The labor journal. [volume] (Everett, Wash.) 1909-1976, 1920-11-05
ARE SQUEEZING
THE FARMERS

dressed an inquiry to the 1878 ma
tional Farm Loan Associations scat
tered throughout the country, in
which they asked the following
questions: (D Is money obtainable
for short-timc credit? (2) What is
the prevailing rate? (3) How does
this rate compare with last year?
Replies were received by the Farm
Loan Bureau from every state in the
Union except Rhode Island. In not
one of the Farm Loan Districts, nor
of the AZ states from which reports
were received, do over half of the
Associations operating, report that
short time credit is available, except
in Iowa, Kansas and Wisconsin. OF
the 2,501 replies received by the
Farm Loan Bureau between the 5th
of August and up to October 1st,
only 1,418, approximately one-third
of the operating Farm Loan Associa-
tions, report that short-time credit
is available, while 292 report no
short-time credit 314 report fair
supply and ATT report scarcity.
Interest rates, even in the communi-
ties where the Associations reported
short-time credit obtainable, were
usually from 8 to 10 per cent, eX-
cept in few western and one or
two southern states; in a few cases
10 to u per cent, with occasionally
20 to "a per cent In addition to
this fact some of the Associations
reported the payment of commits
sions and bonuses, and that loans
were often discounted, thereby in
creasing the real interest rate re-
ported. A very large proportion of
the Associations reported that inter-
est rates have gone up one to two,
and in some instances three to four,
above the interest rates last year.
Interest rates in western states
usually ranged two to four per cent
higher than in most eastern states.
Credit Conditions in Land Bank
Districts
A detailed analysis of the results
Of this investigation is most signifi-
cant.
In the First Land Bank District,
comprising the states of Maine, New
Hampshire, Vermont, Massachusetts,
Rhode Island, Connecticut, New
York and New Jersey, out of 1872
operating Associations, only 81 re-
ported short-time credit available, 6
no credit, % fair supply, and 8
scarcity.
In the Second District, comprising
Virginia, Maryland, Delaware, Penn
sylvania, and West Virginia, out of
10 operating Associations, 50 re-
ported short time credit available, 16
no credit, II a fair supply, and 25
a scarcity
In the Third District, comprising
North and South Carolina, Georgia,
and Florida, out of 372 operating
Associations, 128 reported short
time credit available, Is no credit,
20 a fair supply, and 80 scarcity.
In the Fourth District, compris-
ing Ohio, Indiana, Tennessee, and
Kentucky, out of 321 operating AS
sociations, III reported short-time
credit available, 32 no credit, 38
fair supply, and 33 scarcity.
In the Fifth District, comprising
Louisiana, Mississippi, and Alabama,
out of 322 operating Associations,
80 reported short-time credit avail
able, % no credit, 20 a fair supply,
and 35 scarcity.
In the Sixth District, comprising
Illinois, Missouri and Arkansas, out
of 393 operating Associations, 1877
reported short-time credit available,
% no credit, AZ fair supply, and
II q scarcity.
In the Seventh District, compris-
ing North Dakota, Minnesota, Wis
consin, and Michigan, out of 526
operating Associations, 212 reported
short-time credit available, so no
credit, 33 a fair supply, and 70 a
scarcity.
In the Eighth District, comprising
Wyoming, South Dakota, Nebraska,
and Iowa, out of 376 operating AS
sociations, 151 reported short time
credit available, 33 no credit, q a
fair supply, and 60 scarcity.
In the Ninth District, comprising
Colorado, Kansas, Oklahoma, and
New Mexico, out of All operating
Associations, 1T reported short
time credit available, Is no credit,
18 a fair supply, and "a a scarcity.
In the Tenth District, consisting
Of one state, Texas, out of 324 op-
Grating Associations, 134 reported
short-time credit available, 13 no
credit, 80 fair supply, and Al a
scarcitf.
In the Eleventh District, compris-
inv California, Utah, Nevada and
Arizona, out of 176 operating AS
sociations, So reported short-time
credit available, 13 no credit, 27
fair supply, and IA a scarcity.
In the Twelfth District, compris-
ing Idaho, Montana, Oregon, and
Washington, out of 455 operating
Associations, 157 reported short-time
credit available, 81 no credit, 81
fair supply, and 81 a scarcity.
Credit Conditions in Some States
In North Dakota, out of IT'S char
tered Associations, only 81 reported
short-time credit available; in South
Dakota, out of 50 Associations, only
26; in Texas, out of 342 Associa-
tions, 1872; in Michigan, out of 121
Associations, 43; in Iowa, out of
141 Associations, SO. In Kansas,
out of 1872 Associations, 67 reported
short-time credit available; in Wis
consin, 49 out of So; in Montana,
20 out of 1873; in North Carolina,
A out of 1870; in South Carolina 80
out of 101; in Washington, 60 out
of 1856; in Oregon 40 out of 81: in
Idaho, 10 out of rs; in Maine, out
of II; and in New York, 13 out of
AS.