The midland journal. (Rising Sun, Md.) 1885-1947, 1933-05-26
National Topics Interpreted


Already, regulations
Farm Relief and policies are issu-
Mocb;rerv ing from the Office
of George N. Peek,
administrator of the agricultural adj
justment act, in quantity and COM
plexity equalled only by those pro-
mulgated for enforcement of prohibit
ton. They are the work Of dozen
or so of men who are designated as
experts, and the concensus around
Washington is that only experts are
going to comprehend them fully.
President Roosevelt and every one
else is hoping the law will rescue agri-
culture and construct firm founda-
ton for the entire economic structure
of the country. To help attain success.
the President called Mr.. Peek away
from his vast implement manufacture
ing business at Moline, Ill, to take
charge. Mr.. Peek is sympathetic with
agriculture in every respect. He real
ICES, for example, that agriculture
must prosper or his plants are going
to be idle. He will sell no farm ma
chinery. So the law will be admins
tered at the top by friend.
But as the machinery for admins
tering the act is developed, it becomes
painfully apparent that the danger lies
not in what goes on here in Washing
ton with respect to it. The fear is
held by many supporters Of the law
that the small army needed to carry
it's provisions into effect will be the
breeding spot for trouble. However
intensive is the desire to get the best
out of the law, there is bound to be
varied construction of it's terms and
the regulations promulgated under it.
1t is humanity impossible to have it
otherwise, and there are plenty Of
precedents in, the administration of
other federal laws that have attempted
to go too near the individual citizen.
Then, probably there will be mistakes
in honest judgment and a little graft
as well. 1t has happened in other laws
dealing with individuals. This one
presents brand new opportunities in
that direction.
The Department of Agriculture is
striving, however, to acquaint the
country with facts as to what the law
means, how it operates and what 1t
proposes to do. 1t is seeking the CO.
operation of all. without cooperation,
success is likely to be limited. The
department, therefore, is seeking to
have the farmers understand the neces-
sity for the statute in advance of ap-
pointment of the vast personnel that
will be needed to reach into every coun-
ty where agriculture predominates. If
that can be accomplished, it is argued,
the agents of the government will have
something with which to work when
they interview farmers concerning
their willingness to join in reducing
acreage. It is by reduction of acreage,
of course, that the main profit for the
farmer is expected. That is the way
it is figured to force prices higher.
Secretary Wallace and Mr.. Peek and
others connected with the job here in
Washington have been holding confer
-ences with representatives of pro-
ducers, of professors Chose who grind
the wheat or spin the cotton, etc. and
other agencies The professors are d.
rectly concerned, for they are going to
be taxed in several ways to obtain
funds for payment to the farmers who
agree to reduce production. That is
one way of creating what the bill calls
price parity. The main purposes of
these conferences have been to gain
the facts concerning the amount pro-
duced, how and where it is sold, and
basic information that will serve as
a guide for laying the tax.
While the section of the farm relief
act relating to mortgages and methods
of refinancing them
See Hope in may not awaken the
Bond issue interest generally
that the other part
of the measure does. it seems to me
that the provision enabling the Fed
eral Land banks to issue $4,000, 100000
worth of new bonds holds forth much
more promise. The federal govern
ment guarantees the interest on these
bonds, and the proceeds of them will
be used to make new. mortgages or re-
finance existing mortgages on farm
lands.
The Federal Land banks are au-
thorized to buy outstanding mortgages
from the present holders, or to ex-
change the new bonds for them. but
the law specifies that this must be
done ION the best possible terms" The
plain meaning of this is that the land
banks must seek to force a scaling
down of the debt wherever possible
It is believed by many persons that
holders of mortgages on which the in
terest has not been paid and on which
perhaps installments are overdue, will
be willing to reduce the amount of
the debt in order to dispose of the
mortgage In other words. the holder
of a $1,000 mortgage that is delinquent
is considered as likely to accept some
thing less than that amount if he gets
what amounts to a government bond in
l Al.