HI 



tant part of one's out goes if they had to be paid for. The 

 majority of farmers do not realize what it costs a mechanic 

 to provide the milk, eggs, fruit and vegetables for his 

 family. 



Money in a farm at five per cent, is as well invested as 

 money loaned at seven per cent., for one does not need to 

 be looking for new places to invest, and then land well 

 located is reasonably sure to advance in price. Money in- 

 vested in real estate generally pays better than railroad 

 stocks. The figures of 1888 which I have at hand, show 

 that out of 650 railroad companies in the United States 

 only eighty-three paid dividends to stockholders, of these 

 only nine paid ten per cent. ; seven, eight per cent. ; four- 

 teen, seven per cent.; twenty-four, six per cent, and the 

 remainder paid from one to four per cent. 



The reason that a farmer cannot hope to make a million 

 dollars out of his business, is because it cannot be carried 

 on profitably only within narrow limits ; within that limit 

 it may pay a better per cent, than a business that yields a 

 million dollar revenue. 



The secret of large gains is contained in the saying 

 " large sales and small profits.'' Philip Armour in his 

 statement before the senate committee in reference to 

 pressed beef trusts, claimed that his average profits on 

 840,649 head of cattle, stamped and sold in one year, was 

 only -f 1.22 per head, a per cent, of profit which the aver- 

 age farmer would consider small indeed. If farmers kept 

 accounts they would be surprised at the per cent, of pro- 

 fit upon their products, even at the present low prices. 

 They would take new courage and use every effort to in- 

 crease production. For instance, in this year of low prices, 

 I find that our potatoes sold in the open market, return us 

 a net profit of 33 1-3 per cent, on tlie cost of production, 

 and that our Hubbard squash if sold (as I think it will be) 

 at $30 per ton, will for every dollar invested return two. 

 Wliat other legitimate business can you name that will do 



