Imperial Valley press., 1925-01-01
Farmers Return to Prosperity ~ =
One of Outstanding Events of
1924, Auguring Well for Future

BABSON PARK, Mass Jan. l.
"What was the most significant
development of 1924 so far as busi-'
ness is concernede'P The question,
put today to Roger w. Babson, the
statistician, brought an immediate
answer outlining the recovery of
the farmer and the effect this re-
covery may have on business during
1925.
"The year 1924 marked 4 decided
change III the position of the Am
Ferican farmer says Mr.. Babson.
+" AS we enter 1925 he is better off
/ than he has been at any time since
F19l9. Two main factors have CON
Itributed to this improvement; first
and foremost has been the rapid
and substantial recovery in the
price that he receives for his pro-
duets and second, the trend of those
mon agricultural commodities which
he buys has been downward.
| HThe years corn crop totallcd
2,43G, 100000 bushels--a decided de-
crease from the 1923 crop, and it
is also substantially under the
average output. However, the tre-
mendous jump in prices which
amounted to over 60 per cent from
1.-THE low Of this year more than off
sets the decline in production, and
as a result, this years crop is cs
timated to be worth 8 per cent
more than last year, respective val
uation figures being $2,405, ,463,0o0
and $2,217,2 7,229,00O.
"The wheat crop was not only
substantially greater in volume
than the 1922 crop, but the price
Ithat the farmer received was Al per
cent high. Hence, it is estimated
that this year wheat crop is worth
54 per cent more than last year,
or $1,136,596,000 against last yedr s
farm value of $735, ,993, 900.
''The oat farmer was benefited
also ito Il great extent, the value
of his crop being estimated at Sc
per cent more than last year, or
about $739, 9,495, 900 against approx
imately $541,137, 900 last year.
''Prices Of cotton to tho farmer
as compared to last year have drop
ped about 80 per cent. However,
the yield is placed at <13,153,GoO
bales, against last years yieid Of
l0.140,00 bales. Hence, much of
the substantial price decline has
been counteracted and he will prob
ably receive close. to 81, ,487 ,000,0 600
for his crop, against $1(571,S15, ,0C0
for last year.
Potato Crop Is Record
"This years potato crop is u
record for al times, exceeding that
of 1923 by 100000 bushels. Po-
tato prices ere II per cent under
last year, but tie substantial in
crease in yield should allow the
farmer to receive close to f295,-
100000 against $325.000,000. the
value of his 1923 crop.
| "The farmer will receive over
!! $700,00O,0O0 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 /;
:hat is, those commodities which lie
has to buy, namely: industrial com
modities, have tended downward SO
tthat the ratio of the farm dollar
to the industrial dollar is roday
higher than it. has been for any tilHe
since l9197 7 { sif .tif So
''This particular occurrence has
been referred to. variously as the
return of farm purchasing power,
the recovery of the farmer, the
readiustment of. prices, { and the
narrowing of the price scale. An
of them mean that the farmer is
again in the market with both mon
ey and the inclination to spend 1T.
"a return implies absence and to
get the full significance Of this der
velopment we must understand just
where the farmer has oecn and why
he has been there. In 1913 things
were supposed to have been in a