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Abstract

Excerpts from the report Summary: Consumer expenditures for food products originating from domestic farms were estimated at $78 billion in 1965. Payments to agencies for marketing these products were $52 billion and returns to farmers were $26 billion. The total marketing bill of $49 billion in 1963 was made up of the following agency components: Processors, $19 billion; retailers (including eating places), $22 billion; and assemblers, transportation agencies, and wholesalers, $8 billion (the latest available data). The farmer's share of consumer expenditures declined from 42 percent in 1929 to 32 percent in 1963, although it had risen to 46 percent in 1947. The slower increase in farm prices relative to unit marketing charges during 1929-63 was partly offset by a shift from consumption of products with a low farm share to products with a high share. During 1939-47, practically all farm prices rose considerably faster than corresponding unit marketing charges. After 1947, marketing charges rose steadily; farm, prices declined about 20 percent during 1951-59 and remained relatively stable during 1960-64.

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