10 ANNUAL REPORTS OF DEPARTMENT OF AGRICULTURE. 



preceding the war. They now understand more clearly that their 

 f)^vTl future is inseparably linked up with the farmer, and that in 

 'doing what they can to help him get on his feet again they are help- 

 ing themselves as well. 



HELPFUL LEGISLATION. 



In my report of last year I called attention to certain legislation 

 recently enacted by Congress which promised to be helpful in reliev- 

 ing the agricultural depression. This promise, has been made good. 

 The activities of the War Finance Corporation undoubtedly saved 

 many thousands of farmers from bankruptcy and hundreds of banks 

 in agricultural States from passing into the hands of receivers. The 

 benefit came not alone from the more than $350,000,000 of new money 

 which was made available for agricultural purposes, but from the 

 renewed confidence which was inspired and the good effect upon 

 interest rates charged by banks and other loan agencies. The meas- 

 ures Avhicli made possible greatly increased mortgage loans on the 

 part of the farm land banks and joint-stock land banks contributed 

 materially to relieving the financial stress by making it possible for 

 thousands of farmers to refund their obligations and get them on a 

 basis of deferred payments. These measures also were influential 

 in reducing the rate of interest on mortgage loans. 



The amendment to the Federal reserve act which provides that in 

 making appointments on the Federal Reserve Board due regard shall 

 be had to securing a fair representation of the agricultural, as well 

 as the financial, industrial, and commercial interests, makes proper 

 provision that the voice of agriculture shall be heard on this powerful 

 credit agency when policies are being considered which may affect 

 agricultural credit or agricultural prices. 



The act to encourage the organization of farmers' cooperative mar- 

 keting associations by giving them proper standing under the law, 

 and thus assuring them from improper prosecution by overzealous 

 officers, has made possible and stimulated greater activity in the 

 organization of such associations. 



The packers and stockyards act, which brings all packing houses, 

 stockyards, and stockyard agencies under Government supervision, 

 gives assurance that free, open, and competitive conditions will be 

 maintained in the live-stock markets, and that farmers and stockmen 

 will be protected against unfair and improper practices, as well as 



