Evening star., 1933-01-05
The Farm Bill.

comes UP in the House for considera-
tion today under privileged status con-
ferred by the Rules Committee, is in
part the much discussed domestic al
lotment plan and embodies some, but
not all, of the specifications for farm
relief outlined by President-elect Roose-
welt in his DeS Moines campaign speech.
But 1t has discarded some OF the
cardinal features of both. 1t comes to
the House as a brand-new scheme. If
the domestic allotment plan repre-
sented the most radical farm relief
theory ever discussed, this bill goes the
domestic allotment plan one better and
Is even more radical A minority of
the House Agricultural Committee be-
lieves 1t will not work because OF obvi-
GUS and practical difficulties in its ad-
ministration and does not believe even
the theory will be accepted by the
courts. But an even more interesting
field for speculation is presented in the
possibility that it will work.
Briefly, the bill conceives the pre-
war price as the correct price for four
pAsic farm modities-wheat, cotton,
tobacco and hogs. If the farmers will
reduce their acreage for wheat, cotton
and tobacco by twenty per cent and
their hog tonnage twenty per cent for
the year 1888, they will receive. upon
marketing their products, adjustment
certificates" from the Secretary of
Agriculture, these certificates represent
ing the difference between prevailing
domestic prices and the pre-war prices,
thus restoring to the farmer his pur-
chasing power Of pre-war days. The
certificates will be redeemable within
thirty and within sixty days after their
issuance and accepted for redemption
by the Treasury, The Secretary OF
Agriculture, however, will issue certifi-
Gates to cover only that part OF the
total domestic crop that he finds will
be required for domestic consumption,
and the certificates will be issued to
farmers in proportion to the amount Of
their crop thus needed for domestc
consumption.
Now, what viii this cost the Govern
ment? Not one red cent! "An impor-
tant feature Of the measure" says the
committee report, is that it Is self
supporting" From the value Of the
certificates there win be deducted two
and half per cent to pay the cost Of
administration. The professor. and
not the Government, viii pay the cost
OF the certificates in the form Of a tax
levied on the processing. This tax, Of
course, will be passed on to the con-
surner. In the case Of bread 1t has
been estimated by the committee that
the price would be increased by O
maximum tax" less than q cent @ loaf.
The simplicity OF the thing Is too beau
tiful for words.
Unfortunately, the minority report
resorts to a number Of words to inter-
pose ugly doubt. A heavy tax on the
commodities treated IN the bill, 1t is
believed, will mean that consumers will
resort to substitutes rather than pay
the tax. II the consumers do not pay
the tax, the professors are not going to
pay 1t unless they collect 1t from the
farmer. Thus the minority believes the
whole price-fixing scheme will, In the
end, tnjure the farmer and help nobody
The bill Is an experiment. It's pro-
visions would last for only year, unless
extended by presidential proclamation.
But if 1t seemed to promise success and
the proclamation were issued by the
President, then, at the end of the sec
ond year Congress would have authority
to extend the bills application. BY
that time, Of course, Congress would
be under pressure to increase not only
the bounties to the farmers but to en-
large the scope Of commodities to be
included. Two North Carolinians asked
the committee yesterday to include pea
nuts. And why not? If the Western
wheat farmer is to have his purchas-
ting power of pre-war days restored, at
the expense Of consumers of wheat
products, why not the peanut farmer,
the dairy farmer, the poultry farmer?
If this bill works tariff log-rolling
will be supplanted by farm trust log
rolling, the farm trust will be supported
by a sales tax collected on the basic
essentials of life. the Secretary of Agri-
culture will be the most powerful figure
m the cabinet, and the consumers
but why worry about the consumers? 4?
The consumers can probably hire them
selves out to the farmers.
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