Every evening, Wilmington daily commercial. (Wilmington, Del.) 1878-1928, 1922-03-04
Depression Hits Western Farmers Hard
BY Roger W. Babson
can Rights Strictly Rosewood

Continuing his personal survey az |
business conditions throughout the
country, Roger w Babson, economist.
furnishes the following exclusive
statement to the Wilmington Every
! Evening on conditions In the farming
sections of the Middle West
There IN no use Disgusting the fact |
that conditions are pretty bnd out |
here The expected fan rise IN busl- |
ness was apparent IN all sections of |
the country except In these western |
States bordered by the Mississippi OF |
the east and the Rocky Mountains on !
the west Throughout 1920 the farm
rrs tended To hold their crops pending
higher prices. but, as statistics clear
lis indicated would Ice the case prices
declined throughout the year. Hence
farmers reached the end of the year
with pressing obligations and no
FUNDS. All Glasses OF. farmers were
Init. but I find those depending nrl-
MARTY upon corn are the worse Off
OF all the states In this Nit, find
Iowa most depressed and Minnesota
the best OF.
, Those engaged In stock raising, or
more properly speaking In the feeding
! of stock-have the greatest monetary
loss. Many farmer I have met who
= a year ago purchased stock. has been
feeding II IL months and cannot to-
? day get for his fat cattle what he
- raid A year ago. Others have cattle
which they purchased Is months OF
I two years ago and these Of course are
e In much worse fix. The same APP
? plies to sheep and hogs Hence the
p banks in the waffle and sheep soc
TONS are in "A weak condition, AL
though | believe 20 per cent of them
% viii come through all right.
\ II find great interest in this see
q tion for heavy protective tariffs, es-
I h,ecially on wool hides aud other pro-
[ ducts entering into industry, The
I farmers are panic stricken. ~sra spinR
5 at straws here and there for tempo
n rary help. They are the real Bolshe-
visits today and are actually favoring
c some OF the uncconomic doctrines that
X Russia has already tried and found
& to he useless. Only greater efficiency
and wider markets will help the farm
)" er In the long run. Higher tariffs
g, tend only TO reduce efficiency and mar
ic row our markets Besides. the farm.
v er will never get tariff on his raw
e materials without giving the manu-.
5 .aCturers n tariff on anufacturet
a products and the double tariff Will Sc
:. Increase the cost OF living that no on,
r viii be better of,
Generally speaking the whea
lie growers of the northwest are not com
rs rlaining like the corn and cottoi
nd In a.
e. the most optimistic city of the West
nc ern States The banks of ,Minneapoli
RS and st. Paul seemed To be in goo'
lie condition and the stores of thes,
ms cities are doing a fair business. Per
et haps II may be said that Minnesot
e. has turned the corner: but this is no
ne true of any other State in this belt
VI 1922 is destined to be bad year 70
this section.
'e This means that the Wester
ne States will buy very little dun ing 1872:
u even although they bought almos
no nothing during 1921 The ptnchasin
no power OF the f1r1ptr has been cu
ef from so per cent to 20 per cent. Mere
" over his hope rests not I'm highc
prices. but in reducing his operat.n
'oi cXpenses. Manufacturers and m"I
M chants desiring to dispose of goods /
III these States iuring 1922, nust featui
III smashing price reductions FarT
crs viii not be attracted BY the qualit
Ell of the goods. Price will be the onl
NJ consideration. Labor saving device
'e- md other ntcessit! 8 may be sold b.
j" very few pianos. monographs or lul
m tries OF any kind viii he stIppcd I'M
:" these States during the current yea
ne statistics have strongly Indicate
'"' that even during average years veI
few farmers have made money opera
.ag their farms. ] i1ean that II farm
ers were obliged To keep books q
IL eaIne rs manufacturers and chars
up wages for themselves and famili
he and interest on their investment mo
m farms would show a loss On averai
ne years. The farmer hns really mae
uo his money thro -, the natural II
90 crease in the value of his land. II
a. farmer is technically a great spec
- lator. lie specuates not only in Il
- products, but In his real estate hoi
ings. There are far more speculate
VI I'm Nebra ska than in New York.
no Farmers complain about the waite
cd stock of the industrial corporate
lge Of the East but there is far mo
var water In their farms than In the ave
on age industrial corporation of NJ
her ! England. New York or Pcnnsylyan
the However, there won't be much spec
ton lating i'm farm lands during 1922. /
the tendency viii be constantly dow
s. ward. Farm land prices are bou
ted to go through period of readiu.
ales ment and the lands of these Westc
States will suffer the most T
creates. decline will come in far
which are rented. The real farm
who both owns and operates Il
ST. nothing To fear from a temporary {
Nd. cline IN values. Like the season
rch, manufacturers who have weather
J.. many depressions, by not pXpandi
,as- during the preceding periods Of pr,
ling perity, the honest dirt farmer h
rich nothing 10 fear.
What Is the hope for this section
The question which everybody as
The answer Is that old and Sfamil
one diversified farming" Once in
'ont while ] find prosperous farmer ey
or curing this trip. Upon inquiry
and learn that he almost always is a st
ceiy oral al. around farmer and does
Dom rely upon any one or two crops G
lone farmer in particular who seemed hi
py had raised a large amount of