American Falls press. [volume] (American Falls, Idaho) 1907-1937, 1912-10-17
INTEREST
RATE TO FARMERS
(Coninued from First Page. }

The governmental initiative, take
by the department OF state unde
instructions issued by my directio
to the diplomatic officers in Europ
on March Is last. have been effeo
lively supplemented by the America.
Bankers association, the Southert
Commercial congress. and by man.
other bodies by whom this question
has been a%gitated, and valuable wol
has been done In studying and dis
~seminating knowledge Of those grea
instrumentalities which have been
created in foreign lands to extend
their agriculturists credit facili les
equal in benefits to those enjoy
by their industrial and comnrci' Ii
organizations. The handler 0lct
ed upon the American. -lrnC
throngh a lack of such Z sch arl
the losss sustained b, X Woe a.
i%zenship of the r l.. te 'u1e Of
THIS failure to Il Il II. als to
the utmost dcvelcp.. eit cf our ag-
ricuhural re N es /. o,dily ap-
parent.
The 12,000,0O0 u farmers of the
united States add eeach year to the
national wealth $S,4OO, 900 900. The
are doing this on a borrowed capital
of $6,040,000 900. On this sum
they pay annually interest charges
and renewal charges, the
interes rate OF this country is av-
at Shper ZEN as compared
the rate of Az to 3H percent
by the farmer of France or Germany,
Again. the interest rate paid by
the American farmer is considerable
higher than that paid by our in
corporations, railroads, or
municipalities Yet | think, it
WIN be admitted that the security
offered by the farmer in his farm
and is quite as sound as that Of
ered by Industrial corporations. VIII
will not the investor furnish
he farmer with money at as adj
'aitageuos rae as he is willing to
'upply 1t to the industrial
Obviously. the advantage en-
Dyed by the industrial corporation
in the financial machinery at
is command, which permits il to
Its offer before the investor
N a more attractive and more
'eadily negotiable form. The farm
'r lacks this machinery, and, lacking
I, he suffers unreasonably This
s NOT theory. Through all the
managing conditions OF n century
ne soundness and practicability
II such financial machinery has
1t upon the peculiar credit needs
u the aSriculturalist. has been tried
M and so ces sful has been it's
.pe'"ttoh' That in Germany in
mes ct financial stress. money
las been taken GU of the CONNER.
~ " anu piaSeu In the keeping
4 that empires agricultural banks
Or safely. The value of this as
stance to the farmer receives un-
testimonial in the
''wth OF the system In the
'uhtries Of Europe. More especi-
lily this advantage may be seen in
iact taat through this machinery
IT. German farmer has received
at times. at a rate lower
ian those current In commercial -.
ans.
nut the advantages to be gained ,
me adoption of this plan go .
'sond the direct saving in interest ,
argos to the farmer. The great o
'cessity which prompted the estab- =
hment and extension of this plan =,
roughout Europe was thar of :
ecKlng the rapidly advancing in y
Eases in the cost OF food stuffs. o.
ought about by the inevitable in
IN consumption and A&fail- ii
; OF t he long-drainedx N tn y.
ord a corresponding inc H. in %
auction. That problem les the n
'ple of this country tot Ey-not m
20 "a severe a form as q reaten- az
ths older countries of Eu oe, bu ii,
xz