Evening star., 1925-01-03
BY ROGER w. BABSON.

Special Dispatch to The star.
WE'LL ESLEY HILLS. Mass, Janu-
airy 3.-What was the most significant
development of 1924 so far as busi-
ness is concerned? 1t was the re-
covery of the farmer and the effect
this recovery may have on business
during 1925.
The year 1924 marked a decided
change in the position of the Amer
lean farmer. AS We enter 1925 he is
better off than he has been at any
time since 1919. Two main factors
have contributed to this improve
ment. First and foremost has been
the rapid and substantial recovery
in the price that he receives for his
products, and, second, the trend of
those non-agricultural commodities
which he buys has been downward.
Grain Growers Profit.
The years corn crop totaled 2,436,-
600 900 bushels, a decided decrease
from the 1928 crop, and it is also
substantially under the average out
put. However. the tremendous jump
in prices, which amounted to over
90 per cent from the low of this year
more than offsets the decline in pro-
duction, and as a result this years
crop is estimated 10 be worth per
cent more than last year, respective
valuation figures being S2,405, ,46S, 900
and s2.217, ,229 900.
The wheat crop was not only sub
stantially greater in volume than the
1928 crop, but the price that the
farmer received was Al per cent
higher. Hence, it is estimated that
this years wheat crop is worth 81
per cent more than last year, or ST.
= n
value of S735.993,000.
The oat farmer was benefited also to
a great extent, the value of his crop
being estimated at Sc per cent more
than last year, or about sT39. 900
against approximately s541,1 ,000
last year.
Cotton Returns Favorable.
Prices of cotton to the farmer, as
compared to last year, have dropped
about 80 per cent However, the yield
is placed at 13,153,000 bales, against
last years yield of 10,140,000 bales
Hence, much of the substantial price
decline has been counteracted, and
he will probably receive close to 81,
4S7.0O0,0O0 for his crop, against
s1,571, SIS, 900 for last year.
This years potato crop is a record
for all times, exceeding that of 1928
by 39,000000 bushels. Potato prices
are II per cent under last year, but
the substantial increase in yield
should allow the farmer to receive
close to s295,000,00O, against $685.
600, 900, the value of his 1928 crop.
Changes in Values in 1924.
The changes in the 1924 farm values
of other important crops, as compared
to the 1923 values, are as follows:
1923. 1924.
BARLEY .... S107, OBS. 900 $137 ,270, OoO
Rice " 37l50,OO0 47,0Sl, ,0O0
Tobacco ..... 301, ,096, 900 256. .346 ,00O
Rye ............ 40,9I1T0 6S, ,0oi ~ w
Fiaxseed .... 35,9510o0 ~ 81 ,0Oo
Hay .......... !. 1.3ss, ,22o.0 900 1.467. .64s 900
A brief calculation of the above
figures Immediately emphasizes the
grounds for optimism in the farm
situation. The farmer will receive
over $780, 100000 more for his 1924
crops than he did for last years. AS
mentioned earlier, the farmer has
not only benefited by larger crops
and higher prices, but he has also
benefited from another angle-that
is, those commodities which he has
to buy. namely, industrial commodi-
ties, have tended downward, SO that
the ratio of the farm dollar to the
Industrial dollar is today higher than
it has been for any time since 1919.
This particular occurrence has
been referred to variously as the re-
turu of farm purchasing power the