146 IOWA DEPARTMENT OF AGRICULTURE. 



The agricultural interests of this state, and the Iowa interests, 

 are synonymous terms. At the last census the total value of farm 

 property in this state amounted to over one billion eight hundred 

 million dollars ; that was an increase of 66 per cent over the census 

 ten years before, which was an increase of 50 per cent over the 

 census returns of the decade previously. The last census returns 

 showed the gross value of aU your agricultural products in this 

 state, exceeded any other state in this Nation. 



This evening I am talking to representatives of the most impor- 

 tant industry in the greatest agricultural state in America. My 

 topic concerns the most widely discussed question of the day, the 

 railroad problem. Just at this time we must keep in mind the 

 tale of "The Goose and the Golden Egg" — during these financial 

 troubles — and remembering that, let us consider some of the 

 phases of our subject. 



The farmer occupies a peculiar relation toward the railroads. 

 Why do you differ from other shippers? Simply, because of the 

 character of your business. A reduction in the rates on dry goods 

 or dressed meats, increases traffic of that character. When a man- 

 ufacturing establishment is seeking and negotiating for a location, 

 or new business, one of the first things the officer does, is to inves- 

 tigate the condition of freight rates. If he can succeed in impress- 

 ing the proper railroad official that lower rates mean more busi- 

 ness, the factory gets a reduction. When you are negotiating for 

 the purchase of a farm, do you investigate and find out what the 

 rates are? Under ordinary circumstances, you do not do so. The 

 average railroad official knows that any particular farm will pro- 

 duce practically the same tonnage, whether Tom Jones or Nancy 

 Hanks owns it. 



Another difference between the factory and the farm is, that the 

 factory usually controls a larger amount of products under a single 

 management. The average Iowa farm in 1900, turned out $1,598 

 worth of products; while the average Iowa factory turned out 

 $11,108 worth of products. The average Illinois factory turned 

 out 32,839 worth of products. The factory that produces products 

 amounting to hundreds of thousands of dollars, is the one that has 

 the greatest effect on freight rates. 



Again, a factory can locate at strategic points. It generally lo- 

 cates at a junction of two or more railroads. A farm is generally 

 on one or a few roads, or some distance away from a road. 



Another difference between the factory and the farm is, that the 

 factory can change its location, if the roads do not give favorable 

 rates; it can pick up and move to some favored locality, and it 



