Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1921-07-15
Troubles pf the Farmer

a PPEARlNG before a Joint congress
a sonal commission investigating the
Agricultural depression as Congress is
pleased to term it. or to put it more blunt
~. the desperate financial plight Of the
farmers witnesses ascribcd three general
causes: restriction OF credit decreased de-
mand from abroad and faulty methods OF
distribution. Each Of the three perhaps is
vital TO the farming industry, and COM
bined they have reduced il to its present
depl0rabo condition. but restricted credits
stressed by c. s. Barrett, chairman OF tho
national board OF farm organization are gen
orally conceded to he tho sore spot in our
financial system, from which the farmer has
suffered and is suffering the gravest injus-
tcc 1t Is that, above all other causes that
has brought him face TO face with ruin
remove that bar to his progress by over
hauling our financial system az il relates
to him, put the farmer on par at the banks
with the merchant and the manufacturer,
ana, with his energy and rcsourccfuness,
he Will snrmount the other obstacles in his
path to economic independence. And as the
farmer prospcrs, the nation will prosper
as he is exploited by those who control the
ma tons funds. so will the nation have to
pay for tho discrimination.
There is no getting away from the fact
that the farmer always has been discrimi-
mated against, perhaps not Intentionally, but
because the banks prefer TO lend their
money where there is quicker turnover
ana consequent richer profits than the
farmer can offer. Several attempts at Il re
form Of the financial system with IA view
to the hcttermcnt of the farmers condition
have been made. but without that degree OF
success that equal justice To him demands.
II is true that The farm loan act after run
ming the gamut of Congress and the courts
In, n f...I ,;,,,
ravcnous money lender, but under its pro-
visions he cannot provide himself with
working capital. II is also true that he is
able TO borrow money from the banks. if
the banks will lend it to him and he can
meet the high discount rate with his farm
and cattle for security. this hcinl; a pro-
vision of the Federal reserve act hut moth
ing even resembling satisfactory. pcrma-
nent system OF financing the farmer has
thus far been achieved.
The one great objection, it seems TO the
present system, aside from the oXorhitant
interest charges he has been compelled to
pay even when money was available al any
price lies in the fact that he is denied
long-tcrm credits. The farmer cannot hasten
the processes of nature in bringing his crops
and his stock to maturity, and manifcstly
the six months credit limitation imposed
by the banks is too short a time for him
10 max" his turnover. Until farm credits
are made easier and more flexible, and the
government has much consideration in
providing credits for the farmer as ii does
for the railroads or other basic industries,
there can be no apprcciablc relief
There is reason TO believe that Congress
understands the difficulty that agriculture
now IS onvountcris because OF The credit
situation, and with the strength the farm
/ crs have been able 10 muster in Washington
| there is hope that the necessary relief will
. b. granted