Manchester Democrat. [volume] (Manchester, Iowa) 1875-1930, 1919-08-06
IN DEFENSE OF LAND PRICES.

Heu0g11a. iowa. ~ 0ocoHD C1AD RADgoA
IN DEFENSE OF LAND PRICES.
Editor Democrat
Much is being said and some writ
ten and published in regard to what
is called the present "land craze. :
While prices on farm lands today are
far above what we have ever known.
l do not belong to that number who
feel that there is anything in the
nature of craze, or that. under ex-
listing economic conditions, present
valuations are beyond reason.
Would it not be an anomalous situ-
alton II land were selling today where
| It sold two years ago when all Of the
products of the soil have advanced
approximately 100 per cent? Govern
ment statistics report that In the pc
riod just mentioned, there has been
an advance in living costs Of about
seventy per cent Certainly 1t is true
that to operate the farm business to-
day on the same scale as two years
ago, 1t takes nearly two dollars to
one. In other words, II man had q
piece of land which was worth $3.50
per acre two years ago and he had
determined at that time to undertake
to stock and equip it, $4,000 or $4,000
would have gone as far as $4,000
would go today. Suppose he had
sought loan upon his land then. for
this purpose and had been granted
lit upon the supposition that his land
was worth $3.50 per acre. Suppose
that same man today sought q loan
upon his land for the same purpose,
would 1t be logical to deny him credit
upon the $250 basis. / say It would
not only be illogical but 1t would be a
ruinous business policy. There is
much talk now that settlement will
never be made for the land which is
now changing hands because the
banks will not finance the deals upon
the basis Of present values. I believe
our friends who think this way are
wearing "blue glasses" which will
have to be taken OF in due time. There
Is not only great reserve OF money
and large per capita circulation, but
there is flood Of money coming into
this country by reason Of our vast
export business, which, during the
month Of June exceeded by two huns
dred millions any previous month in
our nations history.
1t is for the welfare Of our agri-
culture that the fullest possible as
sistance be given in financing the
deals In land and in supporting land
values. Those who believe 1t is but a
boom inaugurated by the real estate
dealers give the real estate dealers
altogether too much credit. They are
only the "nliddlemen." Land values
have gone where they are today be-
cause land is seeking its economic
equilibrium just as water seeks its
level. Land values with us have al
ways advanced in waves but SO far
no one has seen them make any ma
terial recession when once new
point was made. And they will not
this time. The only thing which can
set our land values back will be a
policy Of soil robbery which will de-;
plete fertility and rob the land OF its
natural productivity.
The prices OF land today will In my
opinion, stimulate rather than re-
tard Improvement. The man who
farms farm worth $3.50 to $500 per
acre will see to it that It ia, put In the
highest possible state of productivity.
There are hundreds Of farms in Della
ware county today where the best land
Is the least productive because Of the
lack of drainage. Comparatively few
farms are adequately drained and In
many cases adequate drainage will
not be had until adjoining farms CO.
operate and put through ditch or
main that will give them an outlet.
The men who are wide-awake enough
and have the vision Of the future and
are buying land today are men with
the Il Will" spirit who are going to
have the kind of improvements upon
their farms which will make them a
credit to Iowa and to agriculture gen.
orally.
GEORGE s. BANTA,
Manchester.