hence the higher will be the price obtained for
the product; (2) the more of a given product there is to ship the
better the shipping facilities for that product are likely to be; (3)
all the necessary supplies for the type of farming can be more readily
and cheaply obtained; (4) there will be a better knowledge of the
business when more men have had experience in raising the particular
crop.

These principles apply in all classes of business; thus we find woolen
factories in Philadelphia, silk factories at Paterson, N. J., cotton
factories at Lowell, Mass., plow factories at Moline, Ill., and steel
mills at Pittsburg. Many of these centers possessed originally some
natural advantages which caused the location of the first factory, but
others have been drawn there on account of the principles enunciated.
The farmers of a given region have a community of interest as well as
railroads. The young farmer should recognize this fact and if
necessary should exert himself to develop such interest in his
community, both for his own benefit and that of his neighbors.

There are two classes of farms for which the purchaser is in danger of
paying too much, one on which there are extensive improvements and one
on which there are none at all. A farm with just barely enough
improvements for the conduct of the type of farming it is proposed to
develop can usually be purchased most advantageously. The purchaser
should understand clearly that the previous cost of the improvements
has no necessary relation to their present value, any more than the
value of a second-hand suit of clothes is dependent upon its original
cost. All depends on how badly they are worn and how well they are
adapted to present conditions. The value of farm improvements is not
unlike those in other business enterprises in this respect. Their
value depends upon present and prospective earning capacity and not on
former cost.

No rule can be laid down as to the relation which should exist between
the value of land itself and the value of the improvements. In
practice it varies greatly. In the United States the farm improvements
constitute on an average 21% of the total value of land, being as high
as 45% in Massachusetts and as low as 15% in Texas. The young farmer
may well consider, therefore, whether he can earn interest on his
investment when the improvements cost more than 25% of the total value
of the real estate. Certainly when it becomes one-half it is
exce