TWENTY-FIRST ANNUAL YEAR BOOK— PART V 455 



sideration of the machinery that handles them in the direction of improv- 

 ing it or even controlling it is a sufficient attempt at solving the problem 

 of the best way of marketing. 



As between cattle and hogs we have a situation something as follows: 

 Cattle are very largely a source of supply of fresh meat which is a per- 

 ishable commodity that must go into consumption rapidly, and the prices 

 paid for cattle are determined on the basis of perishability, influenced by 

 certain non-perishable by-products such as hides and tallow. 



Hogs are the source of cured and, within limits, non-perishable products, 

 and their prices are determined by the value and total supply of these 

 cured products influenced by the changing values of a small per cent of 

 perishable fresh meat products. Lard, bacon, hams, shoulders, ribs, fat 

 pork, smoked sausage, are the cured products into which the most of the 

 carcass of the great bulk of the hogs is manufactured; loins, spare-ribs, 

 butts and picnics are the fresh-meat products. 



Cattle are of many classes and with numerous grades within each 

 class, and those grades are poorly defined and not generally established 

 and difference in value between grades is large. 



Hogs are limited to comparatively few classes and few grades, the 

 classification being to a large extent in terms of vreight, and differences 

 in grades are not reflected in very large differences in price. 



The products of cattle are largely unstandardized and are not sold 

 under brands or trade-marks, and for this reason are sold largely on in- 

 spection — the buyer goes to the packers' wholesale house and selects what 

 he wants after viewing the offerings. 



The cured products of hogs are standardized to such a degree that 

 they can be traded in on the produce markets and bought and sold for 

 future delivery. That is, they are susceptible of being traded in by de- 

 scription. Other products are put up under trade names and in special 

 brands and are sold on the reputation of those brands. 



Because of the lack of standardization in both cattle and their prod- 

 ucts, and because quality and finish are such potent factors in price deter- 

 mination, and these cannot be readily and understandingly described, 

 cattle must be handled largely on an inspection basis — the buyer must 

 see the animals that he buys. 



With hogs, quality and finish are comparatively small elements in deter- 

 mining the price range, and the approach to uniformity in the total supply 

 is marked, hence the possibility of establishing standardized grades and 

 trading by description is promising. 



In the producers' hands, cattle on feed are quite a perishable commod- 

 ity, for they deteriorate rapidly if the operation is suspended or reduced 

 and the gain in weight scarcely never will pay for the cost of the food 

 to produce it, but it must be accompanied by a continuous increase in 

 price as finish is added. Under normal conditions, hogs v.rill pay for the 

 cost of the food they eat by increases in their weight, so that there is 

 much less risk involved in holding them; also they can be marketed, after 

 reaching a certain point, at almost any s'ze without involving a very 

 great price penalty. 



