Brownsville herald. [volume] (Brownsville, Tex.) 1910-current, 1912-10-04
Low INTEREST FOR FARMERS

You had an editorial in a recent
issue discussing the problem Of
cheaper money for the farmers. In the
course of the article it was shown
that the government can borrow mon
.ey at 2 per cent. The farmer pays
all the way from 6 to II per cent for
money to finance his operations.
1t is very doubtful if there il a
more important problem in all the
range Of public discussion than this.
We are complaining Of the high prices
we have to pay for the n~ecessaries
Of life especially table necessities.
The only hope I see for a reduction
Of the price of any staple product Of
the farm lies in an increase Of pro-
duction, and before this increase can
be had more acres of land must be
cultivated.
| know all about farm life. have
enjoyed it, endured 1t, and as a man,
studied it more or less as part Of a
daily duty. ! am familiar with mod
$4,000 farm, besides supporting my
up in a general way with what is
going on in the world. If I could bor-
row money on a farm mortgage al 4
per cent for a term Of years, I be-
lieve | could in five years, pay for a
ern methods of farming by keeping
family. | would, at least, undertake
such an enterprise if conditions were
such that a man could borrow money
on a farm mortgage at such a tate
Of interest as your article suggests.
There are thousands of intelligent
men who would do likewise. No mar
is going to try it as a venture II he
must pay 5 to 10 per cent for money
with no positive assurance that he
can keep the money he borrows even
at a high interest rate until he de-
velops his farm and brings il up to
a high state OF cultivation, SO that
he can realize on his investment and
energy.
The postal savings banks have de-
posits Of something more than $780,
Q 10000, according to the last report
examined. This money Is under go
vernment control. Why no lend it to
farmers at 8 or 4 per cent? If the gov
eminent can borrow money at 2 per
cent why not the farmer?
Years ago there was a demand for
railroads and private capital could
not supply the demand. The govern
ment at Washington loaned its credit
to railway promoters in order that
this demand might be met. States did
the same thing. There was intense
opposition to this policy among the
professional guardians Of the treas
ury, but in the light of the history
it was a wise policy. The country got
the railroads at a time when they
were needed.
There is a demand for more and
better farms. The farmers lack the
means of meeting this demand. AL
most everything in this country ex-
cept agriculture, at some time or
other, has been subsidized or favored,
by the government. If we subsidize
railroads, steamboats, and manufac-
ture, why not extend the bounty to
the farmer? The governments Of state
and nation can do more for the toll
ing millions OF our cities by helping
the farmer just now than In most
any other work Of philanthropy they
might engage. II the cost Of living
Is eve decreased materially from the
present high level we must produce
more on the farms. This increased
production will come only by putting
more energy. intelligence and capital
into agrfculture.-J. @. RICE in the
Houston Chronicle.