The Calumet news. [volume] (Calumet, Mich.) 1907-1938, 1912-10-12
Would Give TiIIers Of Soil
Financial Credit at Re-
duced Rates
MORE LAND COULD Be TITLED

Beverly, Mass. oct I2.-Radical
legislation i'm favor Of the American
farmer and consumer as means of
of living was urged by President Taft
toda% in letter to the governors of
oil the States.
President Taft proposes to reduce
the cost of foodstuffs on the American
dinner teble ~ reducing the cost TO
the farmer NJ producing his crops. This
would be- done by ests blshing In the
interest of the farmer financial ma
chine which would give him access to
all the money cen,crs Of the world and
affcrd him credit at greatly reduced
rates and upon more advantageous
terms than he row receives. The COM
plete development of our agricultural
resources which this would make pos
Sibe, thinks President Taft would go
long way toward settling the prob
lem of the high cost os living.
What this plan Offers" writes
President Taft "is means to secure,
this country greater productivity. at
less cost, from the farms that are now
under cultivation. ard, above all. to
give us more farms and more farmsrs.'
The plan suggested is based upon
the principles Of agricultural coopera
every country of Europe. Uniform
State legislation. in the opinion of
President Taft, is essential to the sue
cessful adoption of this plan and he
has invited the governors of all the
States to conference upon this subject
at the time of the annual meeting of
governors in Washington in December.
Were not the interval so short"
writes President Taft. my conviction
Of the importance of this subject would
impel me to invite YOU TO & conference
at still earlier date"
President Taft bases his recommen-
dations ON reports submitted by the
american diplomatic officers IN Europe
whC have since last March. been en-
gagged in an Investigation of this ques
ton ond upon the special report OF
Ambassador Myron r. Hcrrick who
question of adopting cooperative credit
IN the United States.
Urges State Legislation.
"a study OF these reports. writes
president Taft. "and of the recommen-
dations of Ambassador Herrick. which
: am sending you. convinces ne of
the adaptability to American condi-
ton of the cooperative credit plan as
set forth in .he organization of the
llaiffesen banks of Germany. The
establishment and conduct of such
banks, however. are matters for State
inent of land mortgage banks under
state charters. and the formation of
cooperative mortgage bono societies
along the lines Of the L1ndschaften so
cieties of Gerdnany, provided that uni
form state legislation can be secured
to govern their organization and
operation. As n later step. | favor
the enactment Of laws by Congress
permitting the organization of national
land mortgage banks. to be operated
under strict Government supervision
with the power to guarantee and mar
ket the guarantee debenture bonds of
the state land-mortgags banks or CO.
operative societies. recommend for
Your consideration the report and
ercommendations of Ambassador Her
rick now published by the Department
OF State for general distribution
rhe twelve millions of farmers Of
the United States add each year to the
national wealth $S,40o, 100000. They
arc doing this on borrowed capital
of 5000 100000. on this sum they
pay annually interest charges of $780,
ooo,oov. Counting commissions and re-
hewal charges, the interest rate paid by
the farmer OF this country Is averaged
at 81 per cent. as compared to a rate
OF AZ to 81 per cent paid by the
farmer. for instance. - of France or
Germany.
again. the interest rate paid by the
american farmer Is considerably
higher thnn that paid by our industr
III corporations. railroads. or munich
Paiities. Yet. I think. IL will be ad-
- -