Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-08-10
INSTITUTE IS GIVEN
FARM AID OUTLINE.
Senators Walsh and Connolly
Discuss Phases OF Export
Debenture Plan.
BY THOMAS r. HENRY,
stan CORRESPONDENT Of The at.r

cnuSet6 aHO ION COnnalIy OF TeXaS
as the principal speakers. the complex
economic difficulties of the American
farmer formed the chief topic Of dis
cuSsion before the Institute OF Public
Affairs yesterday.
Senator Connally insisted that the
surest way to relief was through the ex-
port debenturs plan which was elipnj-
mated BY the House from the bin Great
ing the Farm Board.
Senator Walsh. however insisted thai
while the debenture plan offered the
surest immediate relief. II would per
petuate the fundamental difhculty Of a
high protec' re tariff and declared he
could not favor "a course Of action
which has admittedly all the evils of
the protective system and Is alone IN
dertaken and justified as an Offset to
these evils
This plan will not take directly out
Of the Treasury a single dollar" said
Senator Connally, appealing for the
export debenture. 1T will intercept
customs duties on the way TO the
Treasury. Is that an absolutely un-
pardonable sin? Whenever tariff rates
revenue from that article declines
Money is thereby shut out OF the Treas
ury. That is what this plan does and
nothing more.
The debenture plan proposes 10 ap-
propriate part of the revenue derived
from a protective import tariff for the
benefit Of domestic industries and en-
ploy it to give to certain other domes-
tic industries q similar advantage on
their exports.
Would Repay Farmer.
ut proposes TO give back 10 the
farmer portion of what the tariff has
continually been taking out OF his
pocket Annually there Is collected abou,
$500 900 900 on imports Of Agriculture
products. The public paws that sum to
protect producers. Why not utilize
portion in the same cause by giving
tariff benefits 10 other agricultural COM
modities. II was estimated that th.
debenture plan would cost not TO exceed
$50 900 900 annually"
The Government already IL paying in
A disguised form an export debenture
amounting to millions q wear 70 MANN
facturers, Senator Connally insisted. In
an effort to encourage the development
of foreign markets for manufactured
products. he said. domestic freight
rates are so constructed as to give an
advantage to the exporter.
decentralization of agriculture. with.
highly capitalized companies cultivatihg
large areas with hired labor instead Of
the small farm system of the present,
WOULD reduce The farmer to peasant
and prove a national curse" Senator
Connallv said. An agricultural surplus
is desirable. he insisted. despite that 1t
is at the bottom OF present farm dif-
ficulties.
Farm relief has been made a polit-
ical foot ball. In election wears eStra"-
ssant promises have been made the
farmer
Giving 4 NEGATIVE approral 70 the
debenture plan. Senator walsh proposed
specifically reductions In freight rates
or farm products accompanied by In
creases on manufactured products in an
effort to adjust the home market 70. the
farmers benefit.
Advocates Ffeisht Rate Cuts.
What the farmer needs instead Of
paper tariff duties" Senator walsh said
us radical reduction of freight rates N,
such products as wheat. corn. potatoes
cereals, milk. cream. meats, poultry,
eggs. fruits. vegetables. and to Offset
these reductions substantial increases
upon machines. radio sets. victrolss
steel products, automobiles, pianos ana
other highly wrought and valuable com
ri1odities. Something should be done to
ulatine the tariff so as to fool Hhs
farmer Is not the way TO do H.. The
correction Of the enormous waste IT
distribution-the handling and trading
aspects Of distributions one of the
things to do. And that the farmer Is
already n1anfullv and sensibly doing for
himself through his cooperative or
sanizations with their helpful market,
ing arrangements.
"Of the things that might be done for
him by the Government that would BE-.
of real consequence, the principal one
would be the general oveThaulinS OF.
railroad rates. In some instances new
preferential rates-or commodity rates.
as the railroad men call them-would
meet the requirements OF the situation
to enable certain agricultural products
to reach certain special markets. The
main thing to be done Is to revise the
ratio of rates applicable 10 the differ
ent groups of commodities Of the gen.
eral scheme Of freight classification"
Senator Walsh said that he feared
"the after effects as we'll as the ir1medj
ate effects of the tariff Law now being
framed as related to its professed ptir-
pose of affordine so-called farm relief.
The farmer. he said, will not be helped
materially by these agricultural duties.
and "in his disappointment and ex-
ASPIRATION he may turn, and to an Ak
tent he is turning. upon the whole tariff
system to tear it down. II that happens
it would disorganize American economic
life to the great injury OF the farmer
himself as well as to OTHERS"
Chamber Of Agriculture Urged.
Establishment of national chamber
of agriculture, to compare with the Ma
kar of vi q
by B. r. Yoakum of New York in the
open forum discussion. Mr.. Yoakur1's
plan for farm relief also includes the
oreaniza ton BY farmers themselves of
big marketing combines for the different
crops.
Organization under tv6 simple
amendments 10 the present farm law IL
the only remedy" he said. These COM
bines. he said. should have authority
for control Of production 50 as to pre-
vent unwieldy SURPRISES and control 1T
distribution and marketing for each
standard product without cost to any
other commodity or cost to the Govern.
ment. except an initial loan for organi-
cation expenses. including educational
work Farm markcti--. boards should be
este blisl1ed and conducted on as solid a
business basis as the largest commercial
combines and be as soundly financed"
Declaring that the drift of the farm
population to the cities is necessary to
the progress Of civilization. Prof. e. C.
Young of Purdue University pointed
out that a steady increase has been
manifest since reliable statistics first
became available.
Populate ne said moves in the
direction of economic opportunity. II
1t continues to move in a given direc-
ton for generations u Is conclusive
evidence that a real difference IN op-
portunity exists
The farm population problem will