PROCEEDINGS CORN BELT MEAT PRODUCERS' ASSN. 553 



includes any method by which supplies of live stock after being loaded 

 at country points are assembled at points en route in volume either for 

 diversion or holding. This may take place either at feeding stations ad- 

 jacent to the market or at concentration and diversion points located at 

 strategical points giving access to two or more markets. Each of these 

 kinds of points are at present in operation, but only for the use and con- 

 venience of individual shippers and not as part of an organized method 

 of market movement control. The theory of the reservoir method is that 

 the stream of live stock as it comes in uncontrolled volume from the 

 sources of production should be gathered in these intermediate reservoirs 

 and fed out from them into the market in so near a uniform supply as 

 knowledge of conditions makes possible, both for flow to individual mar- 

 kets and for distribution among markets. 



The near-by feeding station or reservoir has both advantages and dis- 

 advantages. Among the former are: 1. Stock can be ordered in on short 

 notice and thus reach any desired markets. 2. Shrinkage after reloading 

 is at a minimum. 3. Care en route can be diverted to them readily. The 

 surplus supply is concentrated in a few points and can be more effectively 

 handled. 5. The necessary equipment on a considerable scale is now 

 available. Among the disadvantages are: 1. Unloading for holding pur- 

 poses only delays the market movement. 2. Present charges, at least, 

 are high. 3. Difficulty or impossibility of diverting stock to other mar- 

 kets, 4. The time that any great volume of stock can be held is limited. 

 5. Such supplies are apt to be counted as a part of the market supply and 

 have the same effect as if at the market. 6. Difficulty of determining what 

 stock shall be thus diverted and what shall have priority of movement out. 

 Concentration and diversion points also have favorable and unfavorable 

 points. For them are: 1. Stock can be distributed to various markets 

 and thus relieve the congestion at particular ones. 2. Hogs can be double- 

 decked and save transportation expense and be shipped around the open 

 market. 3. Such points can be developed as a part of a state-wide dis- 

 tributing plan. 4. Decentralized control operating from these points will 

 be much more effective in controlling local loading activities. 5. Supplies 

 at these points will not act as a weight on the market. 6. Make possible 

 the grading of hogs for shipment to the most favorable markets. Against 

 them are: 1. The necessarily limited capacity of such yards. 2. Their 

 limited utility as points to which to divert stock en route after the prob- 

 able run has been determined. 3. Delay in getting stock to market after 

 it has been ordered shipped. 



The weakness of the reservoir method by itself is that it could only be 

 useful for emergency purposes to handle temporary over-supplies and 

 'could not be utilized to equalize supplies over longer periods. It is doubt- 

 ful if it ever could accomplish much in relieving the cattle situation be- 

 cause the expense in food and shrinkage would probably always affect any 

 increase in the price, especially with fat cattle and range cattle. 



The third method of conscious control is that of bringing about a differ- 

 ent handling of the supply after it reaches the market, either by limiting 

 the numbers that could be offered on a given day's market or by develop- 

 ing some program of concerted action for holding a part of excessive re- 



