584 IOWA DEPARTMENT OF AGRICULTURE 



About forty Iowa county agents reported that 60 per cent of the farm 

 purchasers in their respective counties intended to farm and 40 per 

 cent bought for purely speculative reasons. 



These five causes for a rise in land prices were given in the order of 

 their importance: 



1. Speculation. 



2. Prices of food products. 



3. Returns high as compared with other investments. 



4. Home. 



5. Never lost on investment. 



Two-thirds reported that the price is justified and 80 per cent re- 

 ported land as high now as August 15th but is quiet. 



A typical county agent's report. 



This county agent's report is a little more complete and more op- 

 timistic than the average. These are his reasons for thinking the price 

 of land justified: 



'•1. Cheap money. It is not likely that the value of money will 

 change much in the next few years. If it does this world will see some 

 sorry times and good land would be the best security. These tremendous 

 debts of the war will be paid with cheap money and this is the principal 

 reason why the value of land will remain where it is. 



"2. There is plenty of money in the corn belt and there is no reason 

 why it should become scarce immediately. The farmers and men who 

 bought land have just as much money now and will have in a year from 

 now as they had when this land was purchased. 



"3. People are beginning to realize the home and social value as 

 well as the productive value of corn belt land. Land has not been going 

 up during the period of the war and some advance was naturally to be 

 expected. The war focused attention to the real productive land of the 

 world. The simple fact is that we produced enough food here for the 

 world to win the war. 



"4. There is no more corn belt land and very little of any kind of 

 land to be brought under cultivation, while population is steadily on the 

 increase. 



"5. Better farming. Instead of farming $200 land in a $200 way 

 with a $200 man, we will farm $500 land in a $500 way with a $500 man. 



"Now you will notice that I have not taken into consideration any of 

 the conditions due to the war, shortage of. food, war prices, etc. They are 

 only of temporary effect." 



(b) Farm owners. 



Farmers who bought land last summer in these same counties gave 

 the following reasons in the order of their importance for buying land: 



1. Close to town, school, church, market, a home. 



2. Land will pay a fair rate of interest. 



3. Fertile farm. 



4. Good investment. 



5. Needed more land to keep boys on the farm. 

 6. Speculation. 



