The times-news. [volume] (Hendersonville, N.C.) 1927-current, 1933-02-09
By ARTHUR r. DEGREVE
COPYRIGHT, 1893, by Y. P.

WASHINGTON, Feb. .. CUP.
American agriculture is strug-
Cling under a mortgage debt of
$500, 900 today with little hope
that the last "lame duck" session
of congress will succeed in au-
thorizing anything but emergency
farm relief legislation.
The estimated mortgage debt,
government experts told the Uni
ted Press, represents one-seventh
of the entire value Of all Ameri-
can farms most recently comput-
ed at $57,245,544,269. Since
that computation, however, il
was said, the total farm Valua-
ton has shrunk drastically.
With wheat selling at about 80
cents a bushel, the farm popula-
ton would have to market 26 IL
billion bushels to wipe out the
mortgage debt. Eight billion
pounds or nearly 100000
bales of cotton would have to be
sold to pay off the 00,000,o00
interest alone on this debt.
Although the mortgage debt in
1882 was approximately billion
dollars less than in 1881, experts
said the difference represented
increased foreclosures or volun-
tary surrender of property. The
mortgage holder now has the
property instead of a piece of
paper Or the cash payments of
the debt.
The seriousness of the farm
er's plight is shown by recent
figures of the bureau of agricul-
tural economics which estimated
that 8 1-2 per cent of all Amer
lean farms changed hands dur
ing the five-year period ending
March Is. 1882. .... ....,,
A substantial increase in the
sale of farms for tax delinquency
also is reported by the bureau.
More than 13 farms of every
1000 were sold for non-payment
of taxes last year as compared
with IA per thousand the pre-
vious year.
It was these forced sales that
brought the first threat of revolt
from the impoverished farmers.
Neighbors rushed to the aid OF
unfortunate friends and physical
ly prevented foreclosure sales.
Government figures reveal that
% farms out of 1000 fell under
the hammer in 1882 as compared
with 1877 per thousand in 1881.
A year ago, nearly 40 per cent
of all .mortgaged farms were in
debt for more than half OF their
value. Today with the intensifi-
cation. of the economic distress,
experts estimate that farmers
have borrowed to so per cent of
the value of their properties.
Some hope of relief has come
from the large insurance COM
panies. some of which have dis
continued foreclosure sales for a
period of years where the farmer
stin is working his property. The
insurance companies since 1922
have held a large portion of the
farmers obligations. They con-
tirue to be the principal source
of farm mortgage loans.
Federal land banks lend about
~. per cent of the total mort
gage borrowings and joint stock
land banks are responsible for
seven Or eight per cent. The
federal land banks now hold
more than billion dollars in
mortgage obligations and the
Joint stock banks about $780,
100000. Commercial banks hold
10 or IL per cent of the mort
cages. ..a
The "par" index for prices
paid by formers for commodities
bought by them has increased
from 100 to 1876 while the ratio
of prices received to prices paid
had decreased from 100 to 63,
authorities said. Meantime, De-
cember export figures published
by the agriculture department
show continued shrinkage of
foreign markets for American
farm products.