52 MASS. EXPERIMENT STATION BULLETIN 315 



increasingly effective as the temperature increased, while the suspended sulfurs 

 such as colloidal and wettable sulfur were more active at 60°. 



Pyrethrum extracts showed a very decided decrease in effectiveness as the 

 temperature was increased and although the concentrate contained approx- 

 imately 2.15 percent pyrethrins the resulting kill of red spider was surprisingly 

 low. 



Extracts of derris containing about 1 percent rotenone showed a definite in- 

 crease in effectiveness at the higher temperatures and when diluted 1-200 gave 

 excellent control of red spider. Combinations of pyrethrum and derris reflected 

 the influence of the derris by producing an excellent control with increased effective- 

 ness at 70° and 80°F. 



Additional studies showed that apparently the water miscible solvent used 

 with pyrethrum and derris extracts, either alone or in combination, influenced the 

 effectiveness. In preliminary experiments extracts in camphor oil, acetone, and 

 alcohol were most effective in the order named. 



DEPARTMENT OF FARM MANAGEMENT 

 R. L. Mighell in Charge 



Bank Service Charges and National Recovery Policy. (R. L. Mighell and R. 

 H. Barrett.) A stormy chapter in NRA history was terminated on November 

 28, 1934, when Article VIII containing the rules governing fair trade practices 

 was deleted from the Bankers' Code of Fair Competition by official amendment. 

 This marked the end of a year-long controversy over bank service charges and 

 definitely removed the NRA from the field of price-fixing for bank services. 

 Article VIII had provided that clearing house associations should adopt, subject 

 to the approval of the Administrator, rules fixing uniform service charges "whereby 

 services rendered by banks shall be compensated for either by adequate balances 

 carried or by a scale of charges." 



The Banking Code Committee of the American Bankers' Association originally 

 set January 1, 1934, as the effective date for such uniform schedules of charges 

 throughout the nation, and in December 1933 preliminary announcements of the 

 new charges were sent to customers by some banks in Massachusetts and else- 

 where. 



An early part of this study consisted in a rapid examination of the schedules of 

 charges thus announced. This analysis indicated that such a program if permitted 

 to become universal might have dangerous deflationary effects. The increased 

 charges particularly on small accounts seemed likely to lead to many withdrawals, 

 increased hoarding, and possible credit contraction. 



Careful statements of the proposed charges and their probable effects were 

 prepared and sent to the Banking Code Committee, the National Recovery 

 Administrator, and the Secretary of the Treasury with the request that the effec- 

 tive date for these charges be postponed until the matter could be studied more 

 fully. As a consequence of these statements and protests from other sections 

 of the country, the National Recovery Administrator did postpone the effective 

 date. It was later decided that local clearing house schedules should be sub- 

 mitted individually for approval. A large number of these had been pending for 

 some time before the recent deletion of Article VIII. 



During the year many individual banks and clearing house associations adopted 

 service charges on their own initiative as in the past. Apparently this process 



