Wausau pilot. [volume] (Wausau, Wis.) 1896-1940, 1920-11-30
FARM PROFITS
NOT VERY BIG
DEPARTMENT OF AGRICULTURE
MAKES PUBLIC FIGURES FROM
THREE TYPICAL AREAS.
TAKEN OVER SEVERAL YEARS
Agents Found the Farmers Incomes
Were Considerably Larger of Late,
but Increase Is More Apparent Than
Real.
BY JAMES P. HoRNADAY.


BY JAMES P. HORNADAY.
Observation-Disclosures on farm prof
Its, covering seven years in two areas
and five years in third, have been
assembled by the Department of Agri-
culture. These figures show % that
comparatively few of the farmers in
the groups studied have been making
large profits during the recent years
OF comparatively high prices; (2) that
their average return on investment in
creased from about 4 per cent in 1918
10 per cent in 1913, and (3) that
most OF them are making less than
5000 cash year over and above the
things the farm furnishes toward the
family living, which, however, consti-
tute a very important factor.
Specialists Of the office of farm man.
agement and farm economics, who
nave conducted these investigations,
say that while the results will not
justify making fiat congratulations as
to what farm profits are for the coun-
try as a whole, they believe they
should have weight in the considera-
ton of the general problem, as in
dicatiye of the trend of farm returns
in representative farming sections.
The three groups of farms studied are
located in Washington county, Ohio,
(25 farms, hill country, years., Clin-
ton county, Indiana, 600 farms, corn
belt, I years., and Dane county, Wis
consin go farms, dairy region. 5
years..
Representatives of the department
visited these farms year after year.
taking records covering the farm bust
ness under the following heads: Dis
tributiOn of farm area, crop yields,
amount of work stock and of other
livestock, amount of labor used,
amount and distribution of farm cap
ital, amount and distribution of re-
ceipts and expenses, value of the fam
lily living obtained from the farm,
amounts of the more important prod
ucts sold, and prices received.
Farm incomes Computed.
From the figures thus obtained. the
farm income (receipts less expenses),
and the labor income farm income
less per cent on investmenD, have
been computed for each farm and for
each group of farms. The average
farm income of the % farmers visited
In Washington county, Ohio, for the
seven years 1925, was $610; the
labor income, $276; the return on in
vestment, 4.6 per cent. In addition
to the farm income, the farmers had
food. fuel and house rent, estimated
to be worth on the average $3.50 per
year. For 1912 the farm income of
these farms averaged S546. and for
1918 the average was $719. These
farms are in hilly section where
the soil is not especially fertile.
The 100 farmers in Clinton county,
Indiana, being on better land than the
Ohio farmers. made corresponding
~ better showing. Their farm in
comes averaged S1.S56 for the seven
years, 1910 and 1913-1S. and their labor
incomes, S55S. Return on capital was
81, and food. fuel. and house rent
furnished by the farm, S425. The av-
erage farm income of these farms in
creased from 81 ,2S2 in 1910 to SPOTS
in 1913.
The farm income of the 60 WiscOn-
sin farms averaged 1928 for the
five years, 1913-1S, the labor income,
S4OS; and return on investment-de-
termined by deducting from the farm
income the value of the farmers labor
III per cent. The average farm in
come ranged from S1.0I0 In 1913 to
$500, in 1918.
Labor Income Not Large.
OF the 1S5 farmers in the three
areas. none made a labor income of
$1,000 for every year of the study, but
IS in the Indiana area and in the
Wisconsin area made labor incomes
averaging over 81 900 per year for the
period. Four farmers e per cent of
the entire number) made over $500
labor income every year. Averaging
labor income and loss over the whole
time, Is per cent of the farmers failed
TO make any labor income at ell. Ten
per cent failed even TO make per cent
interest on investment in any year Of
the study
Department specialists point OF.
that though farm incomes in most
cases showed d marked increase 19r.
ing the years 19f6-1S. as compared
with incomes for 1928, these in
creases are more apparent than real,
in view of the decrease in the pur-
chasing power OF the dollar. The surn-
over Tor the recent years was larger
than for the earlier years, bur the re-
turls were relatively little larger, If
measured in terms of the things the
money would. buy.
Chldren's Bureau Report
"Twenty-one years ago the re-
lation of the father to his child
partook of the nature of a prop
erty right. The courts could enforce
this right, bat on the other hand they
were often powerlesS to enforce the
duty of the father to his child" saws
the federal children's bureau. Since
1899. it is pointed out, every state IN
the Union has passed juvenile court
laws except Connecticut, Maine and