The Chickasha daily express. (Chickasha, Indian Territory [Okla.]) 1899-current, 1915-10-19

NtNoi E---Inls IS the second and last
OF David Lubin's articles outlining the
plan for an agricultural marketing and
rural credit system for the United
States, which he has been asked to
present to congress this December
BY DAVID LUBIN.
~ >. delegate, International Institute
Of Agriculture. Romeo
Written for the United Press.)
NEW YORK, Oct. 49, When PresI-
dent Wilson declared that .the ques-
ton of rural credit is the most vitality
important problem confronting the
American people today" he certainly
knew whereof he spoke.
You farmers who go blindly on from
year to year, letting financiers dictate
whether you shall have enough cash
at reasonable interest with which to
run your farms, are doing very fool
ish and unnecessary thing.
Yesterday | told you how you could
form an efficient national marketing
organization with ramifications in
every township in the country.
Today I am going to show you how
you can form national rural credit
system along the same lines. A sys-
tenn owned and controlled, not BY
bankers, not by business or profess
sional men, nor by anyone whose In
terests would conflict with yours but
owned and controlled absolutely by
you-The Farmer.
What | tell you here is nothing but
facts about a system which, in the ISL
years it has been in operation in Ger
many, has not known a single failure.
It's bonds now hold their own as they
always have. whether in normal or In
abnormal times Why? Because its
bonds are based upon the land itself.
which no one can harm; and they are
bonds issued by the farmer himself
The system is known as the
Landschaft. You can adopt and adapt
1t in the United States if you will. You
would thus have your own organized
financial cooperation under charter
from the United States government
You and group of your neighboring
land owners after getting the charter.
would determine the actual cash value
Of your combined land holdings. Say
it was s5s000,O00
You would issue on each mortgage,
bonds to be sold in the open market
on security, (your $5,0000OO worth OF
land being the security, so sound that
you will readily dispose Of them at or
above par The bonds would draw :
to per cent and run from so to Is
years.
Who. you ask, will be the buyers?
Your neighbors The butcher. the
shoemaker, the widow with a mite TO
invest. all people with small savings
or large. The security for SO small as
a s100 bond is still your $5.000,001
worth Of land. That land is the cap
ital stock Of your borrowing associ-
alton.
The security farmer Bill Smith
gives to this organization (in which
he is a partner, by the way), is a
mortgage on his particular land
Under this system there are no law
suits because the farmers mortgage Is
rendered equivalent to a Judgment
against the land, which the organixa
tion itself would enforce, if necessary,
to collect.
Before this system could be cuccess-
fully operated in the United States,
however, the national government
would have to pass legislation pro
hibiting further questions Of land
titles On lands Of these corporations.
and also for determining the soil valu-
alton OF each section. State law
changes would also be necessary in
this connection.
However. this IS the only real solu-
ton Of the problem Of rural credit.
Why do you not get your congress