Rural Credit 273 



Bankers' Association has also investigated the rural 

 credit question abroad. 



As a result of the widespread interest in the subject, 

 the credit welfare of the American farmer has suddenly 

 become a live public question. The 62d Congress author- 

 ized the President to investigate the operations of the 

 cooperative land mortgage banks and cooperative rural 

 credit unions as they relate to agriculture and rural con- 

 ditions in foreign countries. Through the diplomatic 

 officers in Europe the Department of State has been inves- 

 tigating the question, and a preliminary report has been 

 prepared by Ambassador Herrick and has been trans- 

 mitted to the governors of the states by President Taft, 

 together with his suggestions concerning the establish- 

 ment of a rural credit system in the United States. The 

 President has also invited the governors at the next 

 annual conference with him "to consider means for the 

 adoption of an agricultural credit system as a benefit to 

 the American farmer." In order that the requirements 

 of the farmer shall not be overlooked, each of the three 

 leading political parties in their platforms in 1912 recom- 

 mended an investigation of the foreign agricultural credit 

 systems so that it may be ascertained whether a rural 

 credit system may be adapted to the conditions of the 

 United States. The abundance of the interest of so many 

 agencies in the farmers' credit welfare, insures a wide 

 consideration of the relation of our banking system to the 

 needs of agriculture and in the end should result in a 

 more elastic rural financial system. 



