New-York tribune., 1920-12-25

per Danks and are now doing that ex-
tcrsively.
senator Kenyon at the outset of the
meetlng emphasized the seriousness of
.he agricultural conditions and said
the committees desired a discussion
of the remedies in a broad vav
Discusses Rail Raises Effect
Mr.. Howard took up the effect Of
recent increases of railroad rates. and
sald IT was generally overlooked in
statements regarding prices of farm
products that the increased rates had
suotracted about 10 cents bushel
from grain prices and corresponding
amounts from prices of other products
The farmer is in worse shape than
ne IS credited with being" said he.
The farmer cannot stand another Jolt
or increase in railway rates unless
some way can be found of passing
the increase on to the consumer. The
Iarnler pays 5612 per cent of the
1relght bills in the entire country. and
we nave no way, as has the manufac-
turer or merchant. Of passing the
freight cost on to the consumer,
he said wheat had dropped over a
dollar bushel in addition to the TO-
cent loss to the farmer through higher
rates. -'0-
"As to the German loan, we favor
an extension of foreign credit to any
nation that can buy our goods and pav
tor them he said We believe tha.
the War Finance Corporation. if the
bill is approved by the President,
nllght become the medium through
which our trade would be extended.o
The plan he outlined was to have
the War Finance Corporation get the
consent n -
SION Tor Germany to buy American
agricultural products and give bonds.
which would be first lien on the in
come on property of Germany and
would be turned over to the War
Finance Corporation, which would dis
pose of them to security purchasers.
Mr.. Howard opposed a direct govern
ment loan by this government and he
believed it would have very bad
psychological effect.
He estimated 5O,0OO,0O0 bushels Of
wheat, 20o,O00000 pounds of coarse
wool, much corn, and an immense
amount of cotton could thus be ex-
ported.
German Credit Plan Considered
Senator Mclean and other Senator.
freely interrogated Mr.. Howard about
the German credit plan and the Sem
ators generally took the view thai
nothing could be done until Germany
knew how much she had to pay the
Allies.
"How can Germany give security to
US until she knows what she has to
pay the Allies?" asked Senator Nc
Lean. Hr. Howard agreed there were
difficulties in the way. Senator Ere
linghuysen suggested an exchange Of
commodities with Germany.
The discussion veered to the tariff
and Senator Mclean said:
We've got q hard nut to crack here
and we don't want to pound our own
fingers. GU must realize there is a
tariff bill pending here which is prob
ably going to pass. Look at the stu
alton. We force Argentine and Canad-
ian products to go to Europe. What
viii be the effect Of piling the surplus
into the European market, | don't
know. My impression is it will not
help the exchanges. The chances are
it Will further lower the exchanges"
Conceding the tariff was knotty
problem, Mr.. Howard demanded as a
permanent proposition the same pro
tective rights as industries enjoy.
Senator Hitchcock thought the remedy
for the trouble OF the farmers, who
were forced to sell at the low prices
was more credit.
Senator Frelinghuyscn advocated an
extension OF the warehouse act and the
building OF more warehouses in which
TO store crops, and d system whereby
the farmer could get loans on ware
house receipts. MIR. Howard approved
this as did several of the committee.