THE ECONOMIC GAIN OF COOrERATION. 273 



It would be easy to show in detail just how this distrust 

 and dislike on the part of producers, even if not justified, 

 would lead to economic loss, much more when there is 

 a certain amount of foundation for it. But I assume that 

 the consequence is as patent to others as to myself. All this 

 is completely done away with by cooperation on the part of 

 producers, although, as has already been pointed out, its place 

 is to too great an extent taken by distrust of their own sala- 

 ried agents. But, on the whole, as the motive and the oppor- 

 tunity for dishonesty will be far less in the latter case, so, also, 

 on the whole, will the reality be less, as well as the distrust. 

 I am convinced that there is in cooperation a decided bal- 

 ance of moral gain under such circumstances as have been 

 described, and that it leads to a distinct economic gain 

 which exists none the less that it can not be computed and 

 set down in figures. 



There is, however, a word of caution which must not 

 be omitted. There can be no economic gain unless there is 

 forthcoming a volume of business sufficient to warrant the 

 fixed expenses necessary to transact it. A small neighbor- 

 hood association can seldom profitably attempt to sell in 

 distant markets, because the cost of securing and maintaining 

 the necessary business connections, when spread over a small 

 volume of business, will nmke the cost to individuals too 

 great. Such associations can secure the gain of concentration 

 but must sell to local buyers, or through some other agency. 

 The tendency of modern business is into concentration in 

 trusts. This tendency is reaching the farmers and must 

 ultimately prevail with them as with others.* 



* During the season of 1898, the raisin-growers of California perfected and 

 maintained through the year an effective trust controlling about ninety percent 

 of the output. The trust was for one year only, and as these lines are written 

 they are endeavoring to renew it for two years, and the prune-growers of the 

 state are attempting to form a similar trust. The grape-growers of New York 

 and Ohio maintained a similar trust during the same season. The California 

 walnut-growers have a trust, and the orange-growers also, except that the latter 

 has never yet been able to control a sufficient portion of the output to make it 

 effective. These trusts are not yet as effective as the great mercantile trusts, 

 but the farmers arc learning. 

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