Arizona republican., 1919-03-10

PARIS. March 9.-Herbert Hoover, United States food administrator, asked here tonight whether the United States government would lose the bil- ion dollars appropriated to support the mand will be for the 1919 crop, and, said:
 "The question Of government loss, if any, will revolve around several diff ferent factors. First, whether we or the world will have any surplus from the 1918 crop to carry over into next year; second, what the supply and de- mand will be for the 1919 crop and, third, whether the government should 1 deliberately decide to take a loss i'll | order to lower the price of bread. | As to the supply and demand for the l 1919 crop, changes in the world de- mand last month, shown by widespread | inspection of the food needs of Europe, indicate that there will be no surplus 1 to carry over into the 1919 crop. The
 Indian famine has proved so serious that a large part of the Australian wheat must go there at once. In addi- tion, a considerable proportion of the ! ing up for several years. has spoiled.
 "The needs of Europe are larger than our previous estimates. Altogether, the balance of the supply and demand for
 our present wheat now looks as if we
 might see wheat at $350 a bushel, as 1t
 was in the spring of 1917, if there is a free market in wheat and uncontrolled prices. So much for the 1918 crop. There can be no free market of 90 per
 cent of the worlds exports. Wheat is controlled by the wheat executive in
 London
 Too Early for 1919 Crop
 AS to the 1919 crop, it is. of course.
 too early to come to any precise con-
 clusion. Our crop looks anything
 from 10 to 20 per cent greater next
 year than it was last year. Before the war, Russia, Indian, Bulgaria, Serbia
 and Rumania all exported large
 amounts of wheat. The war famine,
 loss of seed and lack of fertilizers and !, anarchy have cumulated to turn these
 countries into importers of wheat for the whole of next year. Central Eu- , rope seeding will be below normal. The
 Australian 1919 crop is small; the Argentine crop is no larger than that
 of Europe. Altogether it would appear now that there would be no bread to
 waste in any quarter of the world for the next year.
 $ Therefore, to all present appear
 ances it would be possible to make the ? whole of next years crop without loss 7 to the government.
 AS towh ether the government will
 deliberately take loss below the price s of $2.26 a bushel in order to lower the [ price of bread, that is matter that will
 have to be determined by the officials p of the day. It appears to me that
 the world price of wheat if there is , a free market for it. may be above
 $226, and in any event such a loss f would be a direct subtraction from e bread prices, just as it is paid now in
 European countries"
 : Disapproved Price Fixing Asked concerning certain criticisms | arising from the government having ' fixed the price of wheat, Mir Hoover said he originally opposed the fixing 5 of the price, and afterward on every occasion when congress endeavored to U raise the price. He added that he con - sidered then, and also does now. that 2 the world situation requires a stimu- Il lant to production by guarantees to the Il farmer, but he was anxious to have the
 matter left to the administration He d recommended that the guarantee Il should be placed on the basis of SC a much per acre of wheat planted, ht = said
 Had this course been followed.
 MT. Hoover continued, the governmen
 would have known precisely it's Iia
 bility at all times, and could have re le leased wheat at prices to be determine, n by the law of supply and demand, if i > were at any time considered advisable a- l have always believed that a stimu 1t lation could be secured with subsid, r. of from $2 to $5 per acre, and that sucl .h subsidy on 6OOO0 900 acres of wheat al planted in the United States. vouI al have been at the outside cost thre :. hundred million dollars, and I believ "a this would have been equally just an, = satisfactory to the farmer"