New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1889-09-04
F1PuFRS and THEIR DEBTS.

FARMERS IND THEIR DEbIo.
Is the farmer running into debt, and are the
Western farm mortgages only the evidences OF
agricultural loss and disaster? Because the
question has political side, it has seemed al
most impossible to get trustworthy evidence
about 1t, and most OF the official and other re-
ports on the subject have been partial and
misleading In THE Political Science Quar-
teryr for September Mr. w. F. Mappin makes
highly creditable attempt to sum up such
evidence as has been obtained on the subject.
and his paper while it discloSes most melan-
choy inadeQuacy Of information on points that
are Of tfe first importance, nevertheless en-
braces many valuable facts. and contains sug-
gestions that are of still more value respecting
the sort Of Information that is needed.
Mr. Mappin makes short work Of the igno-
rant notion that trustworthy statistics of farm
mortgages exist. lie quotes the Democratic
canard in the last Presidential campaign, that
such mortgages amounting to six hundred and
twenty millions existed in the State Of Illinois,
and adds that recent investigation by State au-
thority discloses such mortgages aggregating
less than one hundred and twenty-siX millions.
In addition he cites the admission of the Iowa
Secretary Of State, that recorded mortgages
show the original amounts. though the notes
thereby secuted may bear credits equal to near
| w their face value; and thas Of the Commits
sioner of Michigan, who alfirms that there is
no means Of knowing whether more mortgages
are being discharged than are being created.
But granting that the amount yearly negotiated
nav exceed one hundred and fifty millions on
all Western farms, the writer next sweeps away
very effectively the notion that such indebted
ness is evidence Of loss in farming Half the
mor gage Indebtedness in Michigan an official
report shows, is on manufacturing property.
and is officially admitted to be of benefit to the
whole community, giving employment to
1890 persons, who receive in wages over
fony-four millions annually. But Mr. Nlappin
pertinently inquiries why the mortgages which
have enabled men to buy and improve farms
have not also been blessing to the whole
community, and proceeds to show that they
give employment to $50, 900 persons who re-
ceive annually in wages over fOtty-tye mill
ions.
The mortgage enables a farmer to purchase
in place of one who wants to retire 1t enables
the sons Of farmers TO start in business for
themselves in regions where they have friends
1t enables farmers to build good gravel roads
at an expense supposed to average about
s., 100000 yearly in the State OF Indiana
1t enabled farmers to invest no less than
S17OO. 600 in 1887 in tile ditching in the
same state Of Indiana, thereby enormously III
creaSing the value of their farms. Illinois is
making progress in the same direction, and
vet is far behind, and Mr.. Mappn says:
The best thing that could happen TO the farmers OF
Illinois Is for them 10 experience common Impulse
TO swell their sl23 100000 mortgage Indebtedness py
borrowing money to do dltching, well as to build
gravel roads where gravel is to be he'd There wouia
be no cause of serious apprehension II the interest
rete went ND 10 even or per cent This would
bring back TO Chicago the loan agents who have gone
10 Indianapolis to points further west or nortn
west II Indiana farmers have found u pron'aoe
TO borrow money TO build roads and put IN oi'oheS
surely those OF Illinois, with superior SOIL eau Oe
running no risk .
Only n few of the points suggested IN MI
MaDpin's instructive article have here been
mentioned. II the various State Bureaus OF
Labor Statistics desire to render service OF the
highest value, they can hardly do better than
examine with care the suggestions be makes as
to the kind of information needed. The num-
Der of foreclosures is justly regarded rs lar
more important than the number of mortgages,
and the distinction between purchase money
/ improvement and other mortgages is clearly set
| forth 1t is shown, too, that the aggregate
mortgage indebtedness on eight farms chosen
as an illustration increased from 81 $3.50 IN
1872 to 50 500 in 1880, and yet all the farm
ers except two had prospered greatly the eight
original owners having a mortgage indebted
ness of only 50, $50 at the end of the period
but holding mortgages given by other parties
for So $3.50 on the farms they formerly owned
A little more examination Of the same kind
might be expected to dSpel the notion that
farming is generally Improbable.