The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1920-12-08
FARM CROPS
POOL URGED
FOR RELIEF
Lever, Joint-Author Agricul-
tural Extension Act, Recon-
mends Nation Wide System
to Steady Values.
BANKS ARE Defended
ev WILLIAM r. sANRoRN.


INDIANAPOLIS, Ind, Dec. Sag
riculture is the greatest of all profess
sions, involving the labor of 40 per
cent Of our people, and has $25,000,-
100000 of capital invested" said A.
F. Lever, at the Farm bureau con-
vention on Tuesday evening. Mr..
Lever is joint author of the Smith
Lever agricultural extension act.
The speaker recommended that
nationwide system of pooling farm
products in bonded warehouses, under
national or state control. be devised,
to prevent the flooding of our mar
says that it takes II months to pre-
pare the land, SOW the seed and to
cultivate, harvest and market our var
ious crops.
A system which would lead to the
marketing of our crops over the en-
tire crop year, instead of forcing rs
per cent of the output on the market
/ in four months, would steady values.
| and act to prevent the annual drop in
prices, every year. None of this can
be accomplished under our present
| credit machinery, said the speaker.
Outline of Lever Plan.
! The Lever plan as outlined, would
embody the following features:
| 1. The standardization of staple ag
ricultural produces of a warehousable
character, into grades or classes.
| 2. The building of a system Of
bonded warehouses and elevators for
| faI ctotn
both, regulation and inspection.
3. The issuance of uniform ware
house or elevator receipts for given
product.
4. The pooling. regionally, of these
! warehouse receipts in the hands of
a government appointee.
5. The issuance against the pooled
receipts of certificate or bond, and
! the selling of the same to the invest
ing public at such rates of interest
as such collateral will command.
New Banking Laws Needed.
| Mr.. Lever insisted that our present
banking laws do not cover the needs
of the crop growers. The federal re-
serve act has accomplished much.
But neither the federal reserve act,
nor the farm loan act, furnishes the
kind of credit necessary, if a real
| system of orderly marketing is to be
built up
by the application of principles of
business already operating success
fully, the thing can be worked out,
and this to the benefit of all our
people" said Mr.. Lever.
Reserve Governor Talks
w. G. P. Harding, governor Of the
! Federal reserve board, made a most
vigorous defense of that banking in
stitution. He made plea for the
American farmer to face the indus
trial crisis bravely, with no undue
feeling of anxiety or depression. There
was no ground for despair on the par
of the farmer he said:
Mr.. Harding declared that wrong
idea exists in the minds of many
many that the Federal reserve system
has adopted policy of 1a dical defla-
tion and that the farming interests
have been the chief sufferers from
this policy.
"No such policy has ever been un-
| dertaken," Mr.. Harding asserted. "As
a matter Of fact, there has been dur
| ing the past year an increase in the
net volume of bank credit in currency,
but efforts have been made to correct
abuses and to bring about modera-
tion and better judgment in the use
of credits, which a year ago were be-
ing diverted into all kinds of specu-
lative and reproductive channels" "
Mr. Ha riding declared that efforts
have been made to conserve the re-
sources and credit power of the Fed
eral reserve banks in order that they
may better respond to the seasonal
needs occasioned by the harvesting of
the crops
Remember" he continued, that
things are not as bad as they seem,
and that the morale which is so nee
essary for an army to maintain in
military campaign is just as essential
in fighting industrial and business de-
preston. Let us look on the bright
side, and take care before advoca ting
measures which seem to promise tenn
/ porary relief, to consider their ulti-
mate results.
Organization Work Program
The work of the convention We'd
nesday is being principally devoted to
matters of organization. Great inter
est centers in the annual election, to
be held this evening. 1t is not thought
that j. r. Howard will have any op-
position to reelection as president, no
rival candidates being in sight.
Twelve directors will be elected and
there are numerous candidates in the
field. There are two prominent can
didates for the office of vice-presi-
dent: John G. Brown president of the
Indiana state federation, and Howard
Leonard, of Eureka, Illinois, president
of the Illinois Agricultural associa-
ton.