Cleveland County herald., 1920-11-18
MOST SERIOUS SITUATION IN
 YEARS" SAYS DEAN KNAPP.

Fayetteville, Ark, Nov. 15.-Dean Bradford Knapp, at a recent meet ing of the Chamber of Commerce. Fayetteville, discussed the agricul- tural situation in it's relation to the business man and the farmer.
 "We are facing the most serious situation in years" he said, land it is to the interest of the business men that they fully understand. The greatest asset of any country is the buying power of the farmers. If that buying power or debt paying power is suddenly cut in two the consequences to the business world will be serious.
 If iquidation of al indebtedness were forced at this time,, the farmer would have great difficulty in pay ing his debts and mercrants and bankers would suffer accordingly because of their inability to collees When such time comes, we should not withdraw all further credit, but should rather extend it as far as we possibly can.
 1t is important that we realizs that we, here in Washington county are affected by what is going on in Berlin or in middle Europe. Theil in ability to purchase products from this and other countries is a part of the cause of low prices. If German and other countries could get credit and purchase our exportable sur plus of wheat and cotton, better prices would prevail.
 'tThis whole situation is in the balance. The world stands anf awaits, the slow recovery and al justment of international trade, 9redit and exchange. At such ime it is important for business men to understand what is going on and to help farmers to carry the products on through to better times Whenever a manufacturing industry finds that 1t must sell its product. fer less than cost of production o. at unsatisfactory price, it holds bacl 9n sales and immediately curtails it production. That is exactly the stu ation of the farmer and I believ he ought to pursue the same remedy followed by the manufacturer
 We little understand just now the great extent of this movement and the effect of lower prices. Take the cotton faroer; last April middling cotton sold for 43 cents per pound in Little Rock; today it is selling for 20 cents and 21 cents. Cotton seed sold last spring and summer for $70 and over per ton. Today 1t is selling in this state for $50 per ton and much of it as low as $25 per ton. Corn which sold above $2 is now below $1. Cattle of the low CT market grades are bringing Pc. a pound locally while the higher grades or prime steers are bringing 16c on the Kansas City market.
 "In the cotton territory it is as though the farmers had been forced to pay one billion dollars of the na- tional debt in ninety days. No other body of our citizens has been forced to sdch sacrifice if the crop be forced to sale at this time.
 "The burden of my plea to you is that you study this situation; that you understand it and it's difficult ties and that you hold yourselves ready to cooperate with the farmers to prevent needless sacrifice of their products. If their power to buy is gut in two by failure of credit at this time and sale of their crops and live stock is forced, you will have to suffer with them. The busi- 1ess barometer of the town is the buying power of the farmer"