26 AXXUAL REPORTS OF DEPARTMEISTT OF AGRICULTURE. 



ship feeders. Eejjorts were also made monthly for 17 western States 

 showing pasture and feed conditions, as well as the condition of 

 livestock on the ranges. An immense amount of historical data for 

 previous years was compiled from the records of railroads, stock- 

 yards, concentration points, local packing establishments, and other 

 such agencies, in order to secure a background for the quantitative 

 estimates of movement. 



COST or PRODUCTION. 



Cost data form the basis of the selection and combination of 

 livestock and crops so that the largest net return may be secured 

 by the farmer. Through cost studies farmers learn how to reduce 

 their costs through more efficient management. Cost of production 

 data are being gathered in representative areas throughout the 

 United States with this object in view. The material is being used 

 by large numbers of producers in these areas in the organization 

 and operation of their farms. 



The department is building a structure of index numbers of costs 

 of production, national in scope, which will give the trend of pro- 

 duction costs for all the important farm products entering into 

 domestic and foreign conmierce. The factors of production, such 

 as labor, equipment, machinery, and fertilizer are being obtained 

 in quantity as well as value units, which make possible a compari- 

 son of the basic requirements in agriculture with those of manu- 

 facture and public utilities. These agricultural cost trends should 

 be very valuable to our legislators in deciding agricultural policies, 

 to the farmers in helping them forecast probable cost trends, and 

 to those industries directly dependent upon the farmer in planning 

 their production programs. Ejiowledge of price and production 

 trends helps farmers decide what to produce and helps to stabilize 

 production. Standards of production are being worked out also 

 from which farmers can judge the efficiency of their own operations. 



Cost studies are furnishing information of specific value at the 

 present time in the boll-weevil-infested areas of the South. The 

 gradual expansion of the boll-weevil area has led to a study of the 

 cost of the cultural methods and practices and crop rotation sys- 

 tems which best combat the weevil. On the basis of these studies 

 systems of cotton farming are being worked out with a view to 

 securing the highest net return per unit of expenditure. 



