Askov American. [volume] (Askov, Pine County, Minn.) 1914-current, 1931-09-10
new MEDIUM
OF EXCHANGE
Is Urged by A. j. Olson,
President of Minnesota
Farm Bureau.
Strong for State Income
Tax Which is Now Func-
tioning in "a States.

The principal address ar the annual
meeting of the Pine County Farm Bu-
reau held in Hinckl5y Friday af,er-
noon, was given by A. J. Olson of
Renville, president of the Minnesota
Farm Bureau Federation, who dwelt
principally on the medium of eX-
change, rural credits, marketing and
taxes.
l. A. Churchill, assistant county
agent leader of the state, who has
his headquarters at the University
Farm, St. Paul, spoke in apprecia. ion
of the good work done in Pine county
and urged continue cooperation. The
resignation of County Agent w. F.
Hammargren, who has accepted a
position as district appraiser of the
State Rural Credits Bureau, after
being county agent in Pine for eight
years, was accepted to take effect
October first. The president of the
county organization, George G. Wal
lick of Hinckley, who presided at the
meeting, expressed appreciation of
the good work done here by Mr.. Ham
margren.
The secretary's report showed that
there is a little over $50 in the
treasury The officers were all re-
elected as follows: George G. Wallick,
Hinckley, president; Harry Duncan,
ClOverton, vice president; ]. H. Hol-
land, Pine City, secretary-treasuer;
and directors, l. A. Ecklund, Askov,
and C. l. Hoagland, Brook Park.
Criticises Gold Standard.
Mr.. Olson said that our medium of
exchange-the gold standard-which
is owned and controlled by a few, is
a matter of great Importance at this
time that should be remedied, and
many say that we must have new
medium of exchange. The country is
suffering from the present system.
The federal law requires a 400 gold
reserve, said the Farm Bureau presi-
dent. The per capita circulation is
now S35 while during the Weird war
il was S54. The annual business in
crease in the United States is over
80 while the gold increase is less
than 2126. About $50 of the worlds
population is off the gold standard,
even our neighbors in Mexico, pre-
venting trade, said the speaker. Re-
ferring to the gold standard and the
fact that gold is diminishing in pro-
portion to business, he asked: Do we
have to quit playing marbles because
we have no marbles? During the war
the debts contracted by the American
farmer ran into big sums and now
when the dollar is about three times
as expensive to the farmer he finds
it difficult to meet his obligations.
The other extreme was in Germany
where the poor people got cheap
money and paid their debts with it.
the mortgage holders being stung with
the fiat money. Those holding gold
in America during the war could have
buried it then, forgot all about in
terest, dig it up now and make good
money.
Rural Credits Mismanaged.
Mr.. Olson spoke briefly on market
ing calling attention to the equaliza-
ton fee of the McNary-Haugen bill
which the Farm Bureau advocates,
adding also that he thought the Fed
eral Farm Board is improving. He
said that the farmers have been
helped by creation of the State Rural
Credits Bureau, though it was mis-
managed in the beginning, about ten
years ago. The Credits Bureau has
also helped some bankers who I'M
loaded bad papers, however that be-
ing a case of bad management, said
the speaker, adding that the Farm
Bureau is anxious that the Credits Blu
reau become of much benefit to the
farmers generally all over the state.
Improve Tax Gathering.
Taking up the subject of taxation
Mr.. Olson said that America is way
out of date in its system of tax gath
ering. In Minnesota only One-fourth
of the total income is derived from
personal property and real estate
yet it pays $3.50 of the local state,
county, school district, township and
village taxes. Salaries, fees, and COM
missions represent $40 of the total
income in the state but pays no local
taxes. 1t pays only the federal in
come taxes of $2S,OO0.OOO, based on
the 1929 figures, and which is very
small tax compared to the general
property local tax of $140,000,000.
Urging the adoption of state in
come tax in Minnesota Mr.. Olson said
that the Farm Bureau is taking an
active part in the adoption of this
tax and is taking leading part in
tax matters of all agricultural states.
There are now "a states which have
adopted the state income tax as a
means of shifting some Of the tax
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