Evening star., 1933-10-26

N PEEK.
the country which was being de-
veloped. To be the servant of that
community, not the master.
Slump Started In 1920.
The present depression didn't start
It started with the farm price collapse
Of 1920. After that there were long
years when the financial and the in
dustrial part Of this Nation thought
that it was well of, and could stay
well of, no matter what happened to
agriculture. But all the time, out be-
yond the shadow Of the skyscrapers, the
signs Of coming ruin were plain.
Country banks could be no stronger
than the security they held in support
of the money they loaned. The value
Of these securities dropped out from
era1 banking d g0 Of the Hs country
builds from that point up, and 50
ultimately it was affected.
there were only nine bank failures,
Since 1920 more than a thousand
banks have failed in Iowa. My home
community of Moline and Rock Island,
Ill, and Davenport, Iowa, had s142,-
100000 deposits in its banks in 1879.
At the end Of 1882 it had S40,00O,O00
deposits In its banks. The community
Is engaged primarily in manufacturing
products for the farm. Its towns are
full OF men and women out of work.
And they won't get any work that they
can count on steadily until the farmer
gets some money to buy things with.
When spending power is seeded, as we
are seeding it, at the grass roots, then
business will revive, and banks will
spring up again.
The Eastern industrial center Is af-
fected by the farmer who goes to town
with 81 to buy pair of shoes for his
boy. The boy is with him. They go
to the store and find that shoes of the
boys size are priced at $3.50 now. They
shop all up and down Main street, but
that's the best they can do. So they
new shoes. The storekeeper has his
shoes but not the 81.
Stoppage Is Complete.
That sort of thing has been happen
ing all over the country, at crossroads
stores and in the little towns. Think
what it means, wnen infinitely multi
piled. No sale. The money goes back
to the hills. stays out of circulation.
the factory, the railroads and every
link in the great distribution chain
loses another piece of business.
The factory loses business and the
unemployed stay in the bread lines be-
cause the manufacturer can't offer jobs
to his employees to make the shoes for
the farmers boy who has not enough
money to buy them.
That is the terrible cycle We are try
ing to break. The immediate point Of
our attack is to try to put more money
into the farmers pocket so that he
can pay for shoes and other things and
still have something left.
know what hard times mean on the
land, am not Dragging about what
we here in Washington have been able
to do since Spring to swing the power
Of the Government to the side Of justice
and balance. am not trying to claim
that everything is lovely, all of a sud-
den, out on the farm. ! know better
When people write in and ask me why
don't travel out over the country and
observe conditions, my answer is that
don't have to. know how things are
out there. I can see the situation In
South Dakota as perfectly as if were
standing on the ground there and talk
ing with the people.
Farm Prosperity Vital.
For 30 years or more after left the
farm and was engaged in the farm i'm
plement business, still was part Of the
agricultural Middle and Northwest part
of this great country, the whole pros
perity Of which depends on farming,
whether the people in the cities know
it or not.
Many a time in bad years I have
driven out to farmers place on collec-
tion business and turned around and
went back to town without telling the
farmer what I came for. He didn't
have enough food for his wife and chill
dren, to say nothing Of his live stock.
And even his chickens didn't have
could be spared for the market. The
stock and chickens were ranging in the
field and living on what they could get
Of parched grass and grasshoppers. The
situation Is the same this year.
And I'll tell you another thing. In
years like this the farmers in South
Dakota and the other farm States don't
quit and sit down and whine. They
stick They have been raised on adver-
sity. AS long as there is a chance in
the world for them to save their homes
and keep their families together, they
plug along and do what they can. The
conduct Of the Corn Belt during the
past u ruinous years Is an inspiring
example of the courage of a great peo-
pie. It augurs well for our country and
our flag.
The great difficulties of agriculture
are not due to any lack of courage nor
to any want of effort. The real prob
lem Is economic.
This problem we are attacking all
along the line. First it was cotton, next
wheat, then tobacco, and now we are
moving with the greatest program OF all
for corn and hogs.
One by one, these efforts will bring
money to the farm country, not in
driblets but in millions not to subsidize
accumulation Of surpluses but to COM
pensate farmers for their cooperation
in sustaining permanently better in
comes for themselves. This Is the kind
Of a new deal which, after many lean
years. the President and his admins
tration are fighting to assure the
farmer.