repressive and destructive prosecution. Any governmental regula¬
tion, however slight it may be and though it may insure co-operation
and efficiency throughout the industry, will necessarily have to be
applied under the sanction of the police power. The more intelli¬
gent the regulation, the more in harmony it is with the basic needs
of the industry and the more stimulating and effective it will be.

The following study of the milk industry will seek to show cer¬
tain inefficiencies throughout the industry and their causes together
with some constructive suggestions as to remedies. While recog¬
nizing the ability of the New York public to assume the owniership
of the milk industry and the moral and legal grounds for the regu¬
lation thereof by a state commission, it will urge as the better
alternative the value of co-operation between the conflicting interests
of the industry, the continuance of a proper division of labor, the
necessity for faith in each other's honesty of purpose and a proper
appreciation by all concerned of the important element of service
in producing and distributing clean milk to the world's leading city.

In submitting the tables contained in the following chapters, no
attempt will be made to claim for them a greater scientific value
than appears on their face. They are generally based upon an
analysis of a considerable amount of data gathered on a certain day
or covering a short period of time. The time selected to gather most
of this data was in the early part of December, 1917, during ap¬
proximately normal production in the country and before the con¬
solidations which have been so largely in vogue among the dealers
during the past year, had greatly affected the industry. An analysis
of data covering longer periods of time might have been made, but
the variations due to prices, locality, types of cattle and other matters
would still affect its scientific accuracy. On the other hand, a study
covering a shorter period is valuable as showing the tendencies and
relations, because a larger number of facts can be gathered, which
so far as they go, are more likely to be accurate and will not mis¬
lead imless they are mislabeled.

CHAPTER I.

Inefficiencies in Production.

The basis of the whole milk industry is production. It would
seem, therefore, that every branch of the industry would naturally
be influenced greatly by production processes and organization and
that production must be intelligent, efficient and sufficient. All other
branches of the industry are dependent upon the producer. This
does not mean that the producer should control these other branches,
but it is most necessary that he work with them and they with and
for him. The producer should be the first to welcome co-operation
and the other interests in the business must be persuaded to volun¬
tarily or involuntarily co-operate with him.