A National Policy. 87 



advantage in cost of production for the small holders in 

 this country unless their standard of living is tO' be brought 

 below that of the Danes and the Irish. 



When we go outside butter, cheese, eggs and bacon, 

 the possibilities of co-operation are much more limited. It 

 is not an accident that co-operation has been most success- 

 ful in these products. The reason is to be found in the 

 nature of the products themselves. Something might be 

 done in vegetables, fruit and flowers, but these are products 

 restricted to definite and limited areas in this country and 

 they can be more economically produced on the large 

 holdings. When we come to the production and sale of 

 milk, meat, cereals and potatoes, the small men are at such 

 a disadvantage on the productive side that co-operation 

 cannot carry them over. 



At the best, however, co-operation cannot do more for 

 small holders than lessen the handicap against them in 

 buying and selling alongside the large producer. There is 

 no virtue in the small holding on the productive side unless 

 we are prepared to neglect the labour cost of the small 

 holder and his family. Whether it be in growing grain 

 or potatoes, feeding bullocks or producing milk, the most 

 economic unit for the community is the large unit. Modern 

 machinery and scientific knowledge have given the advan- 

 tage to the use of large capital in the production of these 

 staples. It is by operating these on a scale which will 

 secure their most economic use that the interest of the 

 community will best be served. The small holder even by 

 the expenditure of excessive labour cannot compete 

 against the large producer. 



