CONTINUOUS FOREST PRODUCTION 43 



forget for the present most of the finance which it has been using, 

 which has centered attention of everyone on forestry beginning with a 

 bare tract, which certainly for years to come, if not always, is impossible 

 for private owners, and scarcely less so for the State, and deal with finance 

 of the established forest, we shall begin to get something effective done. 

 We shall have no complete forest businesses to which it applies except 

 with limited areas planted by the State or government which are no 

 more than sample plots compared with our whole forest interests. If 

 we can do nothing more than that, our forests will disappear while these 

 plantations are in their infancy. Space does not permit detailed dis- 

 cussion of this table. Hence reliance must be placed on the column 

 headings for making it clear. 



It is evident from this table that at our present tax system and 

 rates, allowing about four times the cost for protection and administra- 

 tion that the National Forests incur and more for regeneration, forestry 

 is still cheap enough and will make in the neighborhood of 1 per cent 

 more than the timber mine policy can do. How does it do this? 

 Chiefly by saving the depletion charge. It is very certain, however, 

 that general limitation of the cutting which would follow proper forest 

 management would have a most beneficial effect on market conditions, 

 so that the adoption of forestry as a general program would without 

 doubt be of much more importance to the industry than the saving of 

 the $100,000,000 depletion charge. It should tend to save some of the 

 $60,000,000 cost of competition. Still it must be confessed it will not 

 yield the speculative interest rate now paid by the industry. ' Moreover, 

 in order to adopt forestry as a program, concerted action will be 

 necessary. Therefore, again I conclude that preliminary to any effective 

 steps for upbuilding the industry, national organization is necessary. 



How Shall the Industry Organize? 



Fortunately, on arrival at the conclusion that national organization 

 is a necessity, I find myself in a large company. I have only traveled 

 by a somewhat different route than most others. As a matter of fact, 

 so many have reached this conclusion that it is now no longer necessary 

 to discuss at length general principles. There are certain principles 

 in such organization that should be, however, observed. The method 

 of organization should be carefully considered from the standpoint of 

 its effect on the individual as well as on the nation. From the stand- 

 point of its effect on the individual it is obvious that no method should 

 be used that limits the development of his highest powers. Two sets 



