The independent-reporter. [volume] (Skowhegan, Me.) 1909-1955, 1912-08-22
STUDY AND INVESTIGATION OF ACR|CUL-
TURAL CREDIT SYSTEM
Special Attention Being Given to This Subject
in Various European Countries

The publications of the lnterna
tional Institute of Agriculture, the
writings of individuals who know more
| or less, either directly or indirectly
about the agricultural credit associa.
tions of some of the progressive agri.
| cultural countries of Europe. and last
but probably by no means least in i'm
portance and real value, the reports
upon this general subject by the am
bassadors of the United States oil
America to these various countries Of
Europe where special attention is be-
ing given to the extending Of agri-
cultural credit-all these things are
serving to bring the subject of fnan-
cial system more favorable to the
farmer and to the development of ou1
agricultural resources more directly
intimately and favorably to the atten-
ton of the general public, and espe-
cially to those who are particularly
interested in the progress and deyel-
opment of our agriculture, also to our
our finances and our financial re-
sources.
The first of the reports from our
ambassadors on this subject came
from Curtis Guild, ambassador to Rus
STA, and because these Investigations
will be official and, therefore should
be carefully and critically made, we
expect to give them as they are issued
by the government. The report from
Russia is as follows:
Even in remote Siberia and Turk
estan has the farmers cooperative
credit system reared financial fab
ric to assist the peasant farmer of
the Russian Cars domain. The State
Department has Just received from
Ambassador Curtis Guild at st. Peters
burg an exhaustive report on the farm
ers' cooperative credit system in Rus
STA.
This is the first of a series OF re-
ports requested by President Taft
from nearly every one of the diplo-
matte officers in Europe on this move
ment which he is striving to trans
plant to this country for the benefit of
the American farmer. Ambassador
Guilds report has been taken under
consideration by the State Depart
ment as the first step in preparing a
plan to fit the cooperative credit idea
to American conditions.
At the present time the Russian
government has nearly forty millions
of dollars of government money in
vested in the farmers cooperative
credit system, which is perhaps the
strongest testimonial of all as to the
success of the movement among Rus
sian farmers and of the great benefits
which it is bringing to that nation.
How established a part of the Rus
sian peasants life this financial ma
chine is becoming is clearly shown
in the practice of the peasants to de-
post their savings with the credit SO
cieties on the understanding that tic
deposits will be paid out after their
death for their funeral expenses OF
that they will be returned to them at
the time of the coming of age of d
son or the marriage of daughter.
The cooperative movement among
Russian peasants has now developed
two distinct aims: First, to educate
the peasants. large proportion OF
whom are quite illiterate, along the
lines of modern farming; and, second
ly, to encourage them to save their
earnings and acquire the habit Of pro-
viding against the rainy days. The
direct aim of the Russian government
IN organizing this system was to re-
lieve the peasant from the necessity
of paying exorbitant and ruinous rates
of interest, imposed upon them by their
money lenders, the rates often running
as high as so, and in known cases, IL
240 per cent. The movement affords
further education for the peasant since
the Russian government has very wise
ly left the management of the socie-
ties largely in the hands of the farm
ers themselves, conducted through the
general meetings of the societies, IN
which every member of the society is
given one vote. The peasant is thus
given considerable experience in finan-
cial affairs and management. The
members elect a board OF directors
and council These bodies take care
of the executive work. They report
to the general meetings of the socie