GEXERAL FARM PROGRAM 607 



Mr. Davis. I think that it is. I think that as soon as we get a sur- 

 phis that is hirger than the market will take, the price will be at the 

 support level most of the year. If you do not have available adequate 

 storage accommodations at the time of harvest the price may even 

 move considerably below the support. 



Mr. Sutton. Do you not think that we have reached the point where 

 l^rice support is going to be the floor that you can expect : is going to be 

 the price of the commodity !' 



]Mr. Davis. I think we have reached that on some of the basic com- 

 modities; yes. 



Mr. SuTTOx. And do you not think if we should come along with a 

 price-support program of 60 to 90 percent, that 60 percent is going 

 to be the price whether it is corn, cotton, wheat, or any other com- 

 modity ? 



Mr. Davis. Well, I think that is right. In that connection, I would 

 like to read a resolution that we adopted at the annual meeting, and 

 then discuss that question a little bit more in detail. Here is the reso- 

 lution : 



We urge tlaat commodity support programs be adapted to the specific needs of 

 each commodity, and that in the operations of each specific program that the 

 marketing and distribution of the product remain in the hands of the producers 

 concerned, with proper safeguards for the public interest. 



We have had a lot of discussion of that point, and very frankly 

 there is a divergence of opinion regarding support levels. The to- 

 bacco people — and you know them even better than I — are very strong 

 for a high-level support price. Tlie cotton producer 



Mr. Sutton. Well, they never had a support price, that is, \hey 

 never had to use a support price for tobacco. 



Mr. Davis. Tliey have another procedure for handling it. Xow, 

 our position on this 



Mr. Sutton. Your organization endorses the Aiken bill, does it 

 not? 



Mr. DA^^s. Yes : but we do not think that every commodity should 

 be supported at exactly the same level. The acreage of perishables 

 will adjust much more quickly to price than some of the basic com- 

 modities. There are some commodities where you get the adjustments 

 in a period of months and therefore your acreage problem is not the 

 same as you have in tobacco. 



Mr. Sutton. Let me get your individual views instead of that of 

 the organization. Using the price support as the basis for the oper- 

 ation to maintain agricultural prices, clo you not think that the farmer 

 who is entitled to get price support, is entitled to 90 percent of the 

 support price, at a time when labor is receiving an increase in wage, 

 manufacturers are making more, and did last year, more profits than 

 they ever made in their history, and big business is making more than 

 it ever made, and the laboring man is making more than he ever made, 

 do you think you can come along now and recommend that the farmers 

 take a cut ? Do you think that is treating the farmer rather badly ? 



Mr. DA^^s. I would say this, that everybody would like to see them 

 get not 90 percent, but 100 percent of parity for all of these com- 

 modities, but you have got to 



Mr. HoEVEN. Does the gentleman mean to include 90 percent of 

 parity for potatoes ? 



