The Birmingham age-herald., 1920-12-15
WANT ID OPEN B|G
 FIELDS FOR TRADE
 NCENTRAL EUROPE
w. P.. G. Harding and Others Seek to Restore German and
 Russian Trade Channels
By HUGH W. ROBERTS Washington Bureau The Age-HeraId,
 500 Davidson Building.

Washington, December 4.-(Special.) )- The state department and W. P. G.. Harding, governor of the federal reserve board, are endeavoring by conferences and consultations to make it possible for American producers and American man ufacturers to reform trade alliances with Germany and Russia.
 The war finance corporation. when it functions--if it does-wiii materially help the situation, it is admitted. But it will not solve the problem. It is con- ceded that the greatest need is authority to deal with countries with which the state department has no formal rela- tions.
 Thomas Barrett of Augusta, Ga, an important cotton factor of the south, while visiting Washington this week, made statements to the above effect. TO the argument that Russia has no goods with which to barter and no money with which to pay, Mir Barrett pointed out the fact that England was trading with Russia. and ventured the assertion that the English merchant is the smartest man in the world, and with the assis- thee of his government, will get his money.
 CONGRESS ON METTLE
 Congress s determined to go the limit iE behalf of the farmer. Were the cot ton farmer alone stricken, Congress would do very little. But as the wheat farmer is in trouble, and the western members as anxious to relieve the sit uatfon as the southern members, Con- gress is certainly on it's toes.
 It is probable that D. F. Houston, the secretary of the treasury, will respond to congressional pressure, and permit the war finance corporation to function. At the same time, it is said to be possible that he will balk even in the face of Congress. Ie is believed to be true that were he to take the case to the Pres ident with an insstent argument, the President would have considerable em- barrassment in overruling this officer of his cabinet.
 Mir. Houston has been severely crit icised. His manner in stating his po- stion has left the impression, whether justly or unjustly, that he has no con- sideration for the plight of the farmer. At the same time, his argument, though another repetition of the statement that '+business is business cannot fail to appeal to the cold -blooded observer of events, and especially to the financial institutions of the east.
 MIR. HOUSTON ARGUES
 Mir. Houston says in effect, that the only. good to result from the revival of
 
 in an indirect statement on the part of the government that it is willing to act as tniddlenan between producer and buyer-that the practical effect will be of little moment.
 He contends that to restore to the war finance corporation the credit it for n.erly had with the treasury would force the treasury to borrow a large sum of money at 6 per cent at time of finan- cal stress.
 He makes the further point that in the downward trend of prices, the far mer should stand the gaff like any men who have things of value for sale. He contends that it is unfair to the con sumer for the government to step in and prevent the deterioration of values when the consumer has been long and patient sufferer.
 STATEMENT OF FARMERS
 On the other hand, the farmer argues that he is required to bear the entire load of deflation. that he is being made the goat" and that everybody else is relieved of the necessity Of suffering. He points to the fact that cotton last April sold for 43 cents, whereas now it sells for 14 cents; and to the rapid. daz- zling depreciation in the value of wheat. The organizations which the farmers maintain in Washington publish an of ficial statement that ''big business" has for so many years made the farmer the goat that it is under the impression that it can continue this programme for an indefinite period
 But we now call halt" the state ment continues. ''We want to see @ slump in the cost of living. but we in- sst that every class of people share the burden of such stump enially."
 UNDERWOOD IN FAVOR
 While the action of Congress in be- half of the farmers is regarded by many as radical, it has the approval of such a careful, conservative man as Senator Underwood, the democratic leader of the Senate.
 q will do anything he said. ito stab illze conditions as long as such action would not be violative of the funda- mental principles of government. I think the revival of the war finance corpora ton. as desired by the farmers of the country, practical move for better con ditions.
 q would oppose the lending of money to farmers to enable them to hold cot tor for speculation. I would oppose pa ternalism in any form. But the func- tiening of the war finance corporation will serve a good purpose. and can do no