176 GENERAL FARM PROGRAM 



Secretary Brannan. No. Every farm in the country is entitled 

 to support up to this hmitation, wherever the Congress shall set it. 



The biggest farm in the country, Tom Campbell's, and every other 

 big farm, will be entitled to support up to the limitation. 



Mr. Murray. I understood that he would not get any support if 

 he exceeded the amount that he was supposed to be supported on. 



Secretary Brannan. No, it does not say that at all, Mr. Murray. 

 If it does, again maybe I should get that fellow to whom Mr. Andresen 

 referred to help me write it. 



Mr. Andresen. When marketing quotas are in operation, the 

 farmer would have to comply with those regulatoins, would he not? 



Secretary Brannan. Surely. He does now, does he not? 



Mr. Andresen. He would not even get the support loan? 



Secretary Brannan. Under the existing law that is true. Under 

 the law which would go into force and effect, he could ignore the 

 decision of his fellow farmers and stUl get price support at 50 percent. 



Mr. Andresen. Then that is another change in the law that you 

 are recommending. 



Secretary Brannan. You were referring to the law that is in force 

 and effect today. I just brought in the law which goes into force 

 and effect in 1950. 



Mr. Andresen. What you said about cotton applies with equal 

 force to wheat? A farmer would be allowed to raise 14,000 bushels 

 of wheat, approximately? 



Secretary Brannan. I think it is that figure. I do not have it in 

 front of me. 



Mr. Andresen. He would only receive the support loan for the 

 14,000 bushels and the rest of it would be dumped on the market? 



Secretary Brannan. It would seek its price in the market place, 

 which is not unusual or irregular as compared with the present situa- 

 tion, because many people do not put their wheat and some of the 

 cotton growers could not put then- cotton under loan, and they 

 seek their price in the market place. 



There is no revolutionary innovation about that. 



Mr. Andresen. I am not questioning anything revolutionary about 

 it. I just want to get the facts. 



Now, all of these commodities, cotton, wheat, corn, rice tobacco 

 and peanuts, come under the regular support price program where 

 they get the support price on the first part of their production and 

 the balance of it is sold at the regular farm level? 



Secretary Brannan. That is right, unless you would have some 

 kind of an acreage limitation or marketing quota, in which event you 

 would make the appropriate adjustments between the two. Whatever 

 they might be would have to be worked out at the time the plan was 

 submitted to the farmers or submitted here in advance. 



That is one of the virtues, if I may suggest it, of the 2-year lag. 



Any program which would go into force and effect under this pro- 

 gram would have almost a year in which to be examined by the farmer, 

 by the Congress; time for the department to get ready for its adminis- 

 trative side and time for the Congress to see whether in its opinion 

 it thought equity was being done. 



Mr. Andresen. As I understand it, you have approximately 

 $3,000,000,000 tied up in the loan program. 



Secretary Brannan. That is a fair statement. 



