Omaha daily bee., 1922-01-11
Finance Is
Chief Farm
Meet Topic
Convention Hfc Gives First
Day TO Rur, Credit Dis.
cussion-W INT Finance
Board Msdf Permanent.

cussion-W Int Finance
Board Mad Permanent.
N Nearly( E 700 Attend
Good nature common sense and
determination lark the Farmers I'm
ion convcntion which opened in the
Auditorium yt stcrday and which
VIII close today. Scarcely one of the
nearly /OO Delegates but will at some
timc IN hiA conversation mention
the iact thaI u he is hard up. and not
ono but vii smile and add that times
are bounINo be better another year.
Inc inner seems like man who
has lo2 his purse with 500 bill
and undecided whether il was
partl or wholly his fault or wheih-
cr pocket was picked. And he
bund to see. that NO such loss
1.xsturs again.
Blame Reserve Banks.
Cheaper cost Of production gets
honorable mention and much more
is said OF marketing, but the biggest
specific question to come before the
convention is that of agricultural
credit. The intensity with which the
farmers blame the federal reserve
bank for the ieflation Of farm prices
IS cqualcd only by their eagerness
to secure some permanent method
OF financing loans running from six
months to three years.
A. {. Davis, national secretary
treasurer of the Farmers union, first
brought up the subject The joint
congressional committee on agricul-
turc has recommended such medium
length loans be made by An cxten-
sion s.f the functions o. the federal
land hanks. There are many farm
~" y, would rather have
the War Finance corporation per-
~. cany. established for this pur-
pose Net only Mr.. Davis, but sew
csa' other speakers, praised the ma
tional administration for its efforts
10 bring relief to the farmer.
Visits Eugene Meyer.
c. ]. Osborn, president of the
otate Farmers union, told OF his VS.
= g Eugene meyer. managing a.
ae..or q tne WAT finance corpor-
tion through = state wide farmers
loan company or a cooperative
bark. He declared that some farm.
ers told him Of paying IS per cent
rt;ercst and others were being fore
closed through inability to get ex-
tensions. In one county there have
heen $4,000 worth Of foreclosures,
he said. s'
With the remark, that the source Of
erttlit should ~ IN the hands Of aGyi-
culture, he Safxn4ucfd JadDk HI
Bfosdy Of Lincoln, who has drawn
UP legal papers for starting either a
Farmers utiion eo-uperative bank or
sstatewidc loan company with capi-
tal stock OF $5Uo,oOO Or mote, not alt
OF which would nave to hc paid In
at once. Both these would rest on
the patronage basis, which is a part
q cooperation, the stockSot the loan
company beng limited to per cent
proht and the rest ct the profits being
divided proportionately among the
patrons. Judge Broadly prefers the
loan company rather than the bank,
and in this was supported by the ad-
vice of ]. E. Hart, head of the state
department OF banking and finance,
who next spoke.
"Ideas Need Deflation.'
o,xrh.. \. ,..d.an ..;I n. u.-.
.;. " w. arI,, - Sa.no;,, t hm. r,.a.a, w. - =. !
construction. 4 rood manv ;dess
need defiation. Nebraska has only
one real resource. agriculture, and
when that fails, all else goes. Ny
prediction is that we have now
reached the bottom. Reports from
banks about the state show increas-
ing reserves, a few more loans being
1aade, and the farmers liquidating
more. / believe an agricultural loan
company could be made permanent
aid in marketing. produce
Mr.. Hart outlined the form Of
organization known as an installncnt
investment company and declared
that the plan proposed could be in
money directly from the War Finance
80