, 1922-02-01
Aspects Of
Farmers Problems
By BERNARD M. BARUcH

IL W.
Now that the farmers are stirring,
thinking, and uniting as never before
to eradicate these inequalities, they
are subjected to stern economic lee
lures, and are met with the accusation
that they are demanding. and are the
recipients of, special privileges. Let
us see what privileges the government
has conferred on the farmers. Much
has been made Of Section 6 of the
Clayton Antitrust Act, which pur-
ported to permit them to combine with
Immunity, under certain conditions.
Admitting that, ~nominally, this ex-
emption was in the nature of a special
pr,vilege,-though ! think i was SO In
appearance rather than in fact,-we
and that the courts have nulliied 1t
| by judicial Interpretation. Why should
not the farmers be permitted to ac-
compllsh by cooperative methods what
| other businesses are already doing by
cooperation In the form OF lncorpora-
ton? II 1t be proper for men to form,
by fusion Of existing corporations or
otherwise, a corporation that controls
the entire production Of a commodity,
or a large part of 1t, why Is 1t not
| proper LOT II group VI W ifA
for fine marketing of their common
products, either. in one or In several
selling agencies? Why should it be
right for a hundred thousand corporate
shareholders to direct % or 30 or 40
per cent of an industry, and wrong for
a hundred thousand cooperative
farmers to control a 10 larger proper
ton of the wheat crop. or cotton, or
any other product?
The Department of Agriculture Is
often spoken Of as a special concession
to the farmers. but In Its commercial
results, 1t Is of as much benefit TO the
buyers and consumers Of agricultural
products as to the producers. or even
more. l do not suppose that anyone
opposes the benefits that the farmers
derive from the educational and re-
search work Of the Department., or the
help that It gives them In working out
Improved cultural methods and prac-
tees. In developing better yielding va
rietIes through breeding n selection.
In introducing new varieties from re-
mote parts of the world and adapting
them to our climate and economic con-
dItion, and In devising practical meas
ures for the elimination or control OF
dangerous and destructive animal and
plant diseases. insect pests. and the
like, All these things manifestly Tend
to stimulate and enlarge production.
and their general beneficial effects are
obvious.
It Is complained that, whereas the
law restricts Federal Reserve banks
to three months time for commercial
D the farmer Is allowed six
months on his notes. This Is not a
special privilege. but merely such a
recognition of business conditions as
makes 1t possible for country banks
to do business with country people.
The crop farmer has only one turn
over a year, while The merchant and
manufacturer have many Incidental
Iy. l note that the Federal Reserve
Board has just authorized the Fed
eral Reserve banks to discount export
paper for a period of six months, to
conform to the nature of the bust
ness.
The Farm Loae banks are pointed
TO as en- instance Of special govern
ment favor for farmers. Are they not
rather the outcome of laudable efforts
to equalize rural and urban condi-
tons? And about all the government
does there is to help set up an adj
m~inlstrative organization and end a
little credit at the stert. Eventually
the farmers will provide all the capt.
tai and carry all the liabilities them
selves. 1t Is true that Farm Loan
bonds are tax exempt; but so are
bonds of municipal light and traction
IL 49,. -~xtr hA.,at~. O., %. hn -
empt from taxation, In New York, for
ten years.
On the other hand. the farmer reads
Of plans for municipal housing prof.
ects that run into the billions, of hun
dreds of millions annually spent on
the merchant marine; he reads that
the railways are being favored with
Increased rates and virtual guarantees
of earnings by the government, with
the result to him Of an Increased toll
on all that he sells and all that he
buys. He hears of many manifesto
lions of governmental concern for par
ticular industries and interests. Res
cuing the railways from insolvency is
undoubtedly for the benefit of the
country as e whole, but what, can be
of more general benefit thar encour-
agement of ample production Of the
principal n%ecessaries Of life and their
v flow from contented producers to
satisfied consumers7
While It may be conceded that
special governmental aid may be nee
essary in the general interest, we must
all agree that 1t Is difficult to see why
agriculture and the production and dis
tribution of farm products are NOT ac-
corded the same opportunities that are
--o.Idod kor -nihar ht1ainaeaaa anno-