New Ulm review., 1922-10-04
SHIPSTED TELLS
HOW IT HAPPENED
Continued from page /.

chance to make up the losses they had
suffered in Europe and the Federal
Reserve Board was given its orders to
put a stop to the lending Of money
Ito farmers.
i3aai5u Paying The Piper.
lin1When the farmer could no longer
borrow, he was also told that he must
pay up the debts he had contracted
in the easy times. This meant that
! the farmer must sell whatever he had
that was salable, at any price that he
could get for it. He threw his pro-
ducts ons.the market and was then told
that there was no foreign market and
that the supply exceeded the demand
and that therefore the prices would
have to go down. He often did not
get enuf to pay him back the cost Of
production but he was not allowed to
hold it for a better market because his
creditors we're telling him he must
pay up. So the farmer could not pay
all he owed and of course there was
nothing left in his pocketbook to buy
other things with.
4 Others Pinched.
The small town merchant began to
feel the difference in his markets as
the farmer had and the small town
banker likewise felt the construction
in business. Finally it came to the
point where nearly every one had to
sell whatever he had that was market
able in order to keep from going un-
der. This caused everyone who had
stocks OF one kind and another, parti-
| cularly war bonds, to throw them on
the market and tie Wall Street spiders
sat in their offices and watchedA the
decentralization OF the market in U. S..
securities and when the time was right
for their purpose they bought up the
securities at the sacrifice prices that
their unfortunate owners had to take
for them.
~ Getting Wise.
Thus the process of imitation fol-
lowed by the corresponding defation
was .vividly. described by DR.. Ship
stead who said that the business men
of the smaller communities are gradu-
ally coming to a realization Of what
has been done to them. He said that
the people must wake up and look
alive, must understand that it is the
improper use Of the Federal Reserve
Board powers that has brought about
the hard times on every hand, and
having Wakened to the conditions must
take steps to prevent further misuse
of those powers. ans
Foreign demand, said. the speaker,
was greater during the fall1and winter
of 1920-21 than it had ever been before
The price paid by the foreign consul
mer was 80 cents more per bushel
for wheat than had been paid the
previous. year. The price received by
the United States farmer was 10 cents
less than he had been paid the previ-
Gus season, spread of 81 per busEel.
tt e dollar difference, represented the
amount that was gouged out of the
farmer to bring about the def1ation
that would enable the money kings
of Wall Street to make good their
European losses.
One more subject was discussed by
nr Sbinctood Tho .,oat+or of tho mr.
chase OF Truman Newberry's seat in
the United States Senate. He told
Of the amounts Of money spent by
Newberry when he was candidate,
for the one and only purpose OF in
fuencing the vote of the people Of
Michigan. He described the process
Of gifts to influential people in order
to gain their support, to get their
influence with their neighbors. He re-
peated briefly the story of the trial
for bribery and told Of the vote in the
Senate which gave Newberry this seat
in the highest governing body in the
land. He did not once mention the
name Of his own opponent in this
falls elections but every one knows
full well that Senator. Frank. Kellogg
was one of those who voted
for Newberry to retain his ill-gotten
honors and position and Dr.. Shipstead
told his audience that if the people
Of Minnesota wish to confirm the pur-
chase of the Newberry seat, If they
wish to go on record as being ready
to sell out the government to the
highest bidder, vote for Kellogg will
be the quickest way to express their
willingness to do so. The Doctor
spoke confidently Of his belief in the
American people, and he looks to see
a larger progressive vote this fall than
ever, indicating that the people OF Min
nesota and elsewhere are waking up to
the things that are being done in
America
Following Dr.. Shipstead, Represen-
tative Louis Spelbrink read q sketch
of the life of Magnus Johnson, can
1 didate for governor on the Farmer
Labor ticket. He was followed by d