134 THE WHEAT INDUSTRY 



would probably pay a small percentage of the 

 gain to his own company. This served to estab- 

 lish a fund which would tide it over dull periods. 

 This fund was important, since it was planned 

 that grain should always be bought at a reasonable 

 profit and never at a loss. These conditions 

 would insure competitive conditions for the line 

 elevators. Although, early in the days of organ- 

 ization, many farmers' elevators failed because of 

 poor management, the general effect has been 

 good. At present they are usually successful 

 throughout the Central states. Experience and 

 organization have rendered them efficient. Com- 

 petition is not now between individual elevators 

 but between strong rival companies, and business 

 methods have been greatly improved. Out of 

 this condition greater economy and efficiency have 

 resulted. 



Railway Transportation. - Wheat in the ele- 

 vator or in the cars is an article of commerce. 

 Usually it has passed from the ownership of the 

 producer to that of an agent who has in turn 

 intrusted it to the carrier. Railways haul the 

 wheat to mills, to central markets, or to terminal 

 elevators. These elevators are usually situated 

 where water transportation can first be employed. 

 This carrying work is spoken of under two heads, 

 the short haul and the long haul. The former 

 includes shipments to local mills and from small 



