Evening star., 1934-03-26
1933FARM INCOME.
GAINS 55 PER CENT.
Davis Reports $3,271,000,.
600 TotaI-Further In
provement Predicted.
By the Associated Press.

By the Associated Press.
The Agricultural Adjustment Ad-
ministration reported today that 1888
farm income was $1,158,0O0, 900 high
er than the previous year. This is
an increase of SIS per cent.
Chester c. Davis, farm admins
traitor, in report to Secretary Wal
lace, covering the period from last
May to February, 1884, asserted that
including rental and benefit pay
ments. farm income last year reached
$3.271 100000. Greater improvement
Is due this year, he said.
Part of this recovery was un-
doubtedly due to the adjustment pro-
gram getting under way" he said.
With live stock and livestock prod
ucts, the production of which for
market covers longer period, it is
not possible to make adjustments so
rapidly.
Sees Further Gain.
ut should be added that the full
results of a number of important prof.
ects launched in 1888 have not yet
been felt. 1t is expected they will
become increasingly evident in 1894"
Removal of 100000 acres of land
from cultivation also was forecast by
Davis, who said this raises puzzling
questions as to regional and commod-
ity competition, rotations. replacement
crops. use of labor and tie like"
Although practicable" plans have
been worked out for use of the land
IN some regions. Davis continued, re-
adjustments are Complicated" by the
human problem, especially as to hired
laborers and tenants Retirement of
submarginal land, he said, will bring
even more difficult problems.
A warning was sounded against
hlgh-pressure promotion, either by
the Federal Government or by other
agencies, or settlement in areas and
unoer conditions which cannot sus-
tam population on any but very
low Standard-of- Living levels"
Describes Goal.
THE Agricultural Adjustment Ad-
mlnistration," Davis said, has no
thought OF preparing for a permanent
scarcity. The American population is
still increasing, though at a declining
rate. Agriculture's goal is the eco
nomlcal production of ample raw ma
terials to supply the Nations needs
and to meet the demand for such
products as can be sold abroad at
remuneratiVe prices, while at the same
time avoiding surpluses that DESTROY
the buying power of farm commodi-
ties and wreck farmers standards of
living"
Estimated expenditures on existing
programs for rental payments and
surplus removal during 1888. 1884 and
1885 total s847.l76. 900. with probable
collections placed at 1872, sos ,8O5. Ad-
mlnlStratlve and other expenses are
expected to absorb the excess, Davis
SAID, and the Farm Administration
puget reckonS a deficit of 2293 966
IN November, 1885. when programs
now approved will be concluded
Expenditures through December 81
reached sl8l ,207,5l9, while collections
were sl40, 0,401,194. The disparity was
explained in the report by the fact
that large part of the farm bene-
mt payments was advanced by the
Treasury.
Complete information concerning
the progress. problems and prospects
OF the A. A. A. in the first nine
months OF its existence was furnished
in 393-page book issued today.
Created May II. 1888. the administra-
ton sums up its activities up to Feb
ruary Is. 1884, in the book.
Although nine months old, there
had been only five decisions by the
courts in cases in which the consti-
tutionality of the act was under fire,
and in all except one the act was
sustained. The exception was
Florida case which has been appealed