White Bluffs spokesman. [volume] (White Bluffs, Wash.) 1907-1938, 1926-09-03
Slight Improvement in
Agricultural Income
Farmers Still at Disadvantage Com
pared to Industrial Workers.

Income from farm production the
past season. 1885, again showed a
moderate improvement, but farmers
as a class are still at financial dis.
advantage to industrial workers, ac-
cording to an analysis of receipts and
expenditures just completed by the
United States Department of Agricul-
ture.
Gross income from agriculture is
estimated at $12,415,0 100000 for the
year, compared with $4,000, 100000
for 1924-25. an increase of about per
cent, the increase appearing in both
cash income from sales and in the
value of products consumed by farm
families. Increased income from pota-
toes, dairy products, and meat ami
mails more than Offset declines in in
come from grains and cotton, the de-
partment says.
The total gross income is made up
of 1881, 100000 computed as cash in
come from sales, and $2,524,OO0, 900.
the value of food and fuel consumed
on farms. 1t includes s3,577, 100000 for
dairy and poultry products; s2.746,-
100000 for meat animals; s1,6S2,000.-
900 for cotton and cotton seed; ST.
625.000000 for fruits and vegetables,
and $1,565, 100000 for grains.
Receipts increased somewhat more
than expenses, yielding an increase in
net income available for all capital
employed including reward for man
aging the industry, Of A per cent.
This larger net income represents
rate of return for all capital and
management of 4.6 per cent compared
with "A per cent the preceding year.
These rates are not comparable with
rates Of return usually shown for
other industries. Estimates of COM
parable returns for corporations in
1898 gave II per cent as the return
on capital and management compared
with 33 per cent for agriculture.
Out of the gross income of $12,415,-
100000 farmers paid s6,812,000,000 in
GLIDING $1,216,000,000 wages to hired
labor; s3,076, 100000 for products and
services of other industries, repairs
and maintenance of buildings and
equipment; s635,OOO,0O0 taxes on oper-
ator-owner investment; $1.127OO0. 900
rent on property rented from non-op-
orators, and s758,OOO,OOO interest on
mortgage and other Indebtedness held
by non-operators
The difference is $500, 100000, of
which 1884, 100000 represents the
value of food and fuel consumed on
farms, and s3,0790 100000 is the net
cash income, which gives an average
per farm of 1919 compared with 1854
in 1924-25 for operators capital, labor
and management.
The analysis shows further that the
farm operators earned on their own
net investment including manage
ment, after paying rent and interest
on debts, 3.5 per cent, compared with
32 per cent in 1924-25. These rates
are considerably less than the rates
earned by the other owners of farm
capital such as mortgage holders.
If a conservative interest return Is
allowed on investment the average
farm family earned $64S for labor and
management. or $24 more than in the
preceding year. Although this figure
is considerably above the very meager
earnings during the severe years of
the depression, it is still nearly 80
per cent below the earnings of 1919-2O.
Factory wage earners, on the other
hand, the department points out, for