LONG RUN EFFECTS 



It takes time for a change like this to work itself out in the 

 economy. As it does some ti-ends should be evident: 



.1 . The relative advantage of the production of crops for process- 

 ing as compared to the fresh market shift in favor of process- 

 ing. The reasoning behind this is as follows: Quality require- 

 ments ai^e lower for processing. Mechanization can proceed more 

 rapidly. Continued hand labor retjuired for fresh market pro- 

 duction will increase cost and then market price. Consumers 

 will tend to shift some of their preference towards the proc- 

 essed, and lower cost, form of the product. 



2. The usual effect of increased mechanization in a business is 

 increased overhead. For mechanization to be economical will 

 require an increase in the size of the business. 



3. Small growers will have to: 



a. Accept lower net returns; 



b. Quit the business; 



c. Grow in size; 



d. Intensify efforts to develop a speciality (higher priced) 

 market and consequently take on more of the marketing 

 functions . 



4. Areas of the country that have terrain suitable for mechaniza- 

 tion will have an advantage. 



MANAGERS CREATE CHANGE AS WELL AS ADJUST TO IT 



But which soils, climates, and market situations will enjoy long 

 run advantages is never clear. Where and by whom new varieties and 

 machines are invented will have a great deal to do with the production 

 side. Marketing patterns don't just happen, either. Market relation- 

 ships involve managers making decisions and sound sales efforts have 

 their effect. It will take group action on the part of Massachusetts 

 growers to gain advantages here. 



On an individual farm basis, growers can take advantage of these 

 trends by moving with them or ahead of them in many instances. Shifts 

 in crops, or shifts in labor supply may be in order. But don't forget 

 the market. Because of it, there may be times when you can move coun- 

 ter to the trend. 



Fruit and vegetable production in Massachusetts has remained re- 

 markably stable over many, many years. Managers have made these kinds 

 of adjustments many, many times. 



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