The Barre daily times. (Barre, Vt.) 1897-1959, 1913-09-06
UNION OF FORCES
AMONG FARMERS
Is Very Essential If the United States
Is To Keep Pace With the Develop
ment Of the European Ma
tiohs.

ducing and selling farm crops, and in
the financing Of agriculturcl operations
| if this country is to keep pace with
| the development of European nations.
This was the message from the Ameri-
can commission on rural credits, delv
cred to the conference of governors here
| this week in report by Senator Dun
can u. Fletcher, of Florida, chairman of
the commission. The first general report
upon the extensive European investga-
| ton made by the American commission,
under Joint authority of Congress, the
governments of 20 states, and the south
ern commercial congress, was laid be.
fore the governors by Senator Fletcher,
with recommendations for increased ac-
tivity by the states in the extension
of rural credits and cooperative farm
| ing enterprises.
1.-THE commission is deeply impressed
with the vital Importance of a thorough
ly organized and united rural popula-
ton" said Senator Fletcher, in an au.
thorized statement from the commission
which he included in his report.
/ "1n this respect the countries of Eu-
rope offer lesson which may not long
| be disregarded in America without Sc
rious consequences. The agricultural in
terests of most European countries visit
| ed by the commission are organized
along one or more of the following lines:
Credit, production, distribution and So
eial organization for the betterment of
country life"
| Definite recommendations by the com
mission as the result of its extensive in
vestigation of European farming credit
systems, will not be formulated until
certain committees have gone through a
mass OF data and prepared it for con
sideration of the entire commission.
Senator Fletcher made it clear, how
ever, that emphatic recommendations
would be made for system of rural
banking through which farmers could Sc
cure better loans, and through which
| they could finance their own cooperative
producing, buying and selling organiza-
| tions.
President Wilson's recent statement
| that "a distinct system of banking must
be provided for if rural credits are to be
successfully and adequately supplied
was referred to by Senator Fletcher as
promise that federal legislation will
soon be taken up, with view to re-
| lieving the financial handieaps under
which American farming is carried on.
! "These European credit systems" he
added. 'fare of two kinds, those proyid
| ing personal, short-time credit for OPP
Grating purposes; and those providing
! long time mortgage credit for works OF
permanent development and purchase
The more highly developed short time
credit systems, said the report, bring all
| the farmers together in an organization
where they assume personal liability for
the society's debts, The society pays
interest on deposits and loans to its
members at s or 9 per cent; and gives
to each band of farmers the money with
which it can finance cooperative sell
! ing. buying and producing organizations.
! The other kind of credit is found in
mortgage bond societies which hold long
time mortgages bearing moderate in
| terest and automatically discharging
part OF their principle each year.
"This form Of mortgage credit wonld
mean more money for machinery, more
for purchasing land and for developing
poor land" said Senator Fletcher in his
report 1T means fewer tenants amt
more owners. 1t means better rural
| life conditions"
The preliminary statement prepared
| by the rural credits commission and con
| tained in SENATOR Fletcher's report said
in part
personal credit facilities are as highly
1 developed as are the systems of CONNER
ciaI banking. The prevailing rate of
i interest paid by the farmers for short
time loans, is from four to five and
one-half per cent. The terms offered
| European farmers are generally better
designed to meet the peculiar require
ments OF agriculturistis than are the
terms obtainable to-day by the Ameri-
can farmers"
The personal credit" organizations, it
added, are usually cooperative socie-
! ties.
"Those short time credit societies fur
nsb cheap, safe and elastic credit to
their members by reason of their con-
troll by farmers and are organizations
exclusively in the interest of farmers
who operate them at nominal cost and
without seeking dividend profit to such
societies." said the statement
at is the opinion of many leaders of
this movement in Europe that the ques-
ton of rural credit ought not to be di-
vorced from cooperation for business
purposes and the general organizations
of community life in rural districts
The studies Of the commission empha-
size the necessity of defining the func-
tions. on the one hand of the govern
ment, and on the other of voluntary or
CARNATIONS in promoting the develop
ment of country life
The commission on rural credits, with
representatives of the American govern
ment. 90 states, Canadian provinces
and several independent American or
CARNATIONS, went to Europe in April a
year after the southern commercial con-
gress. and David Dubin of the interna
tional institute of agriculture, had begun
the movement for its appointment.
It's members studied the farming and
credit systems of is principle European
countries, receiving the close co-opera-
ton of the state department, the govern
ments of foreign countries and business
and financial interests abroad.
Senator Fletcher in his report to the
governors, urged them to undertake ear
nest co operation with the rural credits
commission, which has established per-
manent headquarters in Washington.
The first active steps of national char
acter. he indicated, will be toward the
establishment of an adequate system
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