
to year, others sold at the end of the vear
at less than cost because of the faiJinr
prices. ETC., ETC.? Has he forgotten how tbo
taxes, Insurance., freight and DRAWING 90,
up the profit? Or is he, as STRONGLY s,,S1
pected, only a clerk, knowing nothino ne
mis- employers cares and losses? Or worse
still, is he not parading under the guise of
a Populist seeking to raise dissensions he
tween farmer and merchant that they NAV
not combine to fight the common foe?
l have been a farmer for MANY wears
and am still one, but have also been q mar,
chant, both in Hennepin and Wright conn
ties, and knowing the profits and losses in
each business, can give him a few cold
facts that may do him good. 1 have known
many merchants in both named counties
who began 20 years ago with $4,000 to s.. Don.
Rd now have standing out on the books