T HIS article is based on a milk supply adjustment study. A primary objective was to test the use of linear programming techniques on the problems of farmers: how useful it would be for telling farmers what production adjustments would pay in response to changes in technical and economic conditions. The empirical results illustrate particular extensions in the application of programming techniques, but, more important, the results are of interest from two viewpoints: first, they indicate profitable lines of change in production when facing a range of changes in conditions of factor supply, prices of labor, prices of milk, and technical possibilities. Second, they offer reasonable explanations of changes taking place in important sectors in the southern states. The data were drawn largely from dairy farms in the Piedmont areas of North Carolina, but the empirical results should also apply in general to the much larger Piedmont region of the South and, to a somewhat lesser extent, to the larger areas in which cotton and tobacco are major crops. Production of milk for fluid use increased rapidly on these farms in the North Carolina Piedmont areas between I949 and I954. Expansion of dairying was accompanied by certain changes: enlargement of smaller farms by the renting of additional land, an increase in production of pasture and hay, shifts from lower-producing breeds to the Holstein breed, elimination of cotton or tobacco on many of the dairy farms, reduction in labor supply, and an increase in use of tractors. Assumptions

THIS paper reports the results of a statistical study of the elasticity of foreign demand for Canadian exports. It sprang from the desire to obtain some criterion of the effect on export receipts of altering the exchange value of the Canadian dollar. Attention was centered on merchandise exports since, aside from Chang's attempts to measure the elasticity of the world demand for Canada's exports,' very little work seems to have been done on the export side. The Department of Trade and Commerce has made estimates of the Canadian import elasticities but it regularly treats exports as an exogenous factor in its models of the Canadian economy. This study was conducted intermittently during the last six years. During this time many different approaches to the subject were made.2 The results of what seem to be the most fruitful approach attempted so far are presented here, with only occasional references to previous attempts. This last approach is based primarily upon the statistical work of Schultz, Stone, and Horner, and the contributions to the pure theory of demand of Knight and Friedman. An attempt has been made to fashion the statistical approach so that the concepts we attempt to measure coincide as closely as practicable to the theoretically ideal ones. The first section of the paper deals with some fundamental general considerations which influenced the decision as to what statistical techniques to adopt. Sections II and III summarize the statistical findings and the last takes up some qualifications.

This book is a collection of some of Professor Shackle's papers written between 1939 and 1953 is largely concerned with the problems of 'expectation' and 'uncertainty' and with reducing these universal factors to some sort of plausible rules. Also included are essays on interest rates, on investment and employment, and on the philosophy of economics. This book, by one of the finest economic writers of his time, will appeal to anyone with an interest in the history of economics.

Reviews the book "Encyclopedia of Accounting Systems," edited by Robert I. Williams and Lillian Doris.