Every evening, Wilmington daily commercial., 1920-12-04
FARMERS RELIEF
PLAN INTERESTS
SENATE LEADERS
South and West TO Demand
Finance Board and Liberal
Credits
MANY MEASURES READY
FOR CONGRESS ACTION

Washington, Dec. A coalition Oh
Southorn and Western Senators TO make
mandatory by legislation the rehaoiii'a-
ton of the War Finance Corporation, no"
practically defunot, became assured yes
tardav when the Senators from the cotooh-
producing States held conference 70 uis-
cuss tho agricultural CRISIS. Var1o"s oeu,.- a.
tors from the Western States were All sauS
committed to the program, but the reso,u-
ton for rosusoiation of the board Is 70 oe
of{crod by Senator Calder, of New forh-
HOUSTON OPPOSES PLAN. -
While the Southern Senators were u IN
~Cpf.ropce Discussing the financiai dlh'-
.ult;r- of the farmer, Secretary Houstol,
v,n. appearing before Joint meeting oi
the Senate and House Coiqrht,ee6 ~
Agriculture in the office OF Senator III III
Keller, OF Tennessee. Mr.. hous.on
the committee that applications tor e,oN
ernus,nt aid had come from expoiunS
.z,rporAtions we'll able 10 optai,, li,n 's ~
hclp from private sources. Shouiu ',io
WA Finance Corporation be revived, ne
said .ome Of these corporations hnSu.
hc tho first TO benefit. lie added tlie
he copsidered it inadvisable Tor the
'rr,ar,rv 70 continue in the banking
bunnce, slong lines parallel with the
banks :, ;.h ,ho
pNyh, of All producers, and nothing
rnorc fnteful could happen than for thiS
nation 10 embark on unsound hscai lpl-
,cy in banking, for we would lano "hota
evils would be greater than those WIN
which ws are now confronted oot
KNOW Of any feasible measures III tilo
way Of producing any marked ohahee -
the situation ..ao.;,,
~ rredit. was mostly talk; that while
thrrc hnd bc.sn restriction OF credits
~ .,ecr,lators. there had been hberai
axt.nsion Of credit to industry and COM
rneroe- Substantially similar testimony
wss lat1r given by Governor W. v;
harding, Of tho Federal Reserve boaIo
praAYrRovns LOWER RATES
Govcrpor Hrrding disapproved of the
s,rvnxtiou that there be lowering OF
dr~eount rates 70 the member banks OF
the reserve system Lower rates ne
aid would simply moan additional de
naods for loans end increased volume
Of business, and he maintained the pres
ant discount schedule was far And work
sbte
Mr. Harding reiterated his suggestion
that the frru,ers sell part of their products
for which there is market, even II AZ
lower prics than they would like TO have
and use the proceeds TO reduce their ~
debtedness. This would ease the whole
situation, he SAID.
The Fsdersl Reserve Board chairman
Md he expec<ed 70 see a stabinfanon 10
b,rapcr Alter thc holidays, with either
an aivnpcs in prices of those articles
vh,ch h.v, fallen suddenly or $ drop IN
the Urio.,s of ARTICLES which have renamed
nigh 49,.
Despite kbs statements msde st the
COMMITTEES hearing the Senators from the
Southern States are apparently hot on!y
determined 10 Join with the Westerners
IN demanding rehabilitation OF the war
Financa Corporation, but $50 70 haNo
senator Hoke Smith. of Georgia, nitro
It,ce on Monday s resolution provldng
clo.rly for the discounting by the REQ
erAl Reserve system Of the paper OF COT
ton factors. or brokers. There IS pro
vision now ID the law for the reolscoul,'
of such paper, but the Reserve boaru'
Il IL claimed, has misrepreseneed the IN.
tent of Congress snd this Paper is NOT
being handled.
ONLY DROP IN BUCKET
Govrnor Harding WAS asked 10 dis
,,,a. The nrypo>ed Hitchcock bill TO make
available for agricultural loans the sp-
pro1inatc 500, ,OO0, 900 the Federal he-
se-vs system will soon turn into the
Treasury as the surplus earnings OF that
svstern- He said such sum would be
but a drop IN the bucket if scattered
~ loans throughout the entire agricultural
industry BE suggested instead that 1t
te made available for one branch, such
as cattle raising -
Senators and House members VIII
continue their farmer relief conferences
and when Congress convenes Monday
doubtless q dozen or more proposals VIII
drop INTO the bill hoppers OF the two
t,pdies. II there is any piece OF major
legislation, outside Of appropriation bills,
enacted at the snort session OF congress,
in all probability 1t viii be something
70 iberalize rural credits and encourage
exporting Of farm products.
Two measures have been drafted by
Representative Dickinson, Republican.
Of Iowa, who announced today that
tbey would be offered Immediately after
Congress convenes on Monday. One Is
g bill imposing tax of 10 per cent on
he total value OF all contracts for the
sale Of grain when delivery is not made
within 80 days, aHd the other Is reso-
luton authorizing the appointment OF
a special committee 10 investigate grain,
live stock and cotton prices and TO recon-
mend Legislation designed 10 remedy
present conditions.