The Glacier reporter. [volume] (Browning, Mont.) 1953-current, 1955-10-07
Agriculture Outlook

II tnT last "teh gives oil eASSileut
low of what the leading finan-
oial authorities think of the pros
rpcts for the future farming in
dustry, being a summary of
statements made by a member
Il the Federal Reserve Board, re-
urinted from the Western News
of Hamilton.
A large crowd of farmers and
Businessmen from all sections of
the Bitter Root valley gathered
Monday night at the Eagles hall
in Hamilton where they enjoyed
. dinner served by the Eagles
auxiliary and heard talk on
farm problems which was made
Nv Frank Parsons, vice presi-
dent, and director of research
for the Federal Reserve Bank of
Minneapolis.
The speaker cast himself in
three roles: that of farmer,
that of a housewife and that of
a businessman, approaching the
farm problem of the nation from
the viewpoint of each of them.
He pointed out that the Ameri-
ran farmer has become so eff
cent that his mere productivity
has resulted in the farm problem
because that ability to produce
has resulted in the building of
surpluses. Despite the increase
in population in the United
States said Parsons, the popula-
ton has not kept up with the
oyerproduction of farm com
modliIcs. On the other hand
most other countries have farm
ers whose production is INSULT
Gent to care for the needs of
their own people This is largely
due 10 backward methods of
production.
Parsons pointed out that today
only about ! per cent of Amer
cans are on the farms OF the
nation and that with prices of
farm commodities depressed as
now. they are getting only from
sever to eight per cent of the
nationa. income. In 1851 parity
was II3 while today it is 81, a
drop o! 90 points, parity being
the relation of what farmer
sells to what he buys Thus the
American farmer is operating
disadventageously today.
He SAID that farmers feel they
are selling their products al
wholesale and buying that which
they need al retail; that the rest
of the national economy fixes
prices and is subsidized by artl-
fetal methods so why should not
the farmer be similarly pro
tected
In the eyes of the housewife
the speaker said the matter as
sumed d different perspective
She Is confronted with a high
cost OF living. while al the same
time paying government taxes
which are used to artificlaliy
supper; prices OF crops which
pile W III SURPRISES
The businessman said Par
sons feels that ne is not guar
anteed profit although fair.
traded articles do tend to pro
vide . guarantee So the busi-
nessman would not like to see
the government set prices for
agricultural products.
The speaker said that il
seemed likely that if conditions
continue as al present many
would continue to leave the farm
10 secure Jobs in industry be
cause they could make a better
living Or because they would be
Starved off the farms Thus
4 the percentage of farmers would
inevitably be reduced from the
QFesen, - per cent. This trend
away from the farms would be
reversed II the event OF de
preston, said the speaker
Despite controls, the Level Of
Production of farm products con
unues to increase with the sec
ond largest wheat crop on
record due TO be harvested tins
year
He said in a depression the
farmers are the first to be hit,
ina, We may have a recession in
1896 Du' that ne hoped i would
prove minor
Parsons declared thai the
American people are spending
only from % to "a per cent Of
Ael- income for food, that we
a1e tne 18Th nation i'll per capita
Consumption of milk, that many
tanner particularly dairymeu.
car improve their economic
status by better merchandising
Ike the cola and beer manufaC-
Iurers nave
ne SAID that III spite of the
sUpluses, the lowered prices TO
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