Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1918-01-11
STEVENSON AND THE FARMS
Congressman from the Fifth Upholds
Farm Loan.

Farm Loan.
When the proposition for the gov
ernment purchase Of $lO0,0O0.oOO
farm loan bonds came up for consld-
Grafton in the house last week. II
met with vigorous opposition at the
hands Of representatives Of mortgage
companies who do not like the idea
Of having their 5 per cent loans fall
off with loans bearing a lower rate Of
interest.
In the course Of his argument
against the appropriation. Represent
ative Campbell Of Kansas. said that
not q single one Of his farmer con-
stituents had asked him to support
the appropriation: and he read the
following extract from a letter in
opposition:
The farmers are not asking this
appropriation OF $100.000,O0O to buy
farm loan bonds. 1t is device Of the
Federal Farm Loan Board to help get
themselves out Of their embarrassing
financial difficulty. The farmers
throughout the country never were in
u more prosperous and better iinan-
cial condition than now. All kinds OF
farm products sell at high prices.
farm lands are in demand and selling
1T increased prices, the legitimate
wants of the farmer are being taken
care of now and will be In the future
as they have been In the past, without
borrowing from the United States
government"
Congressman stevenson Of the Fifth
District Of South Carolina, member
Of the committee on banking and cur
rcncy, spoke in favor Of the appro-
priation as follows:
Mr.. Stevenson. Mr.. Chairman. the
gentleman from Kansas (Mr. Camp
bellJ closed his remarks by reading a
statement from somebody who does
not seem 10 have been a farmer. stat
ing that the farmers were not asking
for this and did not need it. The
farmers are asking 10 the extent of
800, 900, 900 for loans with which to
relieve themselves from encumbrances
that they can not relieve themselves
OF otherwise. unless. as his CORES
pondent suggests. they sell their
farms; and when they sell their farms
the correspondent says that the farm
lands are bringing a good price;
therefore when he attempts to con-
tinue to farm by buying another he
: 4ta:"..sS Z" sI.es p.ice -of- -tha-ta<Fa-that Raee
wants to buy put up so high that he
is squeezed out of the farming bust
ness; and now they are asking that
loans be provided in order that they
may have funds with which to liqui-
date these debts and enable them to
go on. This statement Of his cores
pondent that the farmers are in a
good and prosperous condition Is part
~ true, but as to the section Of the
United States from which / come, 1t is
just beginning to recover from the
enormous loss, which congress said II
could not help them to avoid, brought
about by this war, when in 1914 they
marketed the crop of cotton at a loss
of $4SO,000,0 900, and many a farm was
mortgaged as a result, and they have
not had a prosperous time sufficient
to rehabiliate themselves. They made
$4,000, 900 bales Of cotton in 1914, and
1t cost the average farmer at least IL
cents a pound to make it-$60 to the
bale-and the people got, on an aver
iage, $40 for 1t. They have never re-
covered, and they are today facing de-
mands from England and elsewhere
from the mortgage companies, that
they liquidate their mortgages. and
they have got to do 1t in this way or
mot at all. Now. are these bonds safe
II they are not, who is responsible
This congress enacted this act, and in
the 27th section 1t provided the Fed
eral reserve banks should have the
right to buy and deal in them. Well
II they are not a safe security, why al
low the great financial institutions
handling the commercial credits OF
this country to deal in them as assets
on which our currency should be
based. Not only that but l. it just
that we should do something for
them. and Is 1t propitious now? We
have got to do one of two things. to
allow these farm-loan bonds put upon
the market In competition with the
United States loans that are being
made and asked for for the purpose
Of helping until this war Is over-we
have got either to do that or we have
got to take 1t out Of the treasury OF
the United States; and ! say we
should not put the Farm Loan Board
In competition with the treasury OF
the United States. and the presiden,
this morning in this apt language ex.
pressed exactly the principle thai
should govern US now when he said:
mo borrowing should run athwar,
the borrowing Of the Federal treas.
ury."
Mr.. Platt. Will the gentleman
yield?
Mr.. Stevenson. will.
Mr.. Platt How is this $1OO,000.00C
going to be raised II we do not borrow
1t on the credit Of the United States;
Mr.. Stevenson: We borrow it on the
credit Of the United States. along with
the billions that we are borrowing to
loan to France, England, and other
countries. We hear no protest agains,
that. We hear no protest when We
find that the government is preparing
to loan money to keep the railroad.
running: and submit that II we are
going to loan money to the rsilroad,
to keep them running. It is high time
we began to take care Of the man who
produces that which we move upon the
railroads and which il absolutely
necessary to maintain the railroads
the people, and the army at the front
, Nj. Plat VIII the gentleman
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