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have been engaged in devising well-considered road systems and in 

 making surveys, plans, and specifications. The task will be one of 

 selection and those roads should be designated for improvement 

 which are of the greatest economic importance, with due regard to 

 such military and other needs as are proper for consideration. There 

 is no necessity for any departure from this scheme. The suggestions 

 made have been canvassed with the President, the Secretary of 

 War, and the Postmaster-General, and they are in accord with the 

 view that additional funds should be made available to this Depart- 

 ment and that they should be expended through existing machinery. 



PERSONAL CREDIT UNIONS. 



Another task remaining in the field of finance is to provide a proper 

 system of personal credit unions, especially for the benefit of indi- 

 viduals whose financial circumstances and scale of operations make 

 it difficult for them to secure accommodations through ordinary 

 channels. I am not oblivious to the fact that banks now make short 

 term loans of a great aggregate value to farmers possessing commer- 

 cial credit, but there are those who can not easily avail themselves 

 of the facilities they offer. This would appear to be a matter primarily 

 for state consideration and state action. Such course has been 

 approved by many of the best economists and seems to have been 

 that sanctioned by the Joint Committee of Congress. The Depart- 

 ment has formulated a tentative model law for personal credit unions 

 and is ready to place itself at the service of any state which is ready 

 to undertake legislation in this field. A number of states already 

 have adopted laws for personal credits. In most cases, however, the 

 associations formed under them are composed of urban workers. 

 The North Carolina law apparently has had more fruitful results in 

 respect to rural associations. This is due, in no small measure, to 

 the provision made for educational activity. 



The foundation for effective work in this field is the promotion of 

 cooperative associations among farmers in general — associations of 

 people who have a very definite difficulty to overcome. This Depart- 

 ment has labored steadily to advance this movement and will continue 

 its efforts to the limit of its powers and available funds. 



LAND SETTLEMENT. 



I have already directed attention to a phase of the problem of 

 land settlement. I have pointed out that we are still, in a measure, 

 pioneering the country and that we shall be called upon to take care 

 of many more millions of people. Of course, we cannot induce people 

 to stay in the country districts or to take up farming unless we make 

 rural life profitable, healthful, and attractive. Farmers can not 



