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Farm Income In 19^2 » Gom-oared to the prede^resslon period, 

 192^29, cash farm income in Illinois in 19^2 was up 69 per cent* 

 In general the greatest increases in cash income v/ere in the corn belt, 

 the^obacco-producing region, on the west coast, and in Wyoming, Ari- 

 zondt', and New Mexico. The smallest increases were in the winter wheat 

 belt, the New England states, the Middle Atlantic states, the deep 

 south, and some of the mountain states. Weather conditions had a 

 great deal to do with the total income in all parts of the United 

 States but did not account for the great variation between these dif- 

 ferent areas. Over a period of 20 years or more, the corn-belt 

 states, because of climatic conditions and soil fertility, would seem 

 to have greater possibilities for reasonably satisfactory farm income 

 than most other large areas of this country or any other country. Of 

 course, that will not hold if we permit our soil to wash away or use 

 up all the fertility without replacing it. 



Total cash income from marketings in February for the United 

 States amounted to ^1,131,000,000 compared to 0^33,000,000 for Febru- 

 ary l^k-c. Income from all groups of farm products was higher than 

 February last year, but the greatest percentage increases in income 

 compared v;ith a year ago were in the returns from meat animals, poul- 

 try, eggs, oil-bearing crops, and cotton. 



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The size of the farm income in late 19^3 and early 19^^ will 

 depend upon total farm production. Present prospects are for the con- 

 tinuation of the war effort at least well into 19^. As long as the, 

 war lasts, we do not need to worry about declining prices as a result 

 of overproduction. We may not have to worry about if for some months 

 after the war closes. That means that farm income will depend upon 

 weather conditions and upon the ability of the individual farmer to 

 get his crops planted, harvested, and marketed as cash crops or as 

 livestock and livestock products. Any individual farmer who cati ex- 

 pand his production above the 19^2 level will probably expand his in-, 

 come proportionately. The demand for farm products will remain very • 

 strong at ceiling prices. Present indications are that ceiling prices 

 will probably not be raised to any considerable extent. An attempt 

 will also be made to keep the costs of production from' rising. 



Recent chan/2:es in giovernment price and 'rationing: regulations . 

 Farmers can now get new tires to replace worn-out tires on their trac- 

 tors where facilities for recapping are inadequate. Effective May 1, 

 the Office of Price Administration also removed quota restrictions on 

 the number of certificates for truck tire recapping. As a result a 

 greater number of reQ^a.ps for farm trucks will be available. Passen- 

 ger car drivers with mileage rations exceeding 2^0 miles monthly will 

 be eligible for any grade^ of new tires when their present casings are 

 not recappable. Formerly they could only obtain G-re.de 2 tires. 



Effective May 17, new retail ceiling prices for beef and 

 lambs will bring about a reduction of 1 to 3 C5^xi1^s a pound below the 

 general level of ceilings originally scheduled to ^bake effect April 15- 

 This applies to meat, as there is no ceiling on prices of live ani- 

 mals, 



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