The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1924-05-23
NJ -HAUGEN
BILL WORRIES
CONGRESS
Demanded by Farmers, But
Will Cost Consumers
Billion Yearly
BY WILLIAM HARD.

'oIdtcS treasury ana all possible
Increases in the cost Of living
charged by Secretary of the Treas
ury Mellon against the bonus bill
and the tax bill faded into insig-
today as debate and dis.
cussiOn In the House Of Represen-
tatives revealed the full possibilities
Of the McNary.Haugen farm relief
This bill is frankly admitted by
Congressman Haugen of Iowa, one
OF its authors, to be- calculated to
Increase the cost of living for the
whole country to the amount of one
billion dollars per year.
The farmers will get one billion
dollars a year more for their pro-
ducts, and the consumers, according
to Mr.. Haugen, will pay 1t!
This will be accomplished, under
the terms Of the McNary- Haugen
bill, by a governmental buying
and selling corporation which viii
buy and sell certain basic agricul-
tural commodities at a ratio price"
higher than the pres
emit market price. This higher
ratio price" will be maintained for
y
ties in the United States.
Spreads Tariff Benefits.
Mr.. Haugen, who sponsors the
bill in the House Of Representa-
tives, and Senator McNary Of
Oregon, who sponsors the bill in the
Senate, today defended the bill on
the basic argument that 1t spreads
the benefit Of the tariff protection
system to include the farmers az
well as the manufacturers Of the
country.
They presented this argument as
follows:
The tariff succeeds in protecting
the manufacturers. It does not
succeed in protecting the farmers.
The tariff successfully raises the
prices of the products sold by the
manufacturers. 1t does not sue.
cessfully raise the prices Of the
products sold by the farmers. The
farmers do not get prices which
are In ratio with the prices got by
the manufacturers, The farmers
ought to get these ratio prices.
They ought to get prices as high
relatively as the prices which the
manufacturers get. Such prices
can be secured for them through
the operations of the governmental
buying and selling corporation
which the McNary -Haugen bill will
create. The McNary-Haugen bill IL
simply a, device by which In this
highly protected country the farm
ers will get prices in ratio with
all other protected prices.
In other words, this bill, accord
ing to its authors, Is a bill for
making protection unanimous.
Accept Democratic Theory.
At the headquarters of the Demo.
cratic National Committee It has
always been claimed, and it was
claimed again today, that the pres
ent tariff law raises the cost Of
living in this country by several
billion dollars year. This has
always been the Democratic argu.
ment.
Mr.. Haugen and Senator McNary
are Republicans but they frankly
accept the doctrine and allegation
that the tariff raises the prices Of
products. They de-
mand that a similar and cores.
ponding raising Of prices shall be
In justice accomplished for the
farmers Of the country.
''This BILL" said Senator McNary
today, ''is the test of the tariff
system The farmers cannot
be for q tariff system
unless its benefits reach them as
well as the manufacturers from
whom they buy. II the tariff
system is to continue, It must go
all the way around and reach and
benefit all classes"
This statement points to- the
grave danger of a wholesale revolt
against the tariff system by the
Republican farmers of the North
west unless they get the McNary.
Haugen bill.
Farmers Support Bill.
Washington has no doubt that
the farmers Of the Northwest do
want this bill. They have rallied
to it through virtually every last
one of all their organizations. Also
numerous chambers Of commerce
and commercial clubs and bankers
In the Northwest have
rallied to 1t. It is supported in
general by the Northwestern bust.
ness community as well as by the
Northwestern farming community.
1t has formidable popular strength.
In the East it has had the bless.
ing of the distinguished New York
banker, Otto Kahn, Of Kuhn, Loeb
and Company. It has also had the
blessing of Bernard M. Baruch,
formerly head Of the war industries
board and equally distinguished as
a capitalist and as politician. The
bill Is the knottiest problem ever
presented to this Congress both
from the political and from the
economic standpoints.
In Washington It Is supported by
of Agriculture Wallace
but not supported by Eugene
Meyer, jr., managing director Of
the War Finance Corporation, who
has been the Presidents adviser on
agricultural problems almost equally
with Mr.. Wallace.
The bill would increase the price
Of wheat to the country by some
$500, 200, 900 a year and the price
Of hogs by some $400, 900, 900 a year
and the price Of certain other basic
commodities by amounts
reaching finally the total Of $1,000
100000 q year.
Mr.. FIaugen frankly admits this
cost and then firmly claims that
It is a small price to pay in order
to rescue the agricultural com.
munity in certain sections from
ruin and "in order to accomplish a
great national purpose"