The Miller press. [volume] (Miller, S.D.) 190?-current, 1922-05-04
DEPRESSION
GREATLY DECREASED
Recommendations Made For Further
Improvement In Agricultural
Financing

Washington, May AT the request
OF President Harding, Eugene Meyer.
Jr., managing director of the War
Finance Corporation, recently made a
trip through the agricultural and live
which carried him to the Pacific coast.
The trip was made in order that he
might make a first hand investigation
of conditions and report to the Presi-
dent. Mr.. Meyer has filed his report
in which conditions In the ag~ricultur-
al and livestock districts are covered
in detail. His conclusions are that
severe and unprecedented depres-
sion which dealt such a blow to the
agricultural interests is in some Sec
lions of the country a thing OF the
past: in cher sections it is rapidly
passing; and everywhere hope and
are taking the place OF des-
pair which six months ago was so
prevalent"
The work of the War Finance Cor
poration in enabling the smaller
try banks to carry their farmer GUS
for a longer period has been
a vital factor in stopping forced liqui-
Funds are accommodating in
the western banking centers which in
general appear to be adequately TAX
ing care of the needs of farmers.
is a noteworthy increase in the
demand for farm mortgages on the
part of private investors, savings
banks, life insurance companies and
sln. ;.yrngAn,1nt t~c&iArktonn
After reviewing conditions in the
sections as thew affect the sew
eral general classif1cations of agricul-
ture and livestock activities, Mr.. Mey-
makes a number of specifications
and recommendations looking TO the
Improvement of the banking situation
agricultural districts and the devel-
opment of a more adequate system of
and livestock financing.
These recommendations may be sum-
riZed as follows:
(D Enactment OF Legislation speci-
fcallv authorizing the organization OF
institutions TO rediseount the paper OF
livestock loan companies. and the es-
"a Adjustment of a system for the more
ADEQUATE supervision and inspection
of the livestock which furnishes Sc
for the paper.
~ Frank recognition of the need
for the orderly marketing of u agri-
cultural products in a more gradual
wav AMI over a longer period and the
adjustment OF existing banking laws
and regulations with this end in view.
t2 Establishment Of a rediscount
to make II possible at all times
cooperative marketing organiza-
to obtain adequate funds for
operations.
az Extension of the powers Of the
Federal Reserve Banks to include the
purchase in the open market of elig-
ible paper secured by nonperishable
commodities, properly
(5) Encouragement Of state non
banks to enter the Federal
system, and reduction OF the
minimum capital required for admis-
sion to the system-admission in such
cases to be conditioned upon an un-
dertaking to increase the capital to
the present minimum of $25 900 within
a definite time.
co. Amendment OF the National!
Banking Act to permit a limited
amount of branch banking within a
of the parent institution.
On Extension until January /, 1923,
the period during which War Fin
ance Corporation may make loans "a
to cooperative marketing organiza-
and livestock loan companies
it appears that they are unable
to obtain adequate financing at res-
sonabIe rates through other channels,
and ~ to banking institutions on
and livestock paper in
exceptional cases and where It appears
that the public interests will be serv-
by such action.