GENERAL FARM PROGRAM 165 



two in newspapers across the country, that the Govermnent is spend- 

 ing bilhons of consumers' dollars to maintain at high levels the prices 

 of things the consumer needs. I think we have to get away from that 

 if we expect the bulk of the people of this country to put up the money 

 we need to run om" programs as they are. 



Chau^man Cooley. Mr. Secretary, you are not advocating that the 

 Government pay a third of the Nation's milk bill? 



Secretary Brannan. No. 



Chairman Cooley. You use the 15-cent figure only for illustrative 

 purposes, as I understand yoTir statement. 



Secretary Brannan. That is right. 



Chairman Cooley. Mr. Pace desires to ask a question. 



Mr. Pace. Mr. Secretary, I have just two or three preliminary 

 questions to aid me in studying your statement overnight. You 

 understand that this committee has just finished trying to find out 

 what the Aiken bill meant, and now we must start anew in analyzing 

 your proposal. 



I noticed in the tables, Mr. Secretary, in calculating cash receipts, 

 in the table in exhibit A, you do not include the Government payments. 



Secretary Brannan. No, sir. 



Mr. Pace. I presume you do not intend to include the Government 

 payments in the estimation of cash receipts under your proposal. 



Secretary Brannan. We did not include Government payments in 

 reaching the figures between 1939 and 1948. In my opinion and in 

 order to do equity in the future when we get on to the production 

 payment type of thing we were speaking of a moment ago, we would 

 include those payments because they are cash income of the farmer. 



Mr. Pace. Do you not have to be rather definite about that., Mr. 

 Secretary, under the proposal that you make? If you did not in- 

 clude your payments, your cash receipts would gradually go down. 



Secretary Brannan. That is right. 



Mr. Pace. And you would destroy the farmers' income rather 

 than benefiting it. 



Secretary Brannan. That is exactly right. 



Mr. Pace. Do you agree, then, that these so-called production 

 payments must be taken into account if your proposal should be 

 approved in determining total cash farm receipts over the 10-year 

 moving period? 



Secretary Brannan. That is right. 



Mr. Pace. One other thing I want to get clear is this: You set up 

 a priority of commodities. There are 10 listed on page 19. As I 

 understand it, you propose to support those at 100 percent of the 

 income standard support ; is that right? 



Secretary Brannan. Yes, sir. 



Mr. Pace. They will be supported at an arbitrary 100 percent of 

 the income standard support? 



Secretary Brannan. That is right. 



Mr. Pace. And in addition to any marketing quotas or acreage 

 control or marketing agreements, you also ask for authority on those 

 to include production payments in the event you would want to break 

 down the support level to the consumer; is that right? 



Secretary Brannan. No; the first part of the statement is right, 

 the^second part of it is not. 



91215 — 49— pt. 2 3 



