Askov American. [volume] (Askov, Pine County, Minn.) 1914-current, 1932-05-26
Workings of State
Bureau Explained
Continued from Page ~

seemed that the powers deemed 1t
wise to help the railroads, big bank
ers and insurance companies, so
ironed out the wrinkles by eliminat-
ing the 1000 farmers in Minnesota,
said the speaker, though the security
back of farm loans is the state OF
Minnesota.
The Senator Frazier bill, said Mr..
Gaarenstroom, would strike at the
heart of the trouble It's purpose is
to take up the present farm mort
gage Indebtedness, ref1nancing the
farms and those lost through mort
gage foreclosure. 1t is on the amorti-
cation plan with 1h% interest and
principal of 1A96 paid annually, so
that in AZ years the loan would be
entirely paid up. The officers to ad-
minister the law and put it into prac-
tice would be chosen by farmers.
Issue More Currency.
Loans under the Frazier act could
be financed as was the war, said the
speaker. In 1917 the United States
had three billion dollars worth of
currency in circulation. The govern
ment issued $2.7OO.OOO.OOO in new
money or currency. With it the peo-
pie bought $1,000. 100000 worth of
Liberty bonds. Everybody was max
ing money then because the farmer
made money. But in 1920 the Fed
eral Reserve board decided things
were going to good, so called in two
billion dollars of the currency. That
ness failures, bank failures, and farm
failures said the speaker. The farm
er's dollar which was worth $1.02 in
1920 went down to Sc cents in Feb
ruary of 1882. Local bankers and
business men have extended credit
as much as they can but they have
their limitations, and it requires ma
tional legislation to remedy the situa-
ton, said the speaker. Since 1926
there are 1876 farmers in Minnesota
out of every 1000 that have lost their
farms, or nearly 20 per cent
The Minnesota farm crop in 1929
had value of S33S.OOO,OOO while in
1881 it had decreased to $4,000, 900,
according to the figures of the U. S.
Department of Agriculture.
Too Much JOckeying.
If it is desired that men and women
remain on the farms and continue to
build homes they must be given prop
err treatment, and low rates of in
terest are very vital just now, said
the speaker The shipping interests
got money at very low rates of inter-
est from the government and others
have been helped. 1t is about time
that some of the jockeying in politics
down in Washington was eliminated,
so there might be less talk about who
is to be postmaster in this and that
place, and more attention given to
fundamentals that concern the entire
nation, said the speaker.
E. ]. Prochaska, chairman of the
Pine County Farmer-Labor Associa-
ton, presided at the meeting, and an
nounced that Henry G. Teigan, editor
of the Farmer-Labor Leader, would
| address several meetings in Pine
county during this weekend, dates of
which are given elsewhere in these
columns. Mr.. Gaarenstroom and Mr..
Teigan are both candidates for the
nomination on the Farmer-Labor
ticket for congress- at-large.
Resolution Passed.
The following resolution was unani-
mously adopted at the meeting in Pine
City last Friday:
Whereas the present Debated con-
dition of agriculture requires an i'm
mediate refinancing of the present
farm mortgage Indebtedness, at low
rate of interest, in accordance with
the principles of the Frazier bill now
pending in the U. S. Congress, and
favorably reported by the Senate COM
mittee on agriculture;
Nov, Therefore, Be 1t Resolved
that we heartily endorse the efforts
of Governor Olson, Senator Shipstead
and Congressman Kvale to bring
about the passage of this bill and we
urge all other congressman to dc
everything in their power to cause a
speedy, favorable consideration of this
bill"