Evening star., 1941-03-03
Agricultural Official
Predicts Economic
in 194Os
Milo Perkins Urges
House Group to Extend
Stamp Program
BY the Associated Press.


A prediction that I'VE are likely
to hit an economic crackup some
where in the 1940s" went to Con-
gress today from Milo Perkins,
surplus marketing administrator Of
the Agriculture Department.
Urging a House Appropriations
Subcommittee to extend the stamp
program throughout the country,
Mr.. Perkins asserted:
MY own judgment is that since
We are likely to hit an economic
crackup somewhere in the 1940s, we
need to work toward extending this
program to every county in America.
''1t would be national insuraf0e
against hunger as well as against
low prices for commodities used
largely here at home"
The stamp plan is flexible pro-
gram of diverting unwieldy and
market depressing surpluses of farm
crops to the needy through issuance
of blue and orange stamps.
Does Not Predict Time.
Mr.. Perkins views were disclosed
by the Appropriations Subcommittee
which prepared next years Agricul-
ture Department supply bill and
made public voluminous hearings on
that measure. Mr.. Perkins did not
explain why he anticipated Crack
up" or just when he thought it likely
to come.
The testimony also disclosed that
Secretary Of Agriculture Wickard
believes the present farm program
cannot be expected to achieve the
long sought goal of parity prices
or parity income for farmers and
that loss of export markets have sent
farm surpluses soaring to a point
where they are adequate for national
defense but alarming" to the ad-
ministration's program and farm
income.
Parity prices are designed to give
farmers the same relative purchas-
ing power-parity income-as they
had in the 1909-14 period.
Sees Central Control.
At the same time L. A. Wheeler,
director of foreign agricultural re-
lations, predicted foreign trade
would be dominated by central
governments" and that the United
States would not be able to carry
on foreign trade without having
to do a good deal similar to what
other governments are doing"
Representative Dirksen, Repub-
lican, of Illinois, committee men,
ber, interpreted that statement as
meaning resort to the barter system.
At the outset of his testimony
Mr.. Wickard said 1941 farm income
should rise $500, 1000 to $780,
100000, but he offset that with a
statement that loss of exports since
war came to Europe has been
severe"
Because of this loss Of exports
the matter of supplies is becoming
alarming, not from the standpoint
of defense, but from the standpoint
of the farm income and the farm
program" he said.
$4,000, ,000, 900 From Goal.
Mr.. Wickard asserted that loss Of
foreign markets had been largely
responsible for failure of farmers
to approach nearer to parity-and
he estimated they were about
$2,o0O,000,O0O away from that goal
the last year.
At the suggestion of Subcommit-
tee Chairman Cannon, Mr.. Wickard
outlined briefly three substitute
programs for the present soil-con-
servation and loan program, explain
ing, however, that Il am not sure
that would advocate" any of them.
He named outright price-f1xing,
parity loans and "a legally correct
version, I hope" of the once-in-
validated processing tax now called
the income certificate plan.