THE NORTH PLATTE SEMI-WEEKLY TRIBUNE
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Some Aspects of the
Farmers' Problems
By BERNARD M. BARUCH
(Reprinted from
The wholo rural world is In a tor
xnont of unrest, and thcro Is an un
paralleled volumo and Intensity of de
termined, If not angry, protest, and an
ominous swarming of occupational con
ferences, Interest groupings, political
movements and propaganda. Such a
turmoil cannot but arrest our atten
tion. Indeed, It demands our careful
study and examination. It 1b not like
ly that six million aloof and ruggedly
Independent men hnvo como togcthci
and banded themselves Into nctlvt
unions, societies, farm bureaus, and go
forth, for no sufficient cause.
Investigation of the subject conclu
Blvcly proves that, while there Is much
overstatement of grievances nnd mis
conception of remedies, the furmen
are right In complaining of wronga
long endured, and right In holding that
it is feasible to relieve their Ills with
benefit to the rest of the community.
This being the enso of an Industry
that contributes, In the raw material
form alone, about one-third of the na
tional annual wealth production and
Is the means of livelihood of about 40
per cent of tho population, It Is ob
vious that tho subject Is ono of grave
concern. Not only do tho fnrmcra
mnko up one-half of tho nation, but
the well-being of the other hulf de
pends upon them.
So long as wo have nations, a wise
polltclal economy will aim at a large!
uegrco of national solf-sufllclcncy and
self-contulnmcut. Home fell when the
food supply was too far removed from
tho belly. Like her, we shall destroy
our own agriculture and extond our
( sources of food dlstuntly and prcenrl
"ously, If wo do not see to It that our
farmers are well and fairly paid for
their services. Tho farm gives the
nation men as well as food, Cities
dorlvo their vitality and nro forever
renewed from tho country, but an Im
poverished countrysldo exports Intelli
gence nnd retains unlntclllgcnce.
Only tho lower .grades of mentality
and character will remain on, or seek,
tho farm, unless agriculture Is capable
of being pursued' with contentment nnd
adequate compensation. Ilence, to em-1
bitter and Impoverish tho farmer Is to
(dry up and contaminate the vital
Sources of tho nation.
Tho war showed convincingly how
dependent tho nation Is on tho full
productivity of the farms. Despite
herculean efforts, agricultural produc
tion kept only n few weeks or months
nhend of consumption, nnd that only
by Increasing tho acroago of certain
staple crops bt the cost of reducing
that of others. We ought not to for
get that lesson when wo ponder op
the furmor'8 problems. They nre truly
common problems, and there should
bo no attempt to dual with them as
If they were purely selfish demands
of n cleur-cut group, antagonistic to
tho rest of the community, Rather
should we consider agriculture In the
light of llrmul national policy, Just
as wo consider oil, coal, steel, dye
stuffs, and so forth, as sinews of na
tional strength. Our growing popula
tion nnd a higher standard Of living
demand Increasing food supplies, nnd
more wool, cotton, hides, nnd tho rest.
With the disappearance of free or
cheap fertile land, additional acreage
and Increased yields can come only
from costly effort. This we need not
expect from nn Impoverished or un
happy rural population,
It will not do to tnke a nnrrow vlow
of the rural discontent, or to appraise
It from the standpoint of yesterday
This Is peculiarly an ago of flux and
chango and new dcnls. Recnuso
thing always has been so no longer
means that It Is righteous, or always
shnll be so. More, perhaps, tlinn ever
before, there Is a widespread feeling
that all human relations can be ltu
proved by taking thought, nnd that It
Is not becoming for tho reasoning nnl
mal to leave his destiny lnrgcly to
chanco and natural Incidence.
Prudent and orderly adjustment of
production and distribution In accord
anco with consumption Is recognized
as wise management In every business
but that of farming. Yet, I venturo
to Bay, thcro Is no other Industry In
which It Is so Important to the pub
licto tho clty-dwcllor that produc
tion should bo sure,, steady, nnd In
creasing, nnd that distribution should
be in proportion to tho need. Tho un
organized farmers naturally act blind
ly and Impulsively and, In conse
quence, surfeit nnd dearth, accompa
nied by disconcerting prlco-vurlntlons,
harass tho consumer. Ono year pota
toes rot In the fields because of excess
production, and thcro Is a scarcity of
tho things that havo been displaced
to mnko wny for tho expansion of tho
potato acreago; next year tho punish
ed farmers mass their fields on some
other crop, nnd potatoes enter the
class of luxuries; nnd so on.
Agriculture Is tho greatest and fun
damentally tho most Important of our
American Industries. The cities nre
but the branches of tho tree of na
tional Hfo, tho roots of which go deep
ly Into tho land. we all flourish or
decline with the fnrmor. So, when wo
ef tho cities read of tho present unl
vtrsal distress of tho farmers, of a
lump of six billion dollars In the farm
value of their crops In n single1 year,
Atlantic Monthly)
of their inability to meet mortgages or
to pay current bills, and how, seeking
relief from their Ills, they nre plan
ning to form pools, Innugurato farm
ers' strikes, and demand legislation
abolishing grain exchunges, private
cattle markets, and thq like, we ought
not hastily to brand them as economic
heretics and highwaymen, and hurl at
them tho charge of being seekers of
special privilege. Rather, we should
ask If their trouble Is not ours, and
sco what can bo dono to Improve the
situation, Purely from self-interest,
If for no higher motive, we should
help them. All of us want to get back
permanently to "normalcy ;" but Is It
reasonable to hope for that 'condition
unless our greatest and most basic In
dustry can bo put on a sound and solid
permanent foundation? Tho farmers
aro not entitled to special privileges;
but arc they not right lu demanding
thnt they be placed on nn equal foot
ing with the buyers of tholr products
and with other Industries?
II
Let us, then, consider some of the
farmer's grievances, nnd see how far
they nro real. In doing so, we should
rcmomber that, while there have been,
nnd still nre, Instances of purposeful
abuse, tho subject should not be ap
proached with any general Imputation
to existing distributive agencies of de
liberately Intcntlonnl oppression, but
rather with tho conception that the
marketing of fnrm products has not
been modernized. j
An ancient evil, and a persistent
one, Is the undergradlng of farm prod
ucts, with tho result that what tho
farmers sell as of one quality Is re
sold ns of u higher. That this sort of
ehlcnncry should persist on any Im
portant scale In these days of busi
ness Integrity would seem almost In
credible, but there Is much evidence
thnt It does so persist. Even as I
write, the newspapers announce the
suspension of" several firms from the
Now York Produce. Exchnnge for ex
porting to Germany as No. 2 wheat a
Whole shipload of grossly Inferior wheat
mixed with oats, chaff .and the like.
Another evil Is thnt of Inaccurate
weighing of farm products, which, it
Is charged, Is sometimes u matter of
dishonest Intention and sometimes of
protective policy on the part of tho
local buyer, who fenrs that ho may
"weigh out" more than he "weighs In."
A greater grlevnnco Ib that nt pres
ent the Held farmer has little or no
control over the tlmo nnd 'conditions
of marketing his products, with the
result that he Is often underpaid for
his products and usually overcharged
for marketing service. The differ
ence bctwoon what tho farmer re
ceives and what tho consumer pays
often exceeds all possibility of Justi
fication. To cite a single Illustration.
Last year, according to figures attest
ed by tho railways and tho growers,
Georgia watermelon-raisers received
on tho nverago 7.5 cents for a melon,
tho railroads got 12.7 cents for carry
ing It to Baltimore and the consumer
paid ono dollar, leaving 70,8 cents for
tho service of murketlng and Its risks,
as against 20.2 cents for growing und
transporting. Tho hard annals of
farm-llfo nro rcpleto with such com
mentaries on tho crudeness of pres
ent practices.
Nature prescribes that tho farmer's
"floods" must bo finished within two
or three months of the year, while
flnanclnl and storago limitations gen
erally compel him to sell them nt the
same tlmo. As n rule, other Industries
are In a continuous process of finish
ing goods for tho markets; they dis
tribute ns they produce, and they can
curtail production without too great
Injury to themselves or tho commu
nity; but If tho farmer restricts his
output, it is with disastrous conse
quences, both to himself and to the
community.
The nverngo farmer Is busy with
production for tho major part of tho
year, and hns nothing to sell. The
bulk of his output comes on the mar
ket at once. Decnuso of lack of stor
ago facilities and of flnanclnl support,
tho farmer cannot carry his goods
through tho yenr and dispose of them
ns they aro currently needed. In the
great majority of cases, farmers havo
to entrust Btorngo In warehouses nnd
elevators and the financial carrying
or tneir products to others.
Farm products are genorally mar
ketcd at a tlmo when there Is a con
gestlon of both transportation nnd
e i .
iiuuui-a wiica cars ana money are
Bcarce. The outcome, In many in
stances, Is that tho farmers not only
sell under pressure, and therofore at
a dlsndvantnge, but nro compelled to
take further reductions in net 'returns.
In order to meet tho charges for the
service of storing, transporting, financ
ing, and ultimate marketing which
charges they claim, are often exces
slve, bear heavily on both consumer
and producer, nnd are under the con
trol of thoso performlns tho services,
It Ic truo thnt they nro relieved of
the risks of n changing market by
selling at once out they are qulto will
Ing to tnke the unfavorable chance,
if the favorable ono nlso Is theirs and
they can rctnln for themselves a part
of the service charges that are unl- I
form, In good jenrs and bad, with
high prices and low.
While, In the main, the farmer must
sell, regardless of market conditions, '
at the time of the maturity of crops, '
he cannot suspend productlou In toto.
lie must go on producing if tin Is to go
on living, ana If tho world is to exist
The most he can do is to curtail pro
duction a llttlo or alter Its form, and
that because' he Is In the dark as to :
tho probable demand for his goods I
may be only to Jump from the frying
pan Into tho fire, taking the consumer
with him.
Even tho dnlry farmers, whose out
put Is not sensonnl, complain that they
fQid themselves at a disadvantage In
the marketing of their productions,
especially raw milk, because of the
high costs of distribution, which they
must ultimately bear.
in
Now thnt tho farmers are stirring,
thinking, and uniting as never before
to crndlcato theso" Inequalities, they
are subjected to stern economic lec
tures, and are met with the accusation
that they are demanding, and nro tho
recipients of, spcclnl privileges. Let
us see what privileges the government
has conferred on tho fanners. Much
hns been mndo of Section 0 of the
Clayton Anti-Trust Act, which pur
ported to permit thorn to comblno with
Immunity, under certain conditions.
Admitting that, nominally, this ex
emption was In the nnture of a special
privilege, though I think It vas bo In
nppenrnnce rather than In fact, wo
find that the courts have nullified It
by Judicial Interpretation. Why should
not the farmers be permitted to ac
complish by co-operative methods what
other businesses nre already doing by
co-operation In the form of Incorpora
tion? If It be proper for men to form,
by fusion of existing corporations or
otherwise, a corporation that controls
tho entire production of n commodity,
or a large part of It, why Is It not
proper for n group of farmers to unite
for the marketing of their common
products, either In ono or in several
selling agencies? Why should It be
right for a hundred thousand corporate
shareholders to direct 25 or 80 or 40
per cent of an Industry, nnd wrong for
a hundred thousand co-operative
farmers to control a no larger propor
tion of the wheat crop, or cotton, or
nny other product?
The Department of Agriculture Ib
often spoken of ns a special concession
to the farmers, but In Its commercial
results, It Is 'of as much benefit to the
buyers nnd consumers of agricultural
products as to the producers, or even
more. I do not suppose that anyond
opposes the benefits that the farmers
derive from the educational and re
search work of the department, or the
help that It gives them In working out
Improved cultural methods and prac
tices, In developing better yielding va
rieties through breeding and selection.
In introducing new varieties from re
mote parts of the world nnd adapting
them to our climate and economic con
dition, nnd In devising practical mens
ures for the elimination or control of
dnnKcrous and destructive animal and
plnnt diseases, Insect pests, and the
like. All theso things manifestly tend
to stimulate nnd enlarge production,
and their general beneficial effects are
obvious.
It is complained that, whereas the
law restricts Federal Reserve banks
to three months' tlmo for commercial
paper, the farmer Is allowed six
months on his 'notes. This is not a
special privilege, but merely such a
recognition of business conditions, as
makes It possible for country banks
to do business with country people.
The crop farmer has only one turn
over a yenr, while tho merchant nnd
manufacturer hnve many. Incidental
ly, I note that the Federal Reserve
Board has Just authorized tno fed
eral Reserve banks to discount export
paper for a period of six months, to
conform to the nature of the busi
ness. The Farm Loan bnnks nro pointed
to ns an Instance of speclnl govern
ment favor for farmers. Aro they not
rather tho outcorao of laudable efforts
to equalize rural and urban condi
tions? And nbout nil the government
does there Is to help set up an ad
mlnlstrntlve organization nnd lend a
llttlo- credit at tho Btart. Eventually
the farmers will provldo all tho capl
tal and carry all tho liabilities them
selves. It Is truo that Farm Loan
bonds are tax exempt; but so are
bonds of municipal light and traction
plants, and new housing Is to be ox
empt from taxation, In New York, for
ten years.
On the other hand, the farmer reads
of plans for municipal hot;lng proj
ects that run Into the billions, of hun
dreds of millions annually spent on
tho merchant marine; he rends that
the railways aro being' favored with
Increased rates and virtual guaranties
of onrnlngs by tho government, with
the result to him nt an 'ncrenscd toll
on nil that ho sells and all that ho
liuys. no hears of many manifesta
tions of governmental concern for par
tlculnr Industries and Interests. Res
cuing tho railways from insolvency la
undoubtedly for tho benefit of the
country ns a whole, but what can be
of more general benefit thnn encour
agement of nmplo production of the
principal necessaries of Ufo nnd their
even flow from contented producers to
satisfied consumers'?
Whllo It may be conceded that
spcclnl governmental aid may be nec
essary In tho goncrnl interest, wo must
all ngrco thnt It Is difficult to see why
agriculture and tho production and dls
trlbutlon of farm products are not ac
corded the snmo opportunities that are
provided for other businesses; espe
cially as the enjoyment by the farmer
of such opportunities would appear to
be oven mora contributory to the gen
eral good than In tho case of other
Industries. The spirit of American
democracy Is unalterably opposed,
alike to enacted spcclnl privilege and
to the special privilege of unequal op
portunity that' arises automatically
from the failure to correct glaring
economic Inequalities. I am opposed
to tho Injection of government Into
business, but I do believe thnt It Is an !
essentlnl function of democratic gov
ernment to equalize opportunity so
fnr as It Is within Its power to do so,
whether by the repeal of archaic
statutes or the ennctment of modern
ones. If the anti-trust laws keep the
farmers from cndenvorlng scientifically
,to Integrate their Industry while other
industries find a way to meet modern
conditions without violating such Btnt
otes, then It would seem reasonable
to find a way for the farmers to meet
them under the same conditions. The
law should operate equally in fact. Re
pairing the economic structure on one
side Is no Injustice to the other side,
which Is In good repair.
We have traveled a long way from
the old conception of government as
merely n defensive and policing ngency ;
and regulntlve, corrective, or equaliz
ing legislation, which apparently Is of
a special nature, Is often of the most
general beneficial consequences. Even
the First Congress passed a tariff act
,that was avowedly for the protection
of manufacturers; but a protective
tariff always hns been defended ns a
means of promoting the general good
through n particular approach ; and
the stntute books, nre filled with acts
for the benefit of shipping, commerce,
nnd labor.
IV
Now, whnt is the farmer asking?
Without trying to catnlogue the re
medial measures that hnve been sug
gested in his behnlf, the principal pro
posals that benr directly on the Im
provement of his distributing and mar
keting relations may be summarized as
follows:
First J storage warehouses for cot
ton, wool, nnd tobneco, nnd elevators
for grain, of sufficient capacity to meet
the maximum demand on them nt the
peak of the mnrketlng period. The
fanner thinks that either private capi
tal must furnish these facilities, or the
state must erect nnd own the eleva
tors nnd warehouses.
Second: weighing and grading of
agricultural products, and certification
thereof, to be dnn by Impartial and
disinterested public Inspectors (this Is
already accomplished to some extent
by the federal Shenslng of weighers
and graders), to eliminate underpay
ing, overcharging, nnd unfnlr grading,
and to facilitate the utilization of the
stored products ns the basis of credit.
Third : n cortnlnry of credit sufficient
to ennble the mnrketlng of products
In nn orderly manner.
Fourth: the Department of Agricul
ture should collect, tabulate, summa
rize, and regulnrly und frequently pub
lish and distribute tp the fnrnifr.s. full
Information from' all the markets of
the world, so that they shall be ns well
Informed of their selling position ns
buyers now nre of their buying posi
tion. Fifth: freedom to Integrate the busi
ness of agriculture by means of con
solidated selling ngencfes, co-ordinating
nnd co-operating In such wny as to
put the farmer on an equal footing
with the lnrge buyers of his products,
and with commercial relations In other
Industries.
When a business requires specialized
talent, It hns to buy It. So will the
farmers ; and perhaps the best way for
them to get It would be to utilize some
of the present machinery of the lnrg
est established agencies dealing In
farm products. Of coursej if he wishes,
the farmer may go further and engage
In flour-mllllng nnd other manufactures
of food products. In my opinion,
however, he would be wise to stop
short of that. Public Interest may be
opposed to nil groat Integrations; but,
In Justice, should they be forbidden to
the farmer and permitted to others?
The corporate form of association can
not now be wholly adapted to his ob
jects and conditions. The looser co
operative form seems more generally
suitable. Therefore, he wishes to be
free, If he finds it desirable nnd feas
ible, to resort to co-operation with his
fellows nnd neighbors, without run-
'( nlng afoul of the law. To urgo thnt
tho farmers should have the same lib
erty to consolidate and co-ordinate
their peculiar economic functions,
which other Industries In their fields
enjoy, Is not, however, to concede that
any business Integration should have
legislative sanction to exercise monop
olistic power. Tho American people
are as firmly opposed to Industrial ns
to political autocracy, whether at
tempted by rm.M'or by urban Industry.
For inr-k of united effort the fnrmers
as a wind am itlll mnrkflng their
crops hy -d metlioi' r by no
method they n. t oiyuled
by n hUHifiess world thai ius liven
modernized to tho last minute nnd Is
tirelessly striving for efficiency. Tills
efficiency Is duo In large mensuro to
big business, to united business, to In
legratcd business. The farmers now
seek the benefits of such largeness, un
Ion and Integration.
The American farmer Is a modern of
the moderns In the use of labor saving
machinery, and he has made vast
strides In recent years In scientific
tillage and efficient farm management,
but as a business In contact with other
businesses nglrculturo la a "ono horse
shay" in competition with high power
automobiles. Tho American farmer is
the grcntest and most Intractable of
Individualists, While industrial pro
duction and all phases of the huge com
mercial mechanism and Us myriad ac
cessories have articulated and co-ordi
nated themselves all tho way from nat
urnl raw materials to retail sales, the
business of agriculture has gone on In
much the one man fashion of the back
woods of the first part of tho nine
teenth century, when the farmer was
self sufficient and did m,t depend upon,
or enro very much, what the great
world was doing. The result Is that
the agricultural group Is almost as
much at a disadvantage In dealing with
other economic groups as the Jny farm
er of the funny pnges In the hands of
sleek urban confidence men, who sell
him acreage in Central Park or the
Chicago city hall. The leaders of the
farmers thoroughly understand this,
and they are Intelligently Btrlvlng to
Integrate their Industry so thnt It will
be on an cqunl footing with other busi
nesses. As nn cxnmplo of Integration, take
the steel Industry, In which tho model
Is the United Stntes Steel Corporation,
with its Iron mines. Its coal mines, Its
lake nnd rail transportation, Its ocean
vessels, Its by-product coke ovens, Its
blnst furnaces, Its open hearth und
Bessemer furnaces, Its rolling mills, Its
tube mills and other mnnufacturlng
processes thnt are carried to the high
est degree of finished production com
pntlble with the large trade It ha
built up, All this Is generally conced
ed to be to tho ad vantage of the con
sumer. Nor does the steel corporation
Inconsiderately dump Its products on
the market. On the contrary, It so
acts that It Is frequently a stabilizing
Influence, ns Is often the case with oth
er large organizations. It Is master of
Its distribution ns well as of Its pro
duction. If prices nre not satisfactory
the products are held back or produc
tion Is reduced or suspended. It Is not
compelled to send a year's work to the
market nt one time nnd take whatever
It can get under such circumstances.
It has one selling policy nnd its own
export department. Neither nre the
grades and qualities of steel determin
ed nt tho caprice of the buyer, nor does
the latter hold tho scales. In this sin
gle Integration of the steel corporation
Is represented nbout 40 per cent of the
steel production -of Amerlcn. The rest
Is mostly In the hnnds of n few large
companies. In ordinary times the
steel corporation, by exnmple, stabilizes
nil steel prices. If this Is permissible
(It Is even desirable, because stable
and fair prices are essential to solid
and continued prosperity) why would
It bo wrong for the furmers to utilize
central agencies thnt would have simi
lar effects on ngrlculturnl products?
Something like that Is what they are
aiming at.
Some farmers favored by regional
compactness and contiguity, such ns the
cltrus-frult-rnlsers of California, al
ready have found n wny legally to
merge and sell their products Inte
grally nnd In accordance with seasonal
and local demand, thus Improving
their position nnd rendering the con
sumer n reliable sendee of ensured
quality, certain supply, and reasonable
and relatively steady prices. They
have not found It necessary to resort
to any special privilege, or to claim
any exemption under the anti-trust
legislation of the stnte or nation. With-,
out removing local control, they have
built up a very efficient marketing
agency. The grain, cotton, nnd to
bacco farmers, and tho producers of
hides and wool, because of their num
bers nnd tlie vnstness of their regions,
and for other reasons, have found
Integration a more difficult task;
though there are now some thousands
of farmer's co-operative elevators,
warehouses, creameries, and other en
terprises of one sort and another, with
a turn-over of n billion dollers n year.
They nre giving the fnrmers business
experience nnd training, and, so far
as they go, they meet the need of
honest weighing nnd fair grading; but
they do not meet the requirements of
rationally ndjusted marketing In any
largo nnd fundamental way.
The next step, which will bo a pat
tern for other groups, is now being
prepared by tho grain-raisers through
the establishment of snles media which
shall handle grain separately or col
lectively, ns the Individual farmer may
elect. It Is this step the plan of the
Committee of Soventeen which has
created so much opposition and Is
thought by some to be In conflict with
the nntl-trust laws. Though there Is
now before congress a measure de
signed to clear up doubt on this point,
the grain-producers nre not relying on
any Immunity from anti-trust legisla
tion. They desire, and they nre en
titled, to co-ordlnnte tholr efforts Just
as effectively as tho large business In
terests of tho country have done. In
connection with tho selling organiza
tions tho United States Grain Growers
Incorporated Is drafting a scheme of
financing Instrumentalities and auxili
ary agencies which are Indispensable
to tho successful utilization of modern
business methods.
It Is essential that the far.uers
should proceed gradually with these
plans, nnd alm to nvold tho error of
scrapping the existing mnrketlng ma
chinery, which has been so laboriously
built up by long experience, before
they hnve a tried and proved substi
tute or -'Momentary ii'-linnlsm,
The.v in" ' ''fill m"' -no
ennii'suci, own m
lose the perspective of tin.. .iu.-e In
the national system. They must ynnrd
against fanatical devotion to new doc
trines, and should seek) articulation
with the general economic system
rather than Its reckless destruction as
It relates to them.
To tako a tolerant and. sympathetic
view of tho farmers' strivings for bet
ter things Is not to give a blanket
endorsement to nny specific plan, and
still less to npplnud the vagaries of
somo of their leaders nnd groups.
Neither should we, on tho other hnnd,
allow tho froth of bitter notation,
false economics, nnd mistaken radical
ism to conceal the facts of the farm
ers' disadvantages, nnd the practicabil
ity of eliminating them by well-con-sldercd
measures. It may bo thnt the
farmers will not show the business
sagacity nnd develop the wlso leader
ship to carry through sound plans ; but
that possibility does not Justify the
obstruction of their upward efforts.
We, ns city people, see In high nnd
speculatively manipulated prices,
spoilage, waste, scarcity, the results
of defective distribution of farm prod
ucts. Should It not occur to us that
we havo a common Interest with the
farmer In his attempts to attain n de
greo of efllclencj In distribution cor
responding to his efficiency In produc
tion? Do not the recent fluctuations
In the May wheat option, apparently
unrelated to normal Interaction of
supply and demand, offer a timely
proof of the need of somo such stabil
izing ngency ns the grain growers have
In contemplation?
It Is contended thnt, If their pro
posed organizations bo perfected nnd
operated, the farmers will havo in
their hands nn Instrument that will be
capable of dangerous abuse. We nro
told thnt It (will bo possible to pervert
It to nrbltrnry and oppressive prlce
flxlng from Its legitimate use of order
ing nnd stabilizing the flow of farm
products to the market, to tho mutual
benefit of producer nnd' consumer. I
have no apprehensions on this point.
In the first place, a loose organiza
tion, such ns nny union of fanners
must be at best, ennnot bo so nrbi
trarlly and promptly controlled ns a
grent corporation. Tho one' Is n lum
bering democracy and the other an nglle
autocracy. In the second place, with
all possible power of organization, the
fnrmers cannot succeed to nny great
extent, or for nny considerable length,
of time, In fixing prices. The great
law of supply nnd demnnd works In
various nnd surprising ways, to the
undoing of tho best laid plans that
attempt to foil it. In the third plnce,
their power will avail the farmers
nothing if it be abused. In our time
and country power Is of vnluo to its
possessor only so long as It is not
abused. It Is fair to say that I have
seen no sighs In responsible quarters
of n disposition to dlr-tutc prices.
There seems, on the contrary, to bo ii
commonly beneflclnl purpose to realize
a stability that will givi an orderly
nnd nbundant flow of farm proddcts
to tho consumer and ensure rcnsonable
and dependable returns to the pro
ducer. In view of the supreme Importance
(o the national well-being of a pros
perous and contented ngrlculturnl pop
ulntlon, we should be prepared to go
a long wny in assisting the fnrmers to
get nn equitable share of the wealth
they produce, through the Inaugura
tion of reforms that will procure a
continuous and Increasing stream of
farm products. They nre far from get
ting a fair share now. Considering
his capital nnd the long hours of Inbor
put In by the average farmer nnd his
family, lie Is remunerated less than
any other occupational class, with the
possible exception of teachers, rell
"glous nnd lay. Though wo know that
the present general distress of the
farmers. Is exceptional nnd Is linked
with the Inevitable economic readjust
ment following the war, It must be
remembered that, although represent
ing one-third of the Industrial product
nnd hnlf the total population of the
nation, the rural communities ordi
narily enjoy but n fifth to a quarter of
the net annual natlonaf gain. Notwith
standing the tnste of prosperity that
the furmers had during the wnr, there
Is today a lower standard of living
among the cotton fnrmers of the South
than In nny other pursuit In the country.
In conclusion, it seems to me that the
farmers are chiefly striving for a gen
erally beneficial .Integration of their
business, of the same kind nnd charac
ter that other business enjoys. If It
should be found on examination that
tho attainment of this end requires
methods different from those which
other nctlvltles have followed for the
same purpose should we not sympa
thetically consider the plea for the
right to co-operate, If only from our.
own enlightened self Interest, In ob
taining an abundant and steady flow of:
farm products?
In examining the agricultural situa
tion with n view to Its Improvement;
we shall be most helpful If we main-;
tain n detached and judicial viewpoint,,
remembering that existing wrongs may
be chiefly an accident of unsymmetri
cal economic growth Instead of a cren
tlon of malevolent design and conspira
cy. Wo Amerlcnns nro prone, ns Pro
fessor David Friday well Bays In his
admirable book, "Profits, Wages and
Prices," to seek a "criminal Intent be
hind every difficult nnd undesirable eco
nomic situation." I can positively as
sort from my contnet with men of
large affairs, Including bankers, that,
as n whole, they are endeavoring to
fulfill as they see them the obligations
that go with their power. Preoccupied
with the grave problems and heavy
tasks of their own Immediate affairs,
they have not turned their thoughtful
personnl attention or thetr construc
tive iV" " the deflclenc'" of ngrl
eulT" -i '" orgnnl:-.ii' Airrl-
OU.I Ji'l' ' r
their ' if m -""I
tlinn fro i ,i..-po?f-.i .n..-;n.
by them. Tliey ought now l. '.f,u, t,
respond to tho fnrmors' difficulties,
which they must realize aro their own.
On the other hand, my contacts with
the farmers have filled mo with respect
for them for their sanity, their pa
tience, their balance. Within the last
year, and particularly at n meeting
called by the Kansas State Board of
Agriculture and nt another culled by
the Committee of Seventeen, I have
met many of the lenders of the new
farm movement, nnd I testify In all
sincerity thnt they nre endeavoring to
deal with their problems, not ns pro
moters of a narrow class Interest, not
as exploiters of the hapless consumer,
not ns merciless monopolists, but as
honest ment bent on the Improvement
of tho common weal. j
Wo can nnd must meet such men
and such a cause half way. Their
business Is our business tho nation's
business.
i,
i
