Evening star. [volume] (Washington, D.C.) 1854-1972, 1958-03-31

ACbulh ACICWlJu, WlLIlOul
my approval. Senate Joint Res
olution 1862. I have given earn
est consideration to the many
representations made to me
both for and against 1t. 1t is
my judgment that to approve
this resolution would be ill-ad-
viSed, from the standpoint both
Of the Nation and of our farm
families as we'll. 1t is regret
table that for the second time
In two years the Congress has
sent me FARM bill which !
cannot in good conscience APP
prove.
Specifically, the Resolution
would have such consequences
al these:
I. It would pile up more farm
products in Government ware
houses.
"a. 1t would restrict the growth
Of markets.
g. 1t would postpone the day
when agriculture can be re-
leased from the strait-jacket
Of controls.
1. It would bypass the prob
lens of the small operator who
produces so little for sale price
supports have scant meaning.
S. 1t would hold up the needed
transition to modern parity and
would in fact disregard the
parity principle.
6. 1t would be unfair to those
winter wheat growers who
signed up under the 1858 acre
age reserve program with the
understanding that the price
supports which had then been
announced would be the ef-
fective rates.
Needs Thaw, Not Freeze
This resolution would fix
farm price supports and farm
acreage allotments at not less
than existing levels. The true
need is to relate both price
supports and acreage allot-
ments to growing market OPP
portunities.
With regard to Government
controls. what the farm econ
omy needs is a thaw rather
than big freeze.
Improvements have been
made in farm legislation in re-
cent years. The keys to. these
improvements have been ex-
paIlsion of markets and greater
opportunity for our farm people
to exercise their own sound
Judgment.
Fears were expressed by some
that farm prices might collapse
when high rigid price supports
were abandoned. These fears
did not materialize. Instead.
farm prices rose. This month
the index of prices received by
farmers is 8 per cent above the
level that prevailed in June of
1855 when high rigid price sup
ports were last generally in
effect. The parity ratio now
stands at 81, Aup Q points from
q year ago.
Most of agriculture is with
out production controls and
without price support. This is
generally true of meat animals,
poultry, and fruits and yege-
tables
There is impressive evidence
that farmers stand to profit
from less rather than more
governmental intervention. Un-
supported prices of cattle and
hogs and unusually strong.
Many Problems Remain
Despite these bright spots,
many farm problems remain
to be solved. The price-cost
squeeze continues to harrass
our farm people. Production
restrictions impose a severe
burden. Many of our farmers
those on farms not large
enough to be profitable = are
earning incomes which are
below any generally eccepted
standard.
Cotton. wheat. corn and other
basic crops have major prob
lens. Progress in solving the
problems of these crops cannot
be made by going backward.
We must continue in the direc-
ton which the Congress set in
1854 and Endorsed in 1856
changes in the direction of
greater opportunity for adjust
ments made necessary by our
ever-changing agriculture.
I said. prior to the passage
of this Resolution. that what it
proposed would be a turn of 1870
degrees in the wrong direction.
After reviewing the Resolution
In its final form, adhere to
this conviction.
For the 1857 crop. prices were
supported. product by product,
in accordance with a complex
set of legislative and admins
trative considerations. The
same was true in the establish
ment of acreage allotments. To
carry these forward unaltered.
despite changes in demand. in
supply, and in surplus stocks.
would be contrary to sound leg
islative procedures and would
completely disregard economic
fact.
Cites Past Progress
Now I want to turn to the
progress that has been made
through programs already in
effect. In recent years many
sided attack on farm problems
has been launched. Substantial
gains have been achieved:
Through the Rural Develop
ment Program to help those at
the low end Of the income
scale.
Through matchmaking ex-
a n