Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1920-03-25
CONDITIONS STIMULATING IN.
FLATIoN BY LARGE PROF.
ITS, SAYS BANK.
LUXURY DEMANDS
REMAIN UNCHECKED
Report Deals Extensively With Farm
Land Situation-Maroh I Settle.
ments Largest In History OF Ma
tIon-cash Renting Of Farms Ap-
pears to Have Gone Out Of Fashion.
Special TO Times Republican.

Special TO Times Republican.
Des Moines. March 25.-In re-
view of business conditions In the
middle west made public today the
federal reserve bank of Chicago de-
clares that "extravagance is unabat-
ed in the middle west. despite the
m easures taken to discourage the I'M
wise use OF money and credit at this
time.
"This extrava gance Is stimulating
! in flation by swelling profits to such
an extent that many manufacturers,
particularly those engaged in the
supply Of luxuries. are undisturoed
| by the advance in discount rates.
whereas the higher money rates are
bearing down rather heavily on those
operating on a narrower margin,
many of whom are engaged in the
manufacture Of essential products"
The report deals considerably with
the farm land situation and the
March ! settlements, which were
the largest in the business history
of the middle west.
County after county to which our
QUESTIONABLE was sent reported ag-
eregates of more than $4,000, 900. and
in some instances s14 900. 900. or more
:. loans and sales during the first
few days of March" says the report.
These figures do not always in
clude the actual value of land trans
ferred for dollar consideration" The
bank estimates that the total may
exceed the billion dollar mark.
The shortage in raw materials in
nearly all lines is not only domin-
ant feature in industry but is be-
coming more serious from month to
month the report points out. Ex-
travagance is aggravating this scar
city, it Is declared.
Increase in Land Values.
Replies to QUESTIONABLE regard
ing farm status showed the average
increase in farm wages from 1914
to be 70 per cent, the lowest report
ed being 20 per cent and the highest
100 per cnt. TIL deficiency of farm
labor showed by the average is 80
per cent Of the total required TO
man the farms. In one region there
is a deficiency of 50 per c"nt COM
pared with normal but the prevailing
average ranged between rs to 40
per cent
The report discusses land preduc-'
tivity and land prices, declaring. THE
gross productivity per acreain the
district appears to average ~S95
against s22, in 1914. but the valua-
ton of lands covered by this inquiry
have risen on the average from
s17b. in 1914 to $40, in 1920. This
increase represents actual bona flde
prices for prime farm lands. Many
transfers are reported above $500.
an acre and one is reported at $500.
an acre"
"Cash renting of farm lands ap-
pears to be out Of fashion the re-
port declares, the rental demanded
being so high in comparison with the
rentals Of 1914 that It is regarded as
cheaper to buy than to rent and
those who do rent prefer to do so on
the share basis. Rentals as high as
$40. per acre per annum are reported
in this district but the average of
replies Is 81. whereas the average
Of 1914 was IS. per acre per year.
The report poins out that vary
disturbing feature in TIE farm sit
uation Is the high price of feed. For