GENERAL FARM PROGRAM 393 



able out of the combination of the current year's production and the 

 reserve stocks. 



Secondly, we do not believe that the impounded stocks or reserves 

 of agricultural commodities should be permitted to be used in such a 

 manner as to create an artificial scarcity of the commodity so that 

 administered margins of processors and distributors could be per- 

 mitted to go beyond reasonable levels. 



We just do not think it is justifiable in anybody's language for a 

 farmer to be supported on potatoes at $1.85 a bushel and consumers 

 in Pittsburgh to have to pay $6 a bushel for potatoes. 



We do not think that is justified. We certainly think that farmers 

 do not expect it or want it and we know of no reason to believe that 

 consumers will or ought to stand for that sort of thing. 



We think that the Commodity Credit Corporation ought to have 

 the authority to move in either the event of a short crop or of un- 

 justifiably wide margins between the price to farmers and the retail 

 price to consumers through such channels as they may find or may 

 be available to them, to move stocks into consumption so as to pro- 

 tect the consumer both in his supply and as to reasonable prices in 

 relation to the prices farmers receive for their commodities. 



Mr. Chairman, that concludes the analysis of the bill. I am sure 

 that you understand that we are for a great many other things. We 

 believe, with the Secretary, that a sound soil conservation program 

 ought to be tied in with whatever program of support prices the 

 Government carries on. We think that is a national necessity. Of 

 course, we are for a health program and a housing program and we 

 are for a better credit program and education and REA and the Con- 

 gressman's RTA bill with which we are in full agreement. Lastly 

 and in conclusion, it is our judgment that unless we do enough other 

 things to maintain a high level economy with full employment, any 

 program that is adopted for agriculture will break down of its own 

 weight and we will live from one emergency to another and the Con- 

 gress will be confronted with all of the kinds of programs that they 

 may have to deal with emergency phases of a complete economic 

 collapse in this country. 



Thank you very much, Mr. Chairman. 



Mr. Pace. Mr. Talbott, I think you have made a very splendid 

 statement. 



The next witness will be Mr. Theodore Steed, who is a member 

 of the Alabama Farmers Union. 



Mr. Steed, we will be glad to hear from you at this time. 



STATEMENT OF THEODORE STEED, MEMBER OF ALABAMA 

 FARMERS UNION 



Mr. Steed. Mr. Chairman and members of the committee I ap- 

 preciate the privilege of appearing here before this committee today. 



I am not going to try to talk to this committee about theory because 

 I think you have plenty of people around here who can talk to you 

 about that. 



What I want to do is to give you a picture of some of the difficulties 

 that face family-type farmers today. I feel that I can contribute 

 something to your thinking in this respect because I am one of these 

 family-type farmers myself. 



