CROPPING SYSTEMS WASHINGTON, OREGON, IDAHO. 3 



which had an average of 46.5 per cent of their rotation area in 

 summer failow lacked $200 per farm of making 8 per cent on invest- 

 ment. Those farms with only 6.4 per cent of the rotation area in 

 summer fallow made an average of 8.3 per cent interest on capital 

 invested as compared with 5.9 per cent on farms having 46.5 per cent 

 of the rotation area in summer fallow. It is evident from the crop 

 yields of the different farm groups (see "Crop index," Table I) that the 

 variation in profits in this case is not due to crop yield. The same 

 246 farms are grouped, however, on a basis of crop yields in Table II 

 and the influence of this factor on farm profits brought out. 



Table I. — Percentage of rotation area in summer fallow in relation to profits on 246 

 farms in eastern Washington, eastern Oregon, and northern Idaho. 



Percentage of rotation area in summer fallow. 



Average 

 percentage 

 rotation 

 area in 

 fallow. 



Number 

 of farms. 



Labor 

 income. a 



Interest 

 on invest- 

 ment. 



Crop 

 index.* 



Under 20 per cent . 

 20 to 30 per cent . . 

 30 to 40 per cent . . 

 Over 40 per cent . . 



6.4 

 25.6 

 34.8 

 46.5 



SH90 



302 



- 20 



-200 



8.3 

 7.5 

 6.3 

 5.9 



Per cent. 

 98.2 

 101.0 

 102.4 



a Labor income. — What the farmer has left after all expenses have been charged, including interest on 

 the money he has tied up in his farm business. 

 b Crop index. — Crop yields as compared with the average of all farms, which is taken as 100 per cent. 



Table II. — Crop yields in relation to profits on 246 farms in eastern Washington, eastern 

 Oregon, and northern Idaho. 



Farm group. 



CROP INDEX 



Under 90 



90 to 99 



100 to 110 



Over 110 



Number 



Average 





Percentage 



of farms. 



index. 



income. 



made on 

 investment . 



65 



79 



-$220 



5.5 



62 



94 



105 



6.6 



54 



104 



297 



7.5 



65 



122 



480 



8.2 



Percentage 

 rotation 



area in 

 summer 



failow. 



28.7 

 29.6 

 32.1 

 30.6 



It will be observed from Table II that the farms with an average 

 crop yield of but 79 per cent of the average of all farms lacked $220 

 of returning an interest of 8 per cent on tne investment (minus $220 

 in "Labor income" column). As the per-acre yield of crops increases 

 in the succeeding farm groups, the profits also increase until those 

 farms having an average crop index of 122 made a labor income of 

 $480 after deducting 8 per cent interest on capital invested. Tne 

 interest made on capital for the farm group having the smallest crop 

 index was 5.5 per cent compared with 8.2 per cent for the farm 

 group having the highest yields per acre. The farms with an average 

 crop index of 122 made a 27 per cent larger return on capital invested 

 than did the farms with an average crop index of only 79. Tne table 



