FARM MANAGEMENT IN CLINTON COUNTY, INDIANA. 3 
justments, began. The population of the county ceased to increase 
and the rural and country population began to decrease. In 1900 
the population of the open country was 19,000; in 1920 it was only 
14,000, a decrease of more than 25 per cent. The number of farms 
in the county began to decline, decreasing from about 3,000 in 1900 
to about 2,400 in 1920, a 20 per cent decrease. The average size 
of farms, which had been decreasing, began to increase, going from 
84 acres in 1900 to 104 acres in 1920. 
Then there was an increase in the value of farm property from 
1900 to 1920. The average value per farm more than doubled from 
1900 to 1910, and again from 1910 to 1920. 
DEFINITION OF TERMS. 
Certain terms, as used in this bulletin, are denned as follows: 
Farm. — All the land operated as one unit, that is, with one set of equipment. 
Operator. — The one who directs the operations of the farm. 
Owner. — The operator who owns the farm. 
Owner-additional. — The operator who owns part and rents part of the farm. 
Tenant. — The operator who rents all the farm. 
Landlord. — The one who owns the rented farm. 
Capital. — The value, at the beginning of the farm year, of all real estate, 
machinery, livestock, and other property used to carry on the farm business. 
It includes the value of the farm dwelling, but not the household furnishings. 
Receipts. — Proceeds from the sale of crops produced during the farm year, 
the increase from stock, and the receipts from outside labor, rent of buildings, 
etc. The increase from stock is found by subtracting the sum of the amount 
paid for stocky purchases and the inventory value at the beginning of the year 
from the receipts from stock products, sales of livestock, and the inventory 
value at the end of the year. If the value of crops, or supplies on hand at the 
end of the year to be carried over for the next year's business, was greater than 
at the beginning, the difference is considered a receipt. 
Expenses. — Annual expenditures made in carrying on the farm business, in- 
cluding the value of the unpaid labor performed by members of the family, and 
depreciation on buildings and equipment, and excluding the value of the farm- 
er's own labor. If the value of crops or supplies at the end of the year to be 
carried over for the next year's business was less than at the beginning, this is 
considered an expense. Household or personal expenses are not included. 
Farm income. — The difference between receipts and expenses. It represents 
the value that may be withdrawn from the year's business without reducing the 
capital. 
Labor income. — The amount left for the labor of the operator, after 5 per 
cent interest on the farm capital is deducted from the farm income. It repre- 
sents what the farm has earned as a result of the labor and management of the 
operator, after earnings for the capital have been deducted. In addition to 
labor income, the operator receives a house to live in, fuel (when cut from the 
farm), garden products, milk, butter, eggs, etc. A "minus" labor income means 
no returns above food products, fuel, and house rentfurnished by the farm for 
the farmer's year's labor, and lacking the amount indicated of paying 5 per cent 
interest on the farm capital. 
Percentage return on capital. — The rate returned on the farm capital, after the 
value of the farmer's labor is deducted from the farm income. It represents 
what the capital earned after all expenses have been deducted, and the farmer 
has^ received a fair wage for his labor. When the percentage return on the 
capital is preceded by the "minus" sign, it means that the farmer did not realize 
even fair wages for his own labor and management, thus leaving nothing for 
the earnings on the farm capital. 
Family living from the farm. — The value of food products set aside from the 
year's production, and the value of fuel and house rent furnished directly by 
the farm toward the family living of the operator. This form of earning has 
been considered in addition to receipts, farm income and labor income. 
Animal unit. — In order to compare the different classes of animals, and to 
compute the total amount of livestock on these farms, all stock has been com- 
puted in terms of animal units. In this area, 1 horse, cow, or steer was counted 
