24 
returns for the extra labor needed. Many farmers in this area were 
able to reduce labor costs considerably by exchanging work with 
their neighbors. On the small farms this exchange amounted to an 
average of 0.7 month, while it amounted to 1.0 and 1.3 months re- 
spectively on the medium and large farms. Whenever possible, 
this method of obtaining the extra labor needed is very satisfactory 
and should be encouraged, particularly when prices of farm products 
are low and labor high. 
The total expenses, as well as receipts, decreased in 1922, largely 
because of decreases in purchases of livestock and seed. Potatoes are 
an important item of seed expense on farms in this area, as about a 
half ton is used per acre. Most of the seed is brought in from other 
regions and range in price from $50 to $75 per ton in 1921 and 
from $25 to $40 per ton in 1922. A few farmers used local seed in 
1922 which partly reduced this cost. 
INCOMES FROM FARMING IN 1921 AND 1922 
Incomes from farming were unusually low during the period of 
this survey and reflect the agricultural depression experienced in this 
area in common with many other sections of the country. Low 
prices for the particular crops specialized in by most of the farmers, 
together with high prices for labor and materials needed, are largely 
responsible for this condition. 
Subtracting the total cash expenses from the total cash receipts 
left very little cash for the farmer to pay for permanent improve- 
ments and meet debts due, as indicated at the bottom of Table 14. 
In 1922 cash needed for permanent improvments, including irriga- 
tion construction, drainage charges, and building improvements, 
amounted to an average of $112 on the small farms, $220 on the 
medium, and $378 on the large farms. 
Adding the net inventory changes to the difference between cash 
receipts and cash expenses gives the average income received by the 
operator for the use of his capital and his own and family labor for 
the year. This amounted to an average of $203, $573, and $776 for 
the small, medium, and huge farms for the year 1922. In 1921, the 
family income amounted to $59 more on the small farms and $192 
and $297 more on the medium and large size farms. 
The farm income, which is the difference between all farm re- 
ceipts and expenses, figuring unpaid family labor as an expense, 
varied considerably on the different farms as shown in Table 15. 
Expenses exceeded receipts on 18 of the 59 small farms for the two 
years, on 39 of the 127 medium-sized farms, and on 17 of the 64 
large-sized farms. None of the small farms visited made a farm in- 
come of $1,500 or over during either year. 
To those farmers who have mortgages on their farms, and that 
includes most of the farmers visited (Table 16), it is important that 
the capital used in the business return a fair rate of interest. Dur- 
ing these two years of generally unhappy conditions on farms , no 
interest was made, on the average, by farmers in each of the three 
groups if the farmers allowed themselves and family wages at 
going rates. 
