VIII 



COST OF PRODUCING ROCHESTER MILK 



The determination of the cost of milk production presents many 

 serious difficulties. The majority of dairy farmers do not keep cost 

 accounts. On the other hand, there is no class of business men who 

 carries so many business transactions in his head, or can give more 

 accurately from memory the history of financial transactions than the 

 dairy farmer. The different sizes of dairy farms, the different condi- 

 tions of location and soil, the methods of feeding, sizes of herds, amount 

 of labor employed, vary to so great a degree that the figures for each farm 

 differ to a considerable extent from the figures obtained from other farms 

 in the list. An entire year's accounting must be obtained from each 

 farm investigated if the figures are to fairly represent the average cost, 

 for the reason that seasonal changes greatly affect volume of milk pro- 

 duced and the cost of feed. 



In approaching the organization of this work, it was recognized that 

 consideration should be given to the methods of investigation previously 

 used. It was believed by the Director of the Survey that the best insur- 

 ance that could be given to the correctness of the methods adopted for 

 the present inquiry would be obtained through consultation with Professor 

 G. F. Warren, Professor of Farm Management, at Cornell University, 

 because he is recognized as the highest authority in this country on farm 

 economics. At the request of the Director of the Survey, Professor 

 Warren came to Rochester and furnished copies of the report blanks 

 used by him in his own inquiries of the cost of milk production. He also 

 designated some of his own assistants to furnish further advice on this 

 subject. H. E. Babcock, State Director of Farm Bureaus, volunteered to 

 secure for the Director of the Survey men who had been engaged in 

 country farm bureau work and had had extensive experience in compiling 

 farm cost accounts. As a result of this co-operation, four inspectors 

 were employed who could qualify in an unusual manner for work of this 

 character. These men were in the field for an average period of nine 

 weeks, and during that entire time were engaged in making detailed 

 studies in consultation with dairy farmers as to their cost items. 



The preparation of the report blanks used by them was done after 

 consultation with E. G. Misner, Professor of Farm Management at 

 Cornell University, who assisted in preparing a modification of former 

 report blanks adapted especially to the work proposed. Mr. C. P. Clark, 

 who had had considerable experience in supervising investigations of 

 cost accounts and statistical work, was made supervisor of the entire 

 investigation of the cost of milk production. 



