Atlanta tri-weekly journal. [volume] (Atlanta, Ga.) 1920-19??, 1920-12-11
SOUTH AND WEST
JOINING GLANDS TO
RELIEVE FARMERS
The Atlanta Journal News Bureau,
623 Riggs Building.
BY ENEoDOEE TELLER

WASHINGTON, Dec. 9.-W eStern
and southern senators who have
formed a coalition to bring about
emergency legislation for the finan-
cial relief Of the farming industry
claimed today that despite the OPP
position which developed in the SEN
ate against the Norris resolution they
had more than enough votes to
force action. Senator Gronna, chair
man of the committee on agriculture,
has not attempted to press the reso-
luton, because of a renewal of hear
ings before the committee and the
desire to have all testimony printed
before the senate fight begins.
Other developments in the farm
crisis situation were: A committee
representing the Farm Mortgage
peared before the senate committee
and declared that conditions are crit
ical, and that the farmer must be
carried over the present period of de-
| preston. Revival of the War FL
nance corporation was urged by these
bankers as the most available agency
of relief. Senator Hitchcock, of Ne
braska, introduced a bill to liberalize
farm loan legislation and directing
| that $60,O00,00O of the surplus prof
soon to be turned into the treasury,
| be made available for farm credits.
These funds, he provides are to be
| invested in debentures Of the Fed
eral Farm Loan banks or otherwise
| for the assistance of agriculture.
Senator Hoke Smith, one of the
| leaders in the southern-western coali-
ton, asserted that despite the OPP
position to the Norris resolution by
Senators Lodge, smoot, Glass and
fn
pass this resolution by a two-thirds
majority. We will be able to sus-
pend the rules, shut off debates and
bring speedy action in both houses:
The situation is desperate and will
be met by congress-"
A synopsis of the argument made
before the senate committee by the
delegation representing the Farm
Mortgage Bankers, says: There can
be no valid objection to the farmer
bearing his just share Of the burden
Of deflation, which the entire world
is that the farmer is obviously bear
ing an undue share Of the burden at
the present time with results which
threaten not only hardship to the
farmer, but virtual bankruptcy in
many quarters. Both to the farmers
and his many creditors such re-
suit would be a national disaster,
threatening business chaos and the
future food supply Of the country
and the world.
members of the Farm Mortgage
Banker association feel a very spe-
cial obligation rests on them to en-
phasize the problem and to con-
tribute to it's solution the best wis
dom Of fifty years. of financing the
farmer can supply"
In brief, the remedies proposed by
the Bankers, the spokesman for whom
was F. w. Thompson, of Chicago,
were as follows: Some plan is need
ed to relieve the banks in the re-
serve centers of their present load of
paper not eligible for discount with
the federal reserve banks. If the
banks in the reserve centers could
transfer this burden to some other
agency for years time, there would
be released an entirely adequate
amount of credit for present needs.
both of agriculture and general bust
ness, and for the relief of country
banks which now are compelled to
exercise undue pressure on their GUS
toners, and. worse still, to refuse to
furnish their farmer customers es-
sential credit for their operations. 1t
was then urged that the war finance
corporation was the best available
agency and should Immediately take
over this burden.
"In that connection they reviewed
the needs of foreign countries to
show that they would become i'm
mediate purchasers of American cot
ton, grain and foodstuffs, provided
they could be financed, which it was
believed could be done by the war
finance corporation. It was also sug-
gested that the farmers be urged
TO sell at once part of their holdings,
from 10 to rs per cent, preferably.
and such q partial liquidation will
itself greatly relieve the strain In
the marketing of accumulated stocks.