GENERAL FARAI PROGRAM 159 



rely mainly upon production payments. Then a little later you say 

 that in addition to production payments you rely upon du-ect 

 Government purchase. 



I got the very definite impression from that — I am glad to know 

 that I mismiderstood your statement — that nonstorables were to be 

 excluded, or at least largely excluded, imder your recommendations, 

 from price support. 



Secretary Brannan. You were taking the definition of price support 

 to mean only loans and purchase agreements. There are many other 

 devices for price supports. They are now on the statute books. 

 Price support does not just mean loans and purchase agreements. 

 That is the area of difference in our thinking here. 



If you interpret price supports to be exclusively the standard loan 

 and the standard purchase agreement, then you must say what you 

 have just said. However, there are many devices for price support 

 and we are trying to suggest some of them. 



Senator Holland. Mr. Chairman, perhaps one question might 

 clarify this matter. 



I understand, Mr. Secretary, that in the efTort to support the price 

 of perishable, nonstorable commodities, you have two principal sug- 

 gestions. One is production payments, and the other is direct purchase. 



Secretary Brannan. Yes; those are the ones we rely on, mainly. 



Senator Holland. And will you be prepared to discuss those in 

 detail when we have a meeting of the Senate committee? 



Secretary Brannan. I will and I am so prepared now. 



Chairman Thomas. Senator Aiken, do you have any questions to 

 submit? 



Senator Aiken. No, Senator Thomas: I think the Members of the 

 Senate are playing truant right now, and I have no cjuestions at this 

 time. 



Chairman Thomas. Senator Young? 



Senator Young. Yes; I would like to ask one or two questions, 

 Mr. Secretary. 



Is it proposed to have the same price support level whether the 

 farmer is under acreage controls and quotas, or whether he is not? 

 The same price support level would prevail in both instances? 



Secretary Brannan. In the group 1 commodities, I would say that 

 would generally be the rule. 



Senator Young. And your limit of support is the production of a 

 farmer which would apply whether or not there was a scarcity of food 

 or an abundance, or a surplus? He would still be limited in the 

 support level afforded him under this program? 



Secretaiy Brannan. No; in order to encourage production you 

 might well raise the support level on any one of the commodities 



Senator Young. I do not think you quite understood my question. 

 There is a limitation on the production on each family-size farm, as to 

 which a farmer might receive price supports. Would that be the same 

 whether there was a scarcity or an abundance? 



Secretary Brannan. Whether there was a national scarcity or 

 abundance? 



Senator Young. Yes. 



Secretary Brannan. Yes; I would say it would. 



Senator Young. For instance, as I gather, if a farmer was strictly a 

 wheat farmer and raised nothing else, his level of production at which 



