Brownsville herald. [volume] (Brownsville, Tex.) 1910-current, 1912-10-12
IN FAVOR OF THE
AMERICAN FARMER
{ Continued From Page one }

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admitted that the security offered
by the farmer in his farm lands Is
quite as sound as that offered by in
dustrial corporations. Why, then,
will not the investor furnish the
farmer with money at as advantage
eou rates as he is willing to supply
it to the industrial coporations?
Obviously, the advantage enjoyed by
the industrial corporation lies in the
financial machinery at his command,
which permits it to place its offer
before the investor in a more attrac-
tive and more readily negotiable
form. The farmer lacks this ma
chinery, and, lacking it, he suffers
unreasonably. This is not theory.
But the advantages to be gained
by the adoption of this plan go be-
yond the direct saving in interest
10 the farmer. The great necessity
which prompted the establishment
and extension Of this plan through
out Europe was that of checking the
rapidly advancing increases in the
cost of foodstuffs, brought about -
the inevitable increase in consump-
ion and the failure of the long
drained soil to afford a correspond
ing increase in production. That
problem faces the people OF this
country today-not in 30 severe a
form as it threatened the older
countries of Europe, but still, as a
great and pressing economic prob
lem.
I'm Europe this problem has been
successfully met, first, by reducing
the cost to the farmer Of producing
his crops and, secondly, by increas-
ing his production through the
adoption of improved methods of
cultivation. Both the federal and
state governments in this country
have done much to afford the farm
ers instruction in improved agricul-
tural methods. But it still remains
for us to reduce the cost of the farm
er's production by affording him the
necessary capital for the exploitation
of his soil upon the most advantage
eous terms. He must be afforded the
money necessary for him to adopt
improved methods. 1t must be made
profitable for him 20 place every
acre of his ground under cultivation.
This offers the consumer relief
from the increasing cost of food
stuffs.''
President Taft strongly deprecates
any idea of establishing cooperative
credit in the United States through
the support of the government sub
,sidies.
"We must establish a credit sys-
TEN Of. for and by the farmers Of the
United States" he writes. "'The
country enjoys today great prosper
lily, the factories are busy, the work
ingmen are employed, and every
where the wheels of industry hum.
The farmer shares in this general
prosperity. The proposal which I
make is not to subsidize the Amer
lean farmer. Fortunately for the
country he does not need it, nor
would he accept it."
President Taft warns the gover
nors that in this plan, as in all f.
~nancial schemes. there is % for
harmful exploitation for personal
gain.
"The most e~ssention point to bear
in mind is the need for the assump-
tion by the federal and state govern
ments of the responsibility for
economically and honestly conduct
ed institutions. Such assupmtion Is
the essential precedent for obtaining
the confidence OF the Americans as
well as Of the European investing
public"
If his safeguard is given the farm
land banks President Taft is con-
WINGED that he can secure the farm
ers a market for the mortgage loans
not only in all of the big money CEN
tiers Of this country but also on the
exchanges Of Europe and thus af-
ford the American farmer the capital
necessary for the full exploitation OF
the entire agricultural Of
hthis country.
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