Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1922-01-17

foreign trade. This condition has NJ
less to do with credits to foreigner.
than TO Americans. We must now rea
lie the necessity to sell our agricul'
tural products more gradually than We
did in former years; and, therefore, 8
corresponding necessity to carry Oui
commodities here in America in larger
quantities for longer period Of mar.
keting. .
This Is strikingly illustrated in the
export of our cotton. In the cotton
year 1901 81 per cent Of the exports
for the entire year were concentrated
in the six months from September to
February inclusive. In 1919-20 only 81
per cent. Of our exports for the entire
cotton year were forwarded during the
same six months. This means that we
must carry forward into the second
six months of the crop year the cotton
that formerly was exported in the first
six months"
Mr.. Meyers simply uses the cotton as
an Illustration, applying the principle
of marketing finance equally to other
non -perishable products.
Study the Proposals, Says Mr.. Quick.
Then Herbert Quick, one of the most
generally accredited authorities on
agricultural subjects in the country,
thus states the issue:
I'VE have o splendid system of co.
operative land credits in the Federal
Farm Loan System, which is we'll
founded in the best accepted financial
principles. 1t Is sound and strong and
getting stronger all the time. But the
farming interests need q better per-
sonal credit system! The Federal Re-
serve System Is q good thing for the
country, but it Is built up on the needs
Of the city man. The farmer needs
longer time personal ,credits. They
need to be longer, because the farmers
operations are slower. The short time
credits which are perfectly adequate to
the merchant will not do for the man
who is building up dairy herd, for in
stance, or draining farm. There are
thousands Of operations which are
necessary for successful farming which
run over several years Of time.
"The present system cannot provide
for them. Nowhere have the financial
affairs OF farmers been better taken
care of by city banks than in this coun-
| try; but the two things call for differ
ent systems of banking. The present
system is not and cannot be made a
success.
I'm this connection we should study
the McFadden- Kenyon proposals for
credit and multiple insurance. 1t pro-
vides standardizing and organizing the
whole matter ofrpral personal credits,
and, through the use of some one Of
the great insurance companies, at a
small cost the debtor, getting the en-
dorsement Of his paper by a financial
organization known to the financial
world. This insurance company would
thus become q great acceptance house
for rural borrowers. The significance
Of this to CO operative credit societies
would seem to lie in the fact that they
could get the acceptance at lower in
surance rate than individuals.
II am not finally committing myself
to the McFadden- Kenyon measure, but
believe we should study that and all
other proposals, with the utmost care,
and from them all evolve the system Of
rural credits, to supplement the other
credit facilities already provided for
the city man for the agricultural COM
munities by the longtime land mort
cages, amortizable, so that, the several
taken as 4 whole, will give the United
States q complete system of credit ia
cilities for city and country which
would be (and we may easily make 1t
so) the best in the world.
Il have long said that. unless the
states themselves create some good
system Of rural credits for their farm
ers, the National government will have
to do so. should prefer to have the
matter handled by agencies closer to
the farmer than the National govern
ment, but few of the states have moved
in the matter.
1.-The principle of cooperative credit
Is sound. But the American farmer,
while he has made successful use of 1t
in some cases, has not shown himself
capable of creating these agencies for
himself"
This is in no sense a reflection on
the acuteness of the American farmer
or planter or stock raiser, for in none
Of the European countries in which
admittedly sound systems Of rural
credits are in operation, did the farm
ers themselves evolve or organize the
system. In fact, they originated in
| 1867. when Frederick the Great Great
ed, the rural credit system Of Silesia,
which spread over Germany and be-
came the basis Of most Of the European
rural credit systems now in vogue in
Germany. Austria, Belgium, France,
Italy and others.
IN each instance it has been mo-
bilization of the little personal respon-
sibilitics and property holdings Of the