The Wolf Point herald. (Wolf Point, Mont.) 1913-1940, 1921-03-24

tors which properly enter into the
cost of production we find, for ex
ample, that the cost of producing {
bushel of corr in Iowa, the Creates
corn state, was more than 80 cents
This includes the land cost, the la.
Dor cost, and everything else which
ought to be included.
"Many people say, You are figur-
ing the land at an inflated price. You
should not do that. The farmer did
not pay that price for the land. He
wants dividends on water
at is true that the land charge is
considered on the basis of its value
a year ago, but it is also true that
the advance in land prices was not
nearly as great as many people sup
pose. They hear of the occasional
sales at $500 or $500 an acre and as
sumo that that represents the aver
age. Nothing of the sort. The aver
age advance in the value of u rich
corn-belt land was only about so per
cent above pre-war values. 1t must
be remembered also that in the prin-
cipal corn states over half the land
is farmed by tenants, and these ten
ants mostly had to pay rent on the
basis of the advanced land values.
1t is true, further, that if we omit
the land charge altogether the price
which the farmer can get for a bu-
shell of corn is still considerably be-
low what it cost him to produce it.
The largest item of cost in corr pro-
duction is not land, but labor.
Some Have Prospered
"The mar who has been farming
his w land and who has saved his
money has prospered. The five years
to 1920 were profitable years,
especially to the grain farmer who
was so fortunate as to have good
crops. If he exercised ordinary in
5elligence, he made more money than
ne ever before made at farming.
Those years were not so profitable to
he livestock farmer. The man who
rev his own grain and fed his grain
% the livestock, On the whole, made
money, although not as much as if
lie had sold the grain instead of feed
ny it. The man who bought the live
took and bought the grain and fed
he grain TO the livestock, on the
verage. lost money. When hogs
yere selling at $50 per hundred
eight everybody seemed to think
ne hog feeder was growing rich, but
lost of the time when hogs were
cling at those high figures the men t
no had to buy the grain to feed the t
ogs lost money. {
Prices Drop DisaPportionate Z
'The second cause of the farmers |
is this: Prices of farm pro- '
lcts have dropped out of all proper $
to the prices of other things, as |
ell as out of all proportion to the |
,st of production. !
For example, the price of corn and
It's today on the Iowa farm is about
} per zen below the normal price of !,
.ese crops before the war. The pres :
it price of fat cattle and Of hogs is :
ON 20 to 25 per cent above the pre-
ar normal, if we take Chicago prices
on the farm the prices of both =
title and hogs are down to pre-war :,
"Now, note the prices of some of i,
e things the farmer must buy !,
of farm hands are about 100 i
r cent above the prewar normal, =
ilroad rates are from 10 to 80 per i
mt above prewar normal. such basic a.
mmodities as pig iron, coke, petrol !,
IN, lumber, Portland cement. are =.
+ above the pre-war normal-from W
70 to $50, and in some cases, 200 :,
II cent above the pre-war normal. r
actory wages and railroad wages !,