Evening star. [volume] (Washington, D.C.) 1854-1972, 1936-11-15
BY BERTRAM BENEDICT.

AA/ New Deal 60 from here?
" " Probably the President
himself does not know all
the answers to that one. but one
plausible answer seems to be: Into
crop insurance II the farmers want
it."
During the election campaign Pres
ident Roosevelt announced that an
administration committee was study
ing all angles Of the crop insurance
problem. The committee will report
to him before Congress convenes, Gov.
Landon also called the subject worthy
Of earnest consideration; so a crop in
surance measure in Congress might
well be supported by both parties.
Immediately after the election,
Secretary of Agriculture Wallace con-
ferred with insurance executives and
warehouse men on crop insurance.
Then he conferred with farm leaders.
These, although having no quarrel
with the idea, weren't sure that most
farmers would take to it.
Wallace on his side agreed that
there was no point in going ahead
unless a considerable number of farm
ers wanted a chance to insure their
crop yields against disaster. Possibly
a trial will be made with only few
key crops, perhaps only with wheat.
II the experiment is made. and proves
great success, crop insurance may
soon be In general effect in the United
States.
All Business Affected.
II crop insurance helps the farming
regions. it may benefit the cities al
most as much. For our economic
history proves that the whole country
cannot really prosper while agricul-
ture is in the doldrums.
The half-dozen years before 1929
may have looked like an exception to
this dictum, for industry and COM
merce seemed to be thriving while
the farm areas were in distress. Graz
lily bolstered by speculation and per-
haps by installment buying and reck-
less loans to Europe. When the ava
lanche burst upon us late in 1929, 1t
was long overdue. That made it all
the worse
Farmers have long suffered because
they could not use insurance to pro-
tect themselves as business men could.
Here Is a manufacturer or a store
owner. If his stock or his plant is
injured by fire, or theft, or some other
practicable casualty, he may still be
sitting pretty. He is protected by in
surance.
Here is farmer His crop is largely
or wholly wiped out by too little or too
much rain, by insects, plant diseases,
tornadoes, or early frosts. He is Just
out Of luck. Insurance against his
troubles has in most cases not been
available.
1t is true that most farmers can
now get insurance against hailstorns.
In five States this protection Is offered
by the State. Hail insurance, whether
State or private, has proved practi-
cable because only a small district is
afflicted at one time. Indemnity has
to be paid to only small number of
policy holders.
Fruit Growers Insurance.
In the South and on the Pacific
Coast fruit growers can take out in
surance against frost damage. There
Is also Q little insurance of live stock,
mostly in Pennsylvania and Ohio
And in some of the Southern and
Western States all-risk insurance Is
available on fruits and vegetables.
Possibly this insurance has proved
practicable because 1t Is written in a
localized area, covers crops with a
high value per acre, is susceptible of
careful supervision and Gin some
cases) Is worked out with farmers
co-operatives. However. it is still true
that most American farmers cannot
protect all their crops against most of
the perils which threaten them.
General crop insurance has been
tried. by private companies. without
success; and the failure is frequently
pointed to by skeptics on the subject
However, in some cases the companies
concerned operated in only single
State or small area. When a large
part of their coverage was devastated
by q crop hazard, naturally the in
surance fund went into the hole.
One large insurance company did
try general crop insurance over the
whole country from 1920 to 1922. But
crop prices fell sharply in 1920. Inas-
much as the insurance was on dollar