DISTRIBUTION OF MILK 117 



and open way, or until producers themselves arrange to 

 take care of the surplus, distributing the burden equally 

 among themselves in proportion to the amount of surplus 

 produced. 



Section 9. Cost of Distribution 



Cost of distribution has been stressed particularly in 

 almost every discussion of the milk problem. During the 

 past three or four years especially there have been numer- 

 ous investigations along this line. Although the results 

 of quite a number of these have been published, many of 

 the published figures are not comparable because of 

 changes in the price level between the different dates 

 covered by the investigations, as well as because of dif- 

 ferences in the methods of ascertaining the costs. 



The discussion of costs has arisen largely out of the wide 

 difference between what the farmer gets and what the 

 consumer pays. Farmers have repeatedly insisted that 

 they were entitled to a larger proportion of the consumer's 

 dollar than they have been getting. Though the propor- 

 tion has usually fluctuated about the fifty-fifty mark, the 

 farmer has frequently received less and at times more. 

 The president of one of the largest milk producers' associ- 

 ations recentlv said that the cost of milk distribution 



J 



should not exceed 35 per cent of the consumer's dollar, 

 which would leave the farmer 65 per cent to cover cost 

 of production, cost of transportation, and profit. The 

 justice of any specific percentage, whether it be 35 or 50 

 per cent or any other figure, cannot be established once 

 for all, but will have to be ascertained for each particular 

 case. With many manufactured products the proportion 

 of the consumer's dollar going to the original producer is 

 even smaller than in the case of milk. There is no reason, 



