APPENDIX 363 



(6) Grain Exchange Facts. Two special numbers of the American Coop- 

 erative Journal, Chicago, August and September, 1915. 



(7) Weld, L. D. H. The Marketing of Farm Products. New York, 

 Macmillan, 1916. 



(8) Huebner, Grover. Agricultural Commerce. New York, Appleton, 

 1915. 



(9) Piper, C. B. Principles of the Grain Trade of Western Canada. 

 Empire Elevator Company, Winnipeg, 1915. 



(10) Usher, A. P. The History of the Grain Trade in France, 1400-1700. 

 Cambridge, Massachusetts, 1913. 



(11) Refsell, V. N. The Farmers' Elevator Movement. Journal of 

 Political Economy (Chicago), Vol. 22, pp. 872-895; 969-992. 



(12) The Saskatchewan Cooperative Elevator News. Regina (current 

 files), June, 1916. 



(13) Schelle, Gustave. Turgot et le pacte de famine. Institut de France, 

 Acad. d. sci. Mor. et polit. Seances et travaux. n. s. V, 74, pp. 189-217. 

 Paris, 1910. 



(14) Perlmann, Louis. Die bewegung der weizenpreise und ihre ursachen. 

 Munchen und Leipzig, 1914. 



(15) Kirkland, John. Three centuries of prices of wheat, flour, and bread. 

 War prices and their causes. London, 1917. 



(16) Boyle, James E. Speculation and the Chicago Board of Trade, New 

 York, Macmillan, 1920. 



(17) Taylor, Charles H. (Editor). History of the Board of Trade of the 

 City of Chicago. 3 Volumes. Chicago, Robert O. Law Company, 1917. 



(18) Grain Grading in Minnesota. Grain Growers' Guide, June 6, 1917. 



(19) Wheat Marketing Through Pacific Northwest Non-profit, Coopera- 

 tive marketing Associations (Washington, Oregon, and Idaho Wheat Growers' 

 Associations). Pamphlet (16 pages) issued by Organization Committee of 

 Wheat Growers' Associations of Pacific Northwest, Empire Building. Spokane, 

 Wash., n.d. (January, 1920?). 



APPENDIX 



Relation of Future Trading to the Financing of the Grain Trade. From 

 an article in the National Hay and Grain Reporter of May 20, 1911, by David 

 R. Forgan, President National City Bank, Chicago, Illinois. 



"Warehouse receipts for grain, or anything else that finally becomes human food, are, 

 in my opinion, the best possible collateral for bank loans. I have seen the time more than 

 once when high-class stocks and bonds, and even Government bonds, could not readily be 

 sold, but I have never seen the time, nor do I ever expect to see it, when anything that has 

 to be eaten could not be sold. The warehouse receipts, therefore, above alluded to, consti- 

 tute a collateral which is always available for the payment of debts. 



"Furthermore, if the grain or provisions represented by warehouse receipts are already 

 sold for future delivery, that fact adds a great element of strength to the loan, because there 

 is a third party obligated to take the grain at a certain time for a given price. When I lived 

 in Minneapolis I had the only unpleasant experience I have ever had in connection with the 

 elevator business. A terminal elevator concern filled its elevators with wheat, and thinking 

 that the market was likely to go up they did not hedge it by selling for future delivery. In 

 other words they speculated on their wheat. The market had a large and a sudden drop, 

 with the result that the elevator concern failed, and the bank with which I was connected 

 made a loss. The present method, therefore, of carriers of grain or provisions selling them for 

 future delivery is a highly satisfactory one to the banks whose money is loaned to the carriers. 

 The sale for future delivery is the link in the chain that makes such loans the best." 



An Argentina Need. "There is no gambling in grain in Argentina, so 

 frequently denounced in our Congress and by the public in this country. The 

 grain business in Argentina is in the hands of a trust, which pays its own price 

 as a rule for the products of the soil, exacting an enormous tolj not only on the 

 grain, but even on the bags which are furnished for transporting the gram. 



"What the Argentine producer would like to have is a great Chicago or 

 Minneapolis market where he could know just what the world thinks concern- 



