530 IOWA DEPARTMENT OF AGRICULTURE 



sales as they are made. There have been several objects for this. Among 

 these have been the wish to form an independent conclusion as to the 

 fluctuation of prices and to check these against those published by the 

 live stock and daily press and those given out by the Bureau of Markets. 

 Another has been to try and determine how nearly the same classes of 

 cattle are selling at equivalent prices in different sections of the yards or 

 how wide variations may be at the same time on the same day, and 

 what is responsible for such a situation. An attempt is also made to see 

 enough sales of the better grades of steers made to justify a conclusion 

 as to whether the grading by the Bureau of Markets in terms of prices 

 indicates the actual market situation as to the different grades, or whether 

 there is a tendency to shift grades from time to time with changing prices. 

 An attempt is also made to estimate the comparative skill of the buying 

 and selling forces and to follow the tactics of each on both advancing 

 and declining markets; also as to the amount and nature of the buying 

 and selling competition and how it makes itself evident. And I will 

 state right here that there is plenty of evidence of competition. With a 

 good beef market and a short run of cattle there is keen competition 

 among buyers to get the supply; and with a poor beef market and a big 

 run of cattle there is keener competition among sellers to get their con- 

 signments sold. That is, it is a competition that works both ways and 

 of which both interests take advantage when conditions favor their side. 



Character of Information and Use To Be Made of It. 



The general plan for gathering and the utilization of the information 

 deemed desirable for a rather complete understanding of the market 

 situation of beef steers — especially the better grades — both as live ani- 

 mals and as beef, was something as follows: From the commission firm 

 account sales would be obtained the daily sales of steers, and on the basis 

 of the price quotations for each day as published by the Bureau of Mar- 

 kets these would be graded as choice and prime, good, medium, common 

 tmd low grade or cheap. Each grade would then be compiled separately 

 and the information as to each secured in such detail as was thought 

 useful. With regard to the two better grades, this would include the 

 number of head, the number of heavy and light weights — above or below 

 1,100 pounds; the heavier weights according to three divisions of weight, 

 1,100 to 1,300, 1,300 to 1,500 and upwards of 1,500; the state where they 

 were fed and the buyer — whether a packer buyer, a shipper or a local 

 butcher or speculator or other. The receipts of these cattle from each 

 of the leading feeding states were compiled separately so as to show the 

 number coming from Iowa, Illinois, Missouri, Nebraska, South Dakota, 

 Indiana, and from other states they were included under "all other." For 

 the poorer grades less detail was thought sufficient. With a fairly accur- 

 ate knowledge of the receipts of the different grades of these steers there 

 was a chance to study the effects of varying receipts upon the prices of 

 the different grades and learn something as to the numbers that the mar- 

 ket can absorb at fairly steady prices, and also learn to what extent 

 the prices of different grades of cattle follow an independent course In- 



