12—Lancaster Farming. Saturday. July 21
Food Prices Headed Higher
(Continued From Page 31)
consumers and an upward
pressure on food prices con-
tinues
But with high gram, meat, and
soybean prices, the American
farmer has greater incentive to
produce. Land formerly held idle
goes into production and, if
weather and other conditions are
favorable, production will in
crease If harvests increase more
than does demand, prices will
decrease, if not, they may in
crease Future prices will depend
on the American farmer’s
willingness to produce, his
productivity, favorable natural
phenomena, and the rate of in
crease in demand
The American Consumer’s
Alternatives
The above outlook will take
time to occur What can the
American consumer do to fight
high meat and food prices right
now 9 One possibility is to reduce
demand-either don’t consume a
particular food or consume less
of it on a continuing basis. This
will result m lower prices in the
short run as available supplies
exceed consumption and prices
fall to move them into con
sumption But the incentive to
produce also falls and producers
curtail production in response to
lessened demand In the long run
less production results and prices
again rise as the pricing
mechanism allocates lower
supplies to those most willing to
pay for them
Another possibility is to reduce
the presently high ceiling prices
PUBLIC SALE
OF
VALUABLE
FARM EQUIPMENT
AND
PERSONAL PROPERTY
ON SATURDAY,
AUGUST 4,1973
at 10 A.M. Sharp at RDI,
Wrightsville, Penna. Approx. Vi
mile south of the Craley Fire Hall
on the road from Craley to New
Bridgeville.
The undersigned will offer at
Public Sale the following-
Rubber tire wagon, Dearborn
manure loader, 16 ft aluminum
gram conveyor, gram binder,
threshing machine self feeder
with blower, tractor lift, peg
harrow, dirt scoop, some new oak
& poplar lumber, approx. 300 ft.
of dired cedar lumber, horse
mower, tobacco planter, tobacco
scaffolding, 2800 tobacco lath,
chain hoist, hammermill, roll of
barb wire, log chains, two hole
corn sheller, block and tackle,
bench vise, bag truck, belts,
cable and pulley, platform
scales, 250 K Lincoln electric
welder, 2 scalding troughs, 2
gram fans, drill press, and some
of the usual small items off the
wagon
ANTIQUES
Square back sleigh, bob sled,
small gasoline engine, double
butcher furnace, iron kettle, 5
iron hog troughs, 4 horse plows,
horse cultivator, gram cradle,
anvil, old Forge, wooden York
chop mill wooden wheelbarrow,
milk cans single and double
trees hames, harness, pitch
forks, old tools, wooden shaker
fork and other articles too
numerous to mention
Not responsible for accidents
on day of sale
Terms cash
Oscar H. Gilbert
Jacob V Gilbert, Auctioneer
Phone 2')2-!VM
Robeil Mine, clerk
197
on meat. But if ceiling prices are
imposed at levels that leave little
profit for the producer,
production incentive falls as does
production Furthermore, black
market situations may arise with
a less equitable distribution of
product than prevailed before.
Perhaps the best technique in the
long run is encouragement of
increased output adequate to
meet the demands of both
domestic and foreign buyers.
One might consider that the
best solution to the problem is to
either stop inflation or reverse its
direction This would be an ex
tremely difficult task to ac
complish in a democratic society.
We must remember that many
people are benefited by inflation
and tough programs to curb it
would bring howls of protest from
many quarters An example of
this is our present attitude
toward interest rates. With
demand already high enough to
fuel inflationary fires, we wish to
keep interest rates low so not to
hurt potential home owners,
municipalities, etc. Demand
continues to grow under cheap
credit and U S. dollars continue
to flow abroad seeking better
investment opportunities and
contributing to our balance of
payments problems
Slowing or stopping inflation is
a difficult task for any single
nation to accomplish. Nations of
the world are highly in
terdependent and chances of
controlling inflation by any one
nation in isolation are low. We
may expect to see continued
inflation for quite some time
although perhaps the rate may be
slowed down.
Outlook Is Inflationary
So where does that leave us
with respect to future food
prices 9 The outlook is dictated by
several inflationary factors. The
cheapening of money all over the
world means higher and higher
prices of all goods and services,
everywhere, food not excepted.
Then, the possibility of further
devaluation or cheapening of the
dollar relative to other curren
cies of the world poses the threat
of prices rising still higher in the
United States than elsewhere.
Prices of favored foods such as
meat and other currencies of the
world poses the threat of prices
rising still higher in the United
MILKING HERD and
BRED HEIFER DISPERSAL
WEDNESDAY JULY 25, 1973
12:00 P.M.
Located on the farm at RD2 Palmyra, along Rt. 341 in Upper
Lawn, South Londenderry Township, Lebanon County. Appx. 4
miles south of Campbelltown off Rt. 322.
78 HEAD 78
GRADE HOLSTEINS
62 head of milking cattle and the balance are bred
heifers.
Few outstanding records:
Naomi 17959 3.5 628
Roseann 20313 3.5 701
R. Bush 17551 3.5 614
Terisa 16300 3.7 606
Carol 15658 3.4 538
This is almost an entire herd of young ABC and ABS
sired home raised cattle with lots of dairy character
and plenty of potential These cattle are presently
being milked in a milking parlor and are not being
overfed for high milk production If in need of milk
attend this sale DHIA records furnished with the
cattle
SALE UNDER COVERCATALOGS AVAILABLE HEALTH
CHARTS
Sale under cover Catalogs available Health charts
CONDITIONS BY:
SAMUEL and GRACE GISH
HARRY H. BACHMAN - Auctioneer
Refreshments available
Stales than elsewhere Prices of
favored foods such as meat and
other livestock products will
probably continue to be high as
compared to prices of other foods
as long as incomes and the level
of living of the world increase.
Since its beginning the United
States has only rarely ex
perienced abrupt rises in the cost
of living and, when it did, what
went up eventually came down
agam-at least this was true until
World War II At present, the
outlook is for a more or less
continual or chronic inflation.
The only uncertainty concerns
how rapid the inflation will be
Successful management of the
world’s economies might keep
the rates of price rises < low
enough so that various kinds of
prices will not become out of
balance. Whether it is rapid or
slow, however, the continual
inflation which is probably in
store for the United States is
something relatively new. It is
not new for the world, however
Modern Germany, France, Italy,
India, Brazil, and Argentina, to
name a few, as well as many
ancient powers have all been
forced to accustom themselves to
higher and higher prices as time
passed.
Food prices may be con
siderably higher 10 years from
now than they are today and may
never be as cheap again as in the
years before 1973 But let us not
forget that prices are a relative
matter. For example, in 1932
pork chops sold at two pounds for
25 cents-extremely low priced by
today’s standards and yet high
for their day when incomes were
extremely low. Beef at five
dollars per pound will sound
cheap in a few years if wages
continue to rise faster than food
prices, as they have during the
last 20 years. Individual food
prices often rise by spuflF and
tend to cause panic; whereas,
wages and salaries rise more
slowly but also more steadily and
more surely. In the long run,
however, it is quite likely that
personal incomes will gain
relative to food prices.
Summary
Sharp increases in beef and
pork prices after December 1972
have focused consumer attention
on food prices.
Increasing demand for high
protein foods relative to supply is
chiefly responsible for rising food
prices. Higher incomes all over
the world are enabling people to
consume larger quantities than
they have ever been able to af
ford before.
If society wants increased
supplies of meat, it must pay
prices high enough to encourage
more production
Higher costs of producing
livestock occur as grain prices
rise, and, grains throughout the
world are required for human
consumption as well as for some
foreign nations eager to buy
gram for their livestock
production
The basic culprit in rising
prices is the inflation now
existing throughout the free
world-and in some non-free
countries as well. Monetary
policies of nations have over
whelmingly favored high
government spending levels with
deficit budgets and the creation
of much larger amounts of money
and credit to buy only slightly -
larger quantities of goods and
services.
Inflation has not been uniform
throughout the world, partly due
to the differing degrees of suc
cess countries have had in con
ducting their internal and ex
ternal financial affairs and partly
to different rates of efficiency of
production between nations.
Our balance of payments defic-
MR. AND MRS. FRANK GUDINAS
FARM
REAL
The complete Farm Dispersal of Mr. & Mrs. Frank
Gudinas will be Friday, July 27th beginning at 10:00
A.M. Located 7 miles north of Prattsburg, N.Y. 5 miles
west of Branchport, N.Y. on the Italy Hill Road, 27 miles
north of Bath, N.Y. Turn off Route 53 at Prattsburg on
the Branchport Rd. Vz mile from the Blue Eagle
Restaurant.
91 DAIRY CATTLE 91
This is a real milking herd. Mostly Holstems, a lot of
fresh and close Springers, several fall cows. A few
outstanding Ayrshires. There are 56 Mature Cows, 22
2-yr. old Heifers, 2 Yearlings, 11 Grass Calves. A real
Sale to make your replacements T. 8., Blood Tested,
Pregnancy Checked, and Interstated.
FARM EQUIPMENT
1971 5000 Ford Tractor
1969 4000 Ford Tractor
M. Farmall Tractor (wide
front)
No. 340 Ford Compact Loader
Int. Baler with thrower
N. Corn Picker (like new)
N.H Elevator
Ford 4-Bottom Plow
Ford Chopper
Int. 12 Ft. Disc (Heavy Duty)
4-Row Corn Planter
Hay Elevator
Badger Blower with
Automatic Silo Distributor
(new)
MILKING EQUIPMENT
600 Gal. Bulk Tank, Pipeline Milker, Milking Equipment
INDUSTRIAL EQUIPMENT
H D 11 E. A.C. Bulldozer (good), 181 I.H. Bulldozer (fair),
Lowboy Trailer with Int. Tractor.
320 Acre Farm, 2 Silos, Large Barn, Excellent Land and Level.
Very good location. Nice Farm Horae. Will be sold at Public
Auction. Terms 10 percent down, day of Sale. Reasonable
Down payment to Right Party. Owner will finance Balance.
Your inspection is invited at anytime.
Terms on Personal Property - Cash Day of Sale.
Machinery will be sold at 10:00 A.M. - Farm will be Sold Just
Before the Cattle Sale at approximately 12:30.
LUNCH WILL BE SERVED
MR. & MRS. FRANK GUDINAS
RONALD D. WEST, SALE MANAGER
ROBERT SHAYLOR & VICTOR PIRRUNG, AUCTIONEERS
ROBERT SLINGERLAND, CLERK
To be assured of a Top Auction or if you would like to sell
your entire Personal Property outright, contact the best in the
Auction and Dairy Business, Ronald D West, R.D.I, Man
sfield, Penna. Phone 717-724-1989, Robert M. Shaylor, Elmira
St, Troy, Pa Phone 717-297-3278 or Francis Courtnght
Fairway Lane, Horseheads, NY Phone- 607-739-2522.
it was a prime factor in dollar
devaluation, making our
agricultural products more at
tractive to foreign buyers. In
creased foreign demand creates
an upward pressure on food
prices
Future prices will depend on
the American farmer’s
willingness to produce, his
productivity, favorable natural
phenomena, and rate of increase
in demand.
American consumers may be
faced with food prices con
siderably higher 10 years from
now than they are today and food
may never be as cheap again as
m the years before 1973. In the
long run, however, it is quite
likely that personal incomes will
gam relative to food prices.
Americans today are eating
more meals away from home
than ever before.
Engineers at Sperry New
Holland say a modern hay baler
is capable of doing more than
three times as much work per
hour than its predecessor of 30
years ago, but its cost to the
farmer has less than doubled.
DISPERSAL &
ESTATE SALE
Ontario Tractor Drill
Feed Mixer (new)
Star Line Spreader
Ford Self-Unloading Wagon
Papec Self-Unloading Wagon
(like new)
Heston Haybine PT-10 (new)
Flat Bottom Bale Thrower
Wagon
Post Hole Auger
Side Rake
Sprayer
FARM FOR SALE
xxxx
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OWNERS