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The 



Dlinois A^cultural Assocktioa 



RECOI^D 



Published monthly by the Illinois A^oultural Association at 165 So, Main St., Spencer, Ind. Editorial Offices. 608 So. Dearborn St., ChioaKo, 111. 



Entered as second olaas matter at post office, Spencer, Ind.- Acceptance for mailing at special rates of postagre provided in Section 412, Act of Feb. 28, 



1925, authorized Oct, 27, 1925. Address all communications for publication to Editorial Offices, Illinois Agricultural Association Record, 608 So, 

 Dearborn St., Chicago, 



Number 8 



AUGUST, 1932 



Volume 10 



Still Hope for Hisher Prices 



A Review of the Fight for Emergency Legislation Made by the Illinois 

 Agricultural Association in the Last Congress 



' t;:v 



HOPE and belief that the in- 

 sistent demand of organized 

 Illinois farmers that something be 

 done to restore farm price levels to 

 a reasonable basis may yet be an- 

 swered were expressed by President 

 Earl C. Smith on his return from 

 Washington as Congress adjourned. 



While the Rainey-Norbeck bill 

 was defeated, Mr. Smith pointed 

 to the little understood provision 

 in the general relief bill now en- 

 acted into law which has "far- 

 reaching possibilities, through loans 

 for the sale of accumulated and 

 recurring farm crop surpluses, in 

 bringing about an early upturn in 

 farm prices." 



Before leaving 

 Chicago to spend a 

 week at his home in 

 Pike county to give 

 attention to per- 

 sonal affairs, Mr. 

 Smith addressed a 

 letter to Hon. Ar- 

 thur M. Hyde, Sec- 

 retary of Agriculture, 

 urging that efforts 

 to make effective 

 the provisions of the 

 act be immediately 

 inaugurated. 



This letter is of 

 such importance 

 that it is reproduced 

 in full on this page. 



prices was the accumulation of farm 

 crop surpluses in the United States. 

 "When we arrived at Washington 

 the first of May we recognized that 

 the end of the present Congress 

 was fast approaching," said Mr. 

 Smith. "Up to that time very little 

 serious consideration had been 

 given by the Congress to the con- 

 dition of agriculture. Its delibera- 

 tions had been confined almost en- 

 tirely to the relief of banks, rail- 

 roads, insurance comp£(.nies and 

 other large corporations. There had 

 been almost a total failure to give 

 the farmer any consideration al- 

 though half the population of the 



v Began in May 



The determined 

 fight made by the 

 Illinois Agricultural 

 Association under 

 the leadership of 

 Mr. Smith to compel 

 Congress to give 

 some attention to 

 the immediate 

 plight of agriculture 

 began early in May. 

 It was recognized at 

 the outset that the 

 chief obstacle to an 

 early rise in farm 



LiKTTICa TO SECKKTARY HYDE 



Hon. Arthur M. Hyde, ;-',;■•• j; 



Secretary of Agriculture, ;''.:■• ■• 



Washington, D. C. - •:,.■:■ 



Dear Mr. Hyde: 



Before leaving for home, where I expect to remain for about 

 ten days in semi-retirement, at least, I am taking the liberty 

 of addressing a few lines to you relative to the farm situation 

 as I see it. 



It is my most sincere conviction that everything possible 

 should be done, and done immediately, to take full advantage 

 of authorizations contained in the recent amendnxent to the Re- 

 construction Finance Corporation Act relative to the disposal of 

 surpluses of agricultural commodities. I feel sure that paragraph 

 (c), (d) and the last sentence of paragraph (f), taken together 

 and properly Interpreted, make it possible to dispose of not only 

 accumulated, but recurring surpluses of agricultural commodities. 

 I am equally sure that the disposal of these surpluses and public 

 knowledge of such accomplishments should result in the im- 

 mediate improvement of price levels of farm commodities. 



I have personally witnessed great encouragement on the part 

 of livestock farmers as a result of the recent improve- 

 ment in hog and cattle prices. If these increases can be main- 

 tained with ppssibly some further improvement in hog prices, and 

 in addition, if there could be secured substantial improvement in 

 the price of wheat and corn, the reaction of farmers would be 

 manifest throughout the business structure of the middle-west 

 and should react to the betterment of all lines of industry. 



While I am keenly disappointed in the failure of the emer- 

 gency legislation, such as contained in the Norbeck-Rainey 

 measures; yet, I am hopeful that if energetically and courageously 

 administered and every effort put forth immediately to do so, the 

 authorizations contained in the above referred to amendment 

 should, in a large measure, result in what was hoped for in the 

 more definite price-rfiising bill. 



I, of course, recognize that the provisions authorizing the dis- 

 posal of surpluses are very much more simple from an adminis- 

 trative viewpoint; and in making the above request for im- 

 mediate action, I want to assure you of my willingness and de- 

 sire to co-operate In every possible way to bring about proper 

 results, and also the full co-operation of not only the institution, 

 but the people whom I have the honor to represent. 



Again assuring you of my continued high personal regards, 

 I beg to remain. 



Sincerely yoxirs, 



v:' , .'.- ILLINOIS AGRICULTURAL ASSOCIATION. 



./'•N''^^^:.;, ■;/,■''.:•■"; .■:'■-;:■';■'.■";■.' /■>■ (Signed) Earl C. Smith, President. 



country is directly dependent upon 

 agriculture," continued Mr. Smith. 

 The relief bill amending Recon- 

 struction Finance Corporation Act 

 then pending disclosed practically 

 nothing for the relief of the agri- 

 cultural industry. Therefore an ef- 

 fort was made immediately to place 

 in this measure some provision for 

 the disposal of farm crop surpluses. 

 An interview with Congressman 

 Henry T, Rainey of Illinois, major- 

 ity leader of the House and ranking 

 member of the powerful Ways and 

 Means Committee, resulted in 

 President Smith securing a hearing 

 before this Committee then con- 

 sidering the relief 

 bill. 



On May 31 Mr. 

 Smith made his first 

 appearance before 

 the Ways and 

 Means Committee in 

 which he urged that 

 a provision be placed 

 in the measure 

 authorizing and di- 

 recting the Recon- 

 struction Finance 

 Corporation to fi- 

 nance the disposal 

 of farm crop sur- 

 pluses so as to re- 

 move their continu- 

 ing depressing effect 

 on farm prices. 



In his testimony, 

 all of which was re- 

 produced in the 

 Congressional R e c- 

 ord, Mr, Smith in- 

 sisted that the first 

 essential in getting 

 the country back on 

 the road to prosper- 

 ity was to take such 

 action as would im- 

 mediately result in 

 raising farm price 

 levels so as to re- 

 store farm buying 



(Continued on next 

 page) 



