The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1913-07-08
WORK OF RESEARCH
VERY SUCCESSFUL
Thomas S. Southgatc Tells What
Commission Has Accom-
plished.
HE RETURNS FROM ROME
Appointed by Governor as Dele
gate to International Insti-
tute of Agriculture.
Especial to The Times-Dispatch. !


Norfolk. Va. July Thomas S.
ernor Mann. of Virginia. delegate to
the convention of the International In
sttu:e Of Agriculture and auerward
was elected vice president Of the
American Commission to the convcn-
lion at Rome, has returned TO Norfolk
Information regarding the work of
the convention being sought from him
nc today said:
1T Is generally conceded by ALI who
are in position to know that the work
OF research by the American Commits
sion during its two and half months
stay has been successful from every
standpoint, for. by having the valued
assistance OF each Of the governments
OF Europe. the task was naturally made
much easier. as all arrangements were
in every case made in advance OF the
arrival OF the commission to facilitate
its labors Of research
Increased Production.
"Al Europe is panicky over the
world need of an Increased agricultural
production, not only because they must
feed their own and keep down the bal
ance OF commerce against Themselves
as much as possible, but also keep
down the extreme cost of living, which
from the standpoint Of food stuffs. Is
ds odu lneTe as IN our country.
In view, therefore, OF this condi-
ton, Europe regards agriculture as an
individual world need that should be
fostered. helped and cared for by the
governments whenever necessary.
1T is generally conceded by all econ
om!sts that cheap money and liquid
assets are the prime necessities affect
ing Increased production: hence forty
years ago plans were born or made,
a Is a ha tn
nation need. and hence the present
system OF rural finance was inaugur-
atcd. which has not only revolutionized
agricultural conditions. with them, but
has grown beyond all bounds. until
to-day the volume of this business
when taken together. IL greater than
any individual branch OF European IL
nance
The several systems bearing en- this
form OF banking are as follows.
I'm italy and Austria the Lusatti
style OF banks. the fundamental prin-
ciple OF which Is the unlimited liabil-
ity' OF the stockholders.
Second. the Wollenburg or Schultze-
Delisch system, used largely by Ger
many. which system subjects the share
capital of the bank for the security
OF irs obligations.
These smaller institutions all afhl-
late with n central organizations with
whom they deposit and from whom
the! secure loans.
IN the third place. probably tn"
most potential individual phase OF
heavy banking conducted strictly IN
the interest OF agriculture. is the sys-
tenn OF lard mortgage banks which
banks discount farm mortgages on
so per cent valuation basis, at very
low rates Of interest. which rate
also includes a sufiiciency of interest
TO amortiZc the entire loan in n stated
period OF nifty, thirty or ten years ac
cord!nS to the wish OF the borrower.
and according TO the interest rate
paid. of course
In conclusion. Mr.. Southgate said
lie was surprised that no effort seems
IL have been made In Europe to APP
ply these effective methods OF nnaree
to the industrial classes OF the cities
OF Europe, and at least IN that one re-
spect this country is a step in advance
of them. for corporation operating
the Morris Plan" banks with eminent
~ successful banks now established
In fifteen large cities OF the Unilcu
States. is an institution originating,
owned and controlled in this city. ana
dustrial classes of the cities, as the
European systems are doing for the
country classes.
In fact, the great principle OF
amortization carried on by the
European systems is a complete con-
firmatlon of reaffirmation OF the Nor
ris plan" idea. the only difference be-
Ing the European systems amortiZc In
percentage. while the Morris plan
ariortizes In units OF dollars.