U8 THE LAND AND ITS PROBLEMS 



considers the intrinsic capital value of the land and 

 its potential income-earning capacity. 



It cannot be said that this class of farmer has very 

 materially improved his position during the war. The 

 large and good farmer has done so. He was able to 

 make the best (and quite legitimate) use of the oppor- 

 tunity to win back, for the agricultural industry, sofne 

 proportion of the capital lost to it during the great 

 depression owing to the lack of intelligence on the part 

 of the Government and the nation. Looking to the future 

 I think we shall see this type of farm absorbed into 

 large industrial farms, which are bound to develop, or 

 where the land is suitable turned into small holdings. 



Coming to the good farmer, I personally know men 

 who always counted on doubling, or even trebhng, the 

 turnover of any farm they took over from an indifferent 

 farmer ; and they generally succeeded in doing so. 

 Here mixed arable farming is under review ; not potato 

 farming in which the gross turnover is very high. 

 The men referred to secured a gross turnover of 

 from j^io to j(^i2 per acre, and a net profit of from £2 

 to £2 per acre, as compared with the average £/\. per 

 acre gross output and £1 per acre profit. Where the 

 term net profit is used, the profit after all working expenses, 

 and rental, and interest on the capital has been paid, is 

 meant. Otherwise, where the term profit is employed 

 it means the cash available for the farmer to spend, after 

 having paid rental and working expenses but not interest 

 on his working capital. 



A 191 2 budget of a looo-acre mixed farm in Germany, 

 where the gross turnover averaged ^16 per acre, shows a 

 net profit of £^ per acre (the value of the products having 

 been worked out at the then current English prices). 



