The Fargo forum and daily republican. [volume] (Fargo, N.D.) 1894-1957, 1914-01-23
COOPERATION
WAS KEYNOTE
COOPERATION WAS KEYNOTE OF
ADDRESS OF j.. M. ANDERSON,
PRESIDENT OF THE EQUITY
COOPERATIVE EXCHANGE OF
FARGO. .....

Cooperation and Government was
the keynote of, the address today of J,
NJ. Anderson of Fargo, president of the
Equity Cooperative exchange before
the Tri-State Grain Growers V
ton. In part he said:
Incorporation has become the all
absorbing subject before the American
public today. 1t is only natural there
fore, that We should consider the at
titude the government should assume
towards this great economic problem.
PERSONALLY, I believe that the gov
eminent should not enter into BUSH
ness. Past experiences would indicate
that he government ann hold it's
own in the field Of competition with
out creating a government monopoly;
and until the public at large has be-
come more familiar with the great
economic problems, it is not advisable
that even government monopolies be
created.
Il believe, therefore, that the gov
eminent should rather lend it's aid to
cooperative associations when prop
erly organized. I believe, first of all,
that the government should institute a
system of public accounting of all CO.
operative associations. The corpora
ton of which I am president, now
operates an auditing department for
farmers elevator companies. In our
experiences the past three years, we
have found that the failures of these
companies have been caused largely
through inefficient management and
bookkeeping that have been employed.
There was a time. when no public at
tention was paid to the accounting en-
ployed by the banks. We all know the
uncertainty and mystery which sur
rounded those institutions at that time.
We now have public bank examiners
examining the books Of all banking in
stitutions and the result a been that
not only has the banking business
been placed on a sounder basis and the
institutions made more secure, but the
public confidence has been greatly
strengthened. Not only is it consider
ed safe to deposit money in banks and
savings and loan associations, but the
investment in the capital stock and
other securities Of such associations
has also been made secure. I believe
that If the government exercised the
same general compulsory supervision
over cooperative associations that in
vestment in the stocks and securities
Of such associations would also become |
more popular with the public at large.
"The government should also en-
courage the formation Of cooperative
credit associations whereby cooper
ators may pool their securities. and
thus procure money at a lower inter-
est rate than can otherwise be secured:
II believe also that the government
should lend it's support towards fur
nishing the facilities with which to
handle farm products such as terminal
grain elevators. In order to compete
with the large elevator interests in the
terminal markets, such large aggre-
cations of capital are necessary that
it is difficult for cooperative COM
panies to get g. start. The people Of
North Dakota have realized this and
have amended their state constitution
SO as to permit the state to build or
lease and operate elevators in the ter
minal grain markets. The last state
appropriated about $4,000
for this purpose, same to be available
in two years. This would hardly be
sufficient for a beginning, but un-
1oubtedly more will be added to this
appropriation by the legislature in the
neal future. I believe that such
elevators when built, should be oper-
lted by commission in conjunction
With farmers cooperative companies
10 as to give special inducements 10
farmers to %patronize the state in
In all that the government
Undertakes. it should have the cooper
and hearty support of the peo-
Without this, all government and
3 obO e itlCSAIntLciIC 2 " j. =
all. With state. elevators, farmers
be given the advantage OF hay-
tehir grain cleaned and treated in
he terminal markets and also be as
iured that their grain would be Of
cred for sale in those markets in an
condition. State elevators
would also provide storage facilities SO
hat the grain need not be sold when
he market was below the cost OF pro-
luction.'
81 believe also that the government
exercise full control Of the great
terminal market places of the country.
development in such mar
kets, but the development has been In
direction of private ownership.
These markets are controlled, In other
words, by private institutions known
AS exchanges or boards of trade.
1Much has been said here in the
concerning the campaign for
government control of such places. nit
wish to state here briefly the issues i'm
but before so doing, will state
briefly the issues that are not involved.
TT has been claimed by the opposf-
ion TO the Equity Exchange moveinert
we are asking for the destruction
If the terminal market, This lis not
rue. realize the great BENEFITS ac.3I
to the public by maintaining
central markets where BUYERS
ind sellers of large quantities of farm
PRODUCTS MAJ get together. Tt has alsof
claimed by the other side that FL
his is q movement fostered by q few