The Birmingham age-herald., 1923-06-24
FARMERS GET AID NV CREDIT ACT, PRESIDENT CLAIMS
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 taken by supplies and demand; and 1t Is as futile as it is obvious to us now to say that wisdom would have policy in removing the wartime re- strictions and guidance in dealing with some aspects of production and distribution.
 When the present administration came into responsibility. agriculture was in the lowest ebb of depression The immediate need was for meas- ure to meet an emergency. There was urgent call to keep open and so far as possible enlarge our foreign markets, and this was accomplished by prompt policy of placing nec- essary credits at the disposal of those engaged In finding foreign resting and revising the drastic deflation which had the seeming. under the former administration, of being aimed especially at the de- struction of agriculture's prosperity; by recalling the war finance corpo- ration from its state of suspended animation. giving it credit of $1,000,0o0,o00 in government funds and recommissioning 1t to afford re- lief to the American farmer The wisdom of this action was demon strated by results.
 Tariff Saved Home Market.
 Four hundred million dollars have been loaned by this institution. three-fourths of 1t to the farming and live stock interests. At the same time the emergency tariff measure was passed, by which to secure the farmers home market against the flood of competing articles from dis tant corners of the earth The new tariff schedules saved for the Amer ican farmer yitally important and gravely menaced home market The resumption of the War finance oper- ations, backed by the resources of the only government on earth that was able to summon such credit, enabled the American farmer to compete for sales abroad"
 The President, enumerated other measures taken by the government to aid the farmer, including re-establish- ment of an active basis of the federal loan board. reduction of freight rates on farm products and legislation to facilitate cooperative marketing of farm products; to prevent harmful gambling in agricultural futures: to regulate and control the packing in- dustry; to remove. restrictions upon the operation of the joint stock-land banks; to authorize formation of ir- rigation districts whereby the water
 
 in associations to conduct their reia- tions with the federal government and to extend the time on payments due from Irrigation farmers to the government.
 If the. recital of this long list of accomplishments in the farmers be- half shall have seemed to suggest that Washington has been devoting itself with a special and perhaps a partial assiduity to the agricultural interests" MT. Harding asserted, T shall reply that the farmer has re- ceived nothing more than was coming to him; nothing more than he needed :; nothing moro than was good for him and nothing that was not also good for all of our national interests, bound up as they are In the nation-reachlng mutuality of dependence and inter dependence. I tell you frankly that I am proud to be able to come to you today and tell you of what has been done. because in doing 1t we have served not only the farmer but every body else in this land.
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 Praises Agricultural Credit Act.
 "Rut that Is not all. I have re- served till the last what we may well appraise the crowning achievement Of the entire list. l refer to the code of agricultural credit legislation, known as the agricultural credit act of 1923, which became law In the closing days of the last Congress. It has not been possible yet to perfect machinery for administering this act but do not hesitate to express con fidence that this scheme of anricul- tural credits taken in connection with the other enactments have described furnishes the basis for the most en- frightened, modern. sound and efficient scheme of agricultural finance Chat has been set up in any country, and will enable the farmer in no distant future to free himself from obstacles which have made it difficult hereto fore to conduct farm operations upon A sound business like basis"
 The President explained the pro- visions of the credit act in detail and added
 Many people have been inclined to be skeptical of benefits which lation to give the farmer & better system of credit They have said that the farmer needs better prices for his crops and live stock, rather than easier ways to borrow money. That is true, but these friends do not seem to understand that prices of crops and live stock are directly influenced by credit facilities.
 Tn the past. farmers have been obliged to finance their productive enterprises by borrowing money for short terms. When times are good they have no difficulty in renewing these loans. but in periods of financial stress too many farmers have found themselves under the necessity of pushing their crops or their live stock on the market, not infrequently be- fore the latter is fully fitted for mar ket. in order to pay notes which they had expected to be able to renew, thus at times flooding the market and seriously depressing prices. Under a system of intern ediate credit, ad- ministed with reference to the farm CTS seasonal requirements. they should be able to market both their crops and live stock in d more orderly fashion, and this in itself will be n potent influence in keeping prices more stable and reasonable.
 'I thoroughly agree that what Is needed Is fair prices; and I very well know that the farmer wants to get out of debt rather than to get further into debt. But it Is my opinion that both these ends win be much more quickly accomplished through this new system of agricultural credits"