1298 New York State Agricultukat. Society 



which it would l)e premature at the present time to attempt to 

 develop cooperative agricultural banks, cither because present 

 banking facilities for farmers are reasonably adequate, or because 

 there is not sutficient confidence of farmers in each other to make 

 credit cooperation possible. Cooperative credit cannot be superim- 

 posed upon the country, either by the federal government or by 

 the state governments, Tt must have its beginnings and its early 

 growth — if That growth is to be vigorous — in small local banks 

 established here and there throughout the country where rural 

 credit is most needed, and where farmers have already learned 

 the lessons of cooperation through experience with other coopera- 

 tive enterprises. From these nuclei it will extend to other places. 

 Farmers should guard themselves against reiving too much on 

 the government in this matter. The federal government has 

 already performed the chief services which should be expected of 

 it in the campaign of education it has conducted. It has pub- 

 lished and scattered broadcast a mass of valuable literature show- 

 ing farmers how cooperative credit is being carried on with won- 

 derful success in Europe, From the state governments a small 

 amount of legislation will probably suffice. C^ooperative credit 

 societies are not commercial banks, and they should be freed from 

 many of the hampering provisions of commercial banking laws 

 which now apply to them. ^lassachusetts in 1909 set the other 

 states a good example in her law for cooperative credit societies. 

 A reasonable amount of government supervision, however, on the 

 part of the state banking departments seems desirable. The word 

 cooperation is derived from two Latin words: con meaning 

 " together," and operare meaning " to work." It means literally 

 " together-working," If it ever succeeds in the United States, 

 it will l)e due to the " together-working " of the farmers, rather 

 than to the overworking or the paternalism of the stat(\ The 

 inifiniive in the establishment of rural credit banks should be 

 taken ly the farmers themselves, and they should boldly assume 

 responsibility for the scheme's success. American farmers have a 

 tremendous advantage in this movement over the European 

 farmers of a half a century ago; they are much better off finan- 

 cially than were their European predecessors, and they have had 



