Evening star., 1927-11-13

Continued from First raEe)
| tn. IN move to irettef lands and aid
them IL employ the best AGRICULTURAL
| methods.
Redistribution Vital.
tc) Earnest and effective co.opera-
| ton is needed between the orginiz1.
tions of farmers. business men. manu-
| facturefs and otler occupational
cro,ips to exercise Watthfulness over
local and State vernmehtal eXpen'
ditures, and to effect needed redistfi
button If the burden of farm taxes
now resting with undue severity upon
I the farmers and thereby endahgering
the economic interests OF each State
us n whole.
"a The States should so far 8 prac-
ticable feIihduisll the general prop
erty tax to the local governing units
md obtain such revenue as they nced
through income. business and excise
taxes So far as the State exercises
control regarding standards of educa-
ton it is incumbent upon 1t to assume
considerable share Of the financial
burden. In meeting local education
needs the granting of state aid In pro-
portion to the relative need or pros.
perty If the local community is highly
desira BILE.
"hN machinery of agricultural credit
as i. exists being seriously in
effective and susceptible Of great i'm.
provement, this problem should be
energetically attacked.
ScriOuS consideration should I've
given to the deslrahility of extending
branch banking within certain pre-
scribed areas and of serving agricul-
tural credit needs by a system of fewer
but stronger banking institutions.
Improvement in the system of bank
ing control and i'm the supervision of
State banks is urgently needed. snj
it wou,d probably he beneficial If state
hankitl'; laws should pklce s:ricter re.
sponsibiiity on directors Of banks.
Lower Intrfest Rate.
To lower interest rates for short.
time credit md to release the farmers
in some sections from undesirable de-
pendcnce upon the local merchant or
landlord for their current credit needs.
it would appear necessary to bring
about "A more extensive use of the IA
cities Uf the intermediate credit sys-
tenn through the wide establishment of
agricultural credit corporations. Such
corporations should be permitted tn
charge d rate so much above the redis.
count rate of the intermediate credit
banks as would not only cover ex'
penses but would permit the accumu
lation OF reserves and surplus to be
applied TO the redemption OF al stock
not in the hands of the farmers or CO.
operatives. The intermediate credit
banks; on their part should be nj.
lowed to charge enough to meet ex.
penses and provide for the gradual re-
tirement OF the Government from own
ership of the stock of these banks. so
that they may be changed into farm!
ers mutual associations under Gov.
errment supervision.
tsy Agriculture can be substantially
benefited by readiustnients of the rail.
road rate structure. the extension OF
waterway systems and other reduc
tions iii distribution costs.
Although the relatively unprosper
Gus condition OF agricultural railroads
shows that the existing rates on agri
cultural commodities are in general
not unduly high. different division
bs Gf essential benefit to agriculture in
Central and soutliern states. The
commission urges expedition in putt
ting into effect any reduction OF rates
on agricultural commodities as were
contemplated in the Hoke Smith resO
tuition ami prove feasible and consist.
tnt with 1t.
The daveiopmsnt 1T the Mississippi
waterway system and the construction
of Great I.akas-tu. water route
would be Of Grci,t benefit to producers
of grain in tls Central Northwest and
the Great Plains section and Of meat
products in the Corn Felt. The pre-
avention' of flood disasters in the Mis-
s:ssippi Basin is urgently required and
would he OF great benefit to large agri.
cultural areas. In view Of Its national
Importance. the larger share. II not
the whole. of the cost should be borne
by the Federal Government.
Extension Of Research.
,f?) The commission strongly urges
the extension OF research work In the
fad of agriculture by the Federal
Government. it's 90 ordination with the
research work uf Stntes and other
agencies ana the appropriation 1T
larger funds for auci work nn the
pat Of the Federal Government.
Egtensivs research Is needed TO sup
ply the basis ar Il tOm,Ifnhepsite l,hd
utiliZa ton policy. for the ellmlna lion
of pant rests and d'so;ises for The Do
ve!opment uf. new types of sgrirul.
tural pruducts and Of new us7s for
existing products. as well as concern
ing the possibilities of the application
of industrial methods and business 0r.
ganiZation in agriculture. Special at
tehtiOn should lie given to the func-
tiUuA 1T the rural schools In tile eduea.
tion Of yotina people. With A view not
only to improve their efficiency Ms fu.
ture farmers. but also TO cultivntins
iH them n more fundamental appfecia.
tion OF the values OF farming as a way
Of life and "a n profession.
The foregoing briefly summarizes
tbs recommendations made by the
Business Mems Commission on Aari.
culture as a result of Il years study Of
the agricultural problem in the light
OF the present situation. the previous
economic development of the United
States. as well az the deep-goin.:
changes in the economic position Of the.
United States through ana since thu.
war. Tine commissions investigation Of
the' agricultural problem revealed the
agricultural situation az Involving hnd
baing affected by mnhy varying fac.
tors. soma 0f which were fundamental
nnd connected with the gfadual
change uf the country from that Of an.
AGRICULTURAL 10 IL prevallinsiy Indus
triaI nation. while others were prob,
lens Of postwar readjustment ~
more temporary IInture. but Intensity.
ing the more permanent fiis 6f agri'
r,,ltucn Tha findings pf t1n commits