Evening star., 1955-09-17
NIXON
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NIXON
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which can be applied, including
the parity ratio.
PARTY reached its high point
during the Korean war in 1851 at
49," he said. When the Eli
senhower administration came to
Washington in January. 1883. it
had dropped to "a. Today it
stands at 81. That parity Ii not
a true indication Of the financial
lwell-being Of the farmer II IL
lustrated by the fact that in
1887 the parity ratio was %. and
certainly no one would contend
that the farmer was better on
in 1887 than he is now"
The Vice President said that
Ia truer measure is the farmers
Eper capita net income. Parity.
he continued indicates the prices
the farmer is receiving for his
products. Per capita income is
determined by multiplying prices
times the volume of sales and
subtracting costs. In 1851. he
pointed out. per capita income
was 1910. in 1858, it was 1904.
Iand in 1854. 1t was SCOT.
when we consider the fact
that per capita income was $244
lin 1885," said the Vice President.
E''it is somewhat ridiculous to
claim that the farmer is as bad
loff now as he was before World
War H."
Points to Value of Assets
He said that q third measure
of the farmers financial we'll
being is the value Of his assets.
In 1855 the value Of land and
equipment owned by farmers was
$l63.5 billion, which was 2 per
cent higher than in 1854, and
only a very little less than the
ALI time high record reached IN
1852 during the Korean war.
'The average equity Of farm
family in America" he said,---
there assets less their liabilities
is $22, 1000. This is 5000 more
than the average net worth Of
lnon-farm families"
These statistics, the Vice Pres
Iident contended, add up to the
conclusion there is no farm de-
preston in the United States,
the agricultural economy is basil
lcally sound. but farmers are un-
/. .deniably caught in a squeeze.
The prices of the the things they
sell have gone down faster than
the prices of the things they
buy.
Mr.. Nixon fatty denied Demo-
cratic charges that President
Eisenhower had broken promises
made to q similar farm gathering
in Kasson. Mimi. at the opening
Iof the 1852 presidential cam
Ipaign.
Pledges Never Broken
II just want to make one thing
clear right here and now" he
said. I'VE have man as Presi-
dent who has never been known
Ito break q solemnly given prom
Use during his 40 years Of dis
tinguished service to his country.
And the farmers Of America can
be sure he is not going to begin
by breaking his word to them.
AT Kasson, the Vice President
said, President Eisenhower told
the farmers; II stand behind the
amendment to the basic farm
act which continues through 1854
the price support on basic COM
modities at 80 per cent of parity"
That promise has been kept.
Mr.. Nixon said. He further
quoted President Eisenhower as
saying that agriculture is en-
titled to a fair, full share OF the
national income and that o fair
share is not merely 90 per cent
of parity but full parity. He
said that the President and
Everybody in his administration
are working increasingly to carry
out the Presidents commitment
Saat "the farmer should receive
full parity in the market-place."
The Vice President denied that
the new flexible parity law can
be held responsible for the drop
in farm prices. He said that al
most two-thirds Of the drop took
place before the Eisenhower Ad-
ministration took control in
1853 and that the new law did
not 60 into effect until this
year. Also, the i've basic crops
supported by parity constitute
only one-flfth of farm produc-
ton in the United States. Fur
ther, the new parity formula has
been applied to only one COM
vear,s vrheat cr0r,