El Paso herald. (El Paso, Tex.) 1901-1931, 1912-06-01
Land Values In and Around Deming
By R. Bediehek, Deming N. NJ

n Chamber of Commerce Of Dem
4 ing, r. Bedichek. chairman of
the Publicity committee. read the fol-
lowing paper:
1t would be easy for me or for any
other experienced booster TO talk
about the former low values in Demihg,
the present fair prices for which real
estate is selling. and to speculate con
corning a rosy future when prices Will
soar and all of US fortunate people VINO
own realty here reap a rich reward
It would be easy also to throw IN d
few general remarks concerning the
part which the Chamber of Commerce
has played and will play in this con-
summation deVOutly to be wished
have chosen, however, the more dlIll-
cult task of discussing land values
from a sort of popular science stand
point, and endeavOrlng =. snow tne
elements that go into values or TINS
character, and then in the light OF thls
analysis to examine the question OF
whether or not this organization IS
contributing as much as possible 10 at
tanning the end for which II came INTO
existence.
I first invite your attention to a
consideration of values IN general
Value IS the property or properties o.
a thing which render it useful or de
sirable. In everything of value except
raw land, these properties are given IL
by human labor. The only elements IN
the production of wealth, are land ana
labor. In fixing the value Of dla-
mond, the labor item is large one, IN
fixing the value Of a chair, the LABOR
item also is present, as 1t IS for InaI
matter, present in book, house
box, or anything else useful or deslr-
able, except solely raw land
No man made or modified raw land;
1t acquires value only as people move
toward and occupy it. If all the land
oil
ties which rendered IL desirable or
useful no acre Of land would have
any value unless considerable por-
ton of it was mOnOpOliZed- But, on
the contrary, there is wide difference
between the usefulness and desirable
ity Of raw land, and the value or
particular tract of raw land is depen-
dent upon the number ana aDlllLy OF
the people desiring to occupy 1t. Mark
that IL is not only the number, but the
ability to purchase, that determines
values. An influx of 500 buyers Of very
moderate means able to pay only
small price for land and then unable to
improve it. would not increase values
as much here as the coming in Of 90
buyers able not only to pay a good
price for land which suited them, but
also able to improve II after purchas-
ing. The reason why rich lands in the
Brazos bottom Of Texas sell for 500 per
acre, whereas really less productive
lands in California sell for 5000 per
acre, is because the former is desired
only by poor negroes, or white men
dependent upon the labor Of inefficient
help, whereas the latter are desired by
wealthy people who are willing TO
purchase such lands for a home, ire
spective of whether the land returns
one percent on the investment The
former represents a section where only
negroes can live, the latter represents
a section of wholesome climate, wa
ter, picturesque surroundings and in
telligent neighbOrs.
Earning Power OF Money.
The number Of people able and
willing to pay for land in a particular
section is dependent upon first the pro-
ouctlYlUy or earning power of the land,
second, upon agreeableness Of the lOca-
tiOn, third, upon the amount OF intelli-
sent publicity that IS given the sec
ton
The productivity or earning power
Of the land includes the following fac
tors soil fertility water and cost OF
same Chat is, Ia irrigated districts),
character Of crops raised, markets. cost
q nd amount OF labor required The
first three items need no comment 1t
IS OBVIOUS ira fertile soil Is more
valuable, other things being equal
than comparatively sterile one, also
that the cost OF water in an irrigated ,
district determines to a large extent.
the earning power Of land, that the
character of crops which il is posi- bic
markets includes, Of course, wagon
roads and railroads. a better phrase
would be markets and marketing IA
cities. Anyone can see that the earn
ing power Of land is greater il located
near a railroad center and on a good
wagon road, as in that case the cost Of
marketing Is lessened, and the profit
increased in the same amount The
cost and amount of labor also enters
in determining the earning value OF
land, and 1t is a curious thing that as
land rises in value labor depreciates
IN value This fact is easily explained
by reason of the fact that as land
rises in value fewer and fewer men
can buy land and work il for them
selves, and hence they are compelled
to work for someone who does own
land This throws much labor on the
market and consequently cheapens a
given amount of labor. The cheapened
labor, IN turn, still further enhances the
value Of land.
Earning Power of Land.
These factors determine the earning
power Of land, but earning power alone
certainly does not determine the price
for which land is sold. The agreeable
ness Of location influences price to a
marked extent For instance, many
wealthy people buy land for a home
cent on the investment There are
plenty Of sections in the world where
mOneyed men buy land for a home.
knowing that il cannot pay one or a
half percent on the investment, if meas
Ured merely by the earning power of
the land In this case. the Individual
paws Tor the aSreeaDleneSS OF the sur
rOundings, for the climate, the purity
Of the water, the picturesqueness of the
natural scenery. for educational facili-
ties for his children, for the privilege
of being the neishbOr Of cOngeniaI peo-
pie.
Now, let me recapitulate: Land val
ue arises from the fact two or more
persons desire to occupy a given tract
of land, and the value increases in
direct proportion to the number and
the purchasing ability Of the persons
desiring it. The two factors which I
have so far discussed which stimulate
the desire for a given tract are the
earning power of the land and the
agreea bleness of the location ] have
divided each Of these elements into
their component parts. And now I
wish TO call attention to a third fac
tor which further serves to stimulate
the desire for land in a given section.
Ihat factor is intelligent publicity.
Value Of Publicity.
Land IN a given section may have a
tremendous earning power, the lOca-
ton may Of all places in the world
De the most agreeable, and still if a
SUFFICIENT number Of people with money
GO not know about it. land values will
remain the same Publicity of the in
telLgent sort is merely a means of
augmenunS the number of people of
means who desire land in a given sec
tIOn. ana II is also a means cf at
lractlng the character Of population