Douglas daily dispatch., 1926-05-26
FOR
FARMER RELIEF
AGAIN RENEWED
1Rr nisnateh A. p. Miran

WASHINGTON, May 25.-Agitation
for enactment of farm relief legisla-
tion embodying the equalization fee
principle of the Haugen bill was re-
newed today in the senate by Senator
Watson, republican, Indiana, who dis
closed that Vice President Dawes was
| in favor of such a, program
The vice president who was pre-
siding at the time, Senator Watson
ksad has been corresponding for some
| time with various, economists and farm
leaders in an effort to obtain a con-
census of what,should be done Among
, those whose views he sougha was Sir
Josiah stamp, the English economist,
tand Great Britain's representative on
the first committee of experts of the
Preparations commission, who is now
lin this country While he refrained
from endorsing. any particular pro-
posal, sir Josiah ALSO was of the opin
ion thai the levy of a fee was sound
economically.
Senator Watson who advised his
colleagues that he had been converted
to the plan as means of stimulating
agriculture by stabilizing surplus
prices, read a memorandum on the
subject, prepared by the vice pres-
dent.
While the subject was being dis
eussed Representative AnNhony, re-
publican, KSnsas, introduced in the
house a modified form of. the Haugen
bill which was defeated last Friday
The Haugen measure, with it's equal
| e. bo1
of Secretary JartFine, and of num-
ber of the administration followers i'll
| tho house.
| The Dawes memorandum, which
Senator Watson described as his
--latest statement on the agriculture
situation" follows:
"The confusion incident to the de-
bate on the pending measures for agri-
| cultural relief results somewhat from.
the concurrent consideration of four
| factors
D-The economic principles in
yoIyed in the fundamental device pro-
posed by the agriculturists.
(2)-The condition of agriculture.
(3)-The proposed form of practical
Legislation.
Bipartisan and political reaction.
Enthusiastically at this time a con-
census of Intelligent opinion upon the
first factor, the economic validity of
anv scheme is the first requisite of
real progress.
discussion of the fourth factor th-
partisan, is only an obstacle.
"Our manufacturers are able. to de-
crease their unit cost by an increased
output the surplus of which they can
sell abroad if necessary at less than
their American price. Their sales at
world price do not fix their Aerican
! price as in the case of agriculture.
This is made possible by the tariff
which, within certain limits prevents
foreign competition in the home mar
ket. #a91d
While the tariff does not interfere
with the free operation of the law of
supply and demand within our coun-
try, it does limit the supply from
iabroad below a certain price levet
determined by the import duty
Z ""This is not considered price fixing
nor is it attacked AS, such. The, agri-
cultural economists are proposing a
device which will enable agriculture
at it's own expense, to sell its surplus
abroad at a lower world price in
order that, as with the manufacturing
industry the law of supply and de-
mand VII operate in it's larger home
market behind the tariff wall which
congress has already erected for it's
theoretical benefit. This theoretical
benefit they wish to be made prac-
tical.
"As understand the agricultural
proponents of this plan have never
suggested a government subsidy. That
proposal has emanated from other
sources