Unquestionably there are vagaries in the consuming demand for pork which might make the payment of a cost-of-production price difficult for a time. It is believed, however, that powerful corn belt farmers’ organizations working in co-operation with the packers should be able to educate consumers to the cost-of-production idea, and so far as seasonal vagaries in the demand are concerned, the farmers and packers should be able to come to an agreement providing for paying rather more than the demand price for hogs in times of poor demand and rather less than the demand price for hogs in times of good demand, in an effort to make price meet cost of production rather than temporary demand idiosyncrasies. It is realized that the difficulties in the way of paying cost of production at all times are even greater than here indicated. The idea, in fact, runs counter to the _laissez faire_, competitive price system under which business is conducted today. It is believed, however, that in the future more and more attention must be paid to production and less and less to price manipulation. To this end, products must be sold at all times as nearly as possible at the cost-of-production price. There must be no prospect of unusual profit or unusual loss in the production of staple products. We are now referring to industries as a whole. It is inevitable, of course, that certain individuals will make great profits and others will incur losses, even in years when the cost-of-production or ratio price is paid. Full consideration must always be given to the physical facts and to special emergencies as they arise. Standard ratios representing cost of production for an industry may suddenly be rendered out-of-date by a new invention. New situations must be recognized frankly, but at all times the guiding motive should be to pay the cost-of-production price, in order that supply and demand may operate more smoothly.