196 THE MARKETING OF WHOLE MILK 



be reflected." l Though such a call market would not 

 establish prices which would be suitable for milk contracts 

 with producers, the editor of the journal held that it 

 would "perform a useful function in keeping the trade, the 

 producer, and the consumer advised as to the condition 

 of the market" and would also "reflect a proper balance 

 between prices ruling on market milk and on manufac- 

 tured dairy products." 2 At the present time, however, 

 so far as the large dealer and the representative of the 

 producers' organizations are concerned, the problem of 

 price determination is not one of theory or of "glittering 

 generalities," but is a matter of arriving at an actual figure 

 expressed in dollars and cents. We are therefore particu- 

 larly interested in the various methods used in arriving at 

 the prices. 



In many instances the determination of the proper 

 price has fallen altogether upon the dealers and more 

 especially upon the large dealers. The dealer, after look- 

 ing about him and deciding what he could get for the milk 

 on the one hand and what price would bring forth the 

 necessary supply on the other hand, has announced his 

 price to the producers. This has very often taken the 

 form of announcing to the patrons of a country or city 

 plant that on a certain day the books would be open to 

 receive signatures to milk contracts for the ensuing con- 

 tract period and that the books would be closed on a cer- 

 tain date. This method of posting price has generally 

 amounted to a fixing of the price by the dealer, since an 

 unorganized body of farmers would be likely to sign up, 

 even though the price seemed ridiculously low, particu- 



1 New York Produce Review fcf American Creamery, Oct. 17, 1917, 

 p. 994. 

 Ubid. 



