The Farmington times. (Farmington, St. Francois County, Mo.) 1905-1926, 1916-07-07

I
of the encouragement of thrift. These
indeed are connected as supply and
demand. The chief function of credit
is to enable the person making use OF
1t without any immediate return OF
capital for period mutually agreed
upon.
There must be a good reason for
comparative failure Of agriculture.
AN industry which is yearly suf
fering from severe competition should
utilize more fully the credit which Is
so readily available for any other pro
ductive enterprises"
Facts From France.
Myron T. Herrick, noted banker,
when Ambassador to France, studied
farm credits, and he says. "The ma
chinery for credit in the United States
| is defective and inadequate from the
point of view of agriculture There
are no means whatever for granting
longtime loans. Farmers cannot af-
ford to tie up their money for a long
term in the mortgages of neighbors.
There are no arrangements, except in
few special cases, for promoting the
movement of the people back to the
land.
1.-THE primo object is to create
system whereby the farmers may use
their savings as circulatory and work
ing capital, and obtain from the gen
eral public all the other funds needed
for improvements"
You will recall that the United
States sent commission of 100 men,
bers abroad to study farm credits.
Here Is brief extract of most i'm
portant points i'll their report:
American Commissions Report.
what the country wants is not SO
much increase in price as increase in
| productivity of its farm lands. Farm
credit, therefore, should be productive
and provident."
| Here let me remark, in parenthesis,
that this point Is covered by the
Gardner Land Bank Bill. Loans will
not be made for speculation. The
law provided that the money borrowed
must be used for paying off prior
liens or membranes, thus reducing
the interest rates under the old usuri-
Gus system, and the balance to I'M
PROVE THE FARMS. To continue
with the American Commissions re-
pert:
Rural credit is not the same as
urban or city credit. Farm credit calls
for special attention and special insti
! tutions. Agricultural credit in the
greater part of Europe ranks higher
than commercial credit
Land mortgage credits rank higher
than industrial credit Saving and
trust funds are freely invested in farm
mortgages.
Land mortgages are always repaid
on the amortization (easy yearly pay
menD plan" (The same as in the
Gardner billy
1.-THE rapid increase in tenantry in
the United States is becoming an
alarming condition. 1t makes poor
farm practice. poor farm business and
poor farm community.
European credit is Lased on the
land mortgage bond. 1t is not based
on one mans farm, but on the farms
of many. This bond is bought and
sold in the market like government
bonds"
1T is UPON SUCH FACTS THAT
COL. GARDNER WORKED AND
CONGRESS NOW IS WORKING
That our Missouri legislators passed
the Gardner bill is credit to them.
And doubtless our people will ratify
the measure and thus make MIS-
souri, THE FIRST STATE TO AID
| THE FARMER WITH MONEY AT
! LOW INTEREST RATES AND On
| EASY TERMS.
/ Yes, we need the Gardner land
bank, ana any further assistance cur
farmers may get from your Uncle
Sam. It will bring prosperity to our
own folks ard also allow US to help
feed the people Of the warstricken
world