February, 1933 



T H E I. A. A. K E t O R D 



t^age Thirteen 



was bringing $1.62 in Paris, France; 

 $1.46 in Berlin, Germany; and $1.43 in 

 Milan, Italy, while at the same time in 

 the United States, in Chicago, wheat 

 was selling at 57 cents a bushel. In No- 

 vember, 1932, the average wheat price in 

 Paris was $1.19, in Berlin, $1.29 and in 

 Milan, $1.55, while in Chicago, the price 

 was 45 cents. 



"The average price for top quality 

 hogs in November, 1931, was $11.55 In 

 England, and $8.94 in Germany, com- 

 pared with $4.82 in Chicago. In Novem- 

 ber, 1932, $9.13 in England, $8.36 in Ger- 

 many, and $3.56 in Chicago. 



"These are facts. They challenge the 

 statesmanship of America. They chal- 

 lenge the farmers of America to better 

 organize for effective action. ..." 



As a way out, he suggested, (1) rais- 

 ing farm prices, by whatever means, to 

 a price level that will give them the 

 same exchange value they had in the 

 five year period immediately preceding 

 the war; (2) uniform scaling down of 

 both public and private debts; (3) 

 changes in our monetary system to give 

 us a commodity dollar. 



Outlining the principles and contents 

 of the domestic allotment plan bill, 

 termed the "National Emergency Act," 

 he said: "This legislation is directed to- 

 ward the surplus problem, but more im- 

 portant, it has for its purpose immedi- 

 ate rise in the farm income from wheat, 

 hogs, cotton, and tobacco. . . . 



"It is my opinion the most imme- 

 diate and beneficial effect that would 

 follow the enactment of such a law 

 would be to bring renewed courage and 

 hope to farm people in the feeling that 

 at last the Government is giving cou- 

 rageous attention to the justice of their 

 demands. Further this biU will provide 

 an opportunity for the development of 

 a much more effective and permanent 

 solution of our difficulties. 



"I do not underestimate the tremen- 

 dous obstacles that must be overcome 

 to achieve these ends. Not the least 

 of these spring from the deliberate 

 propaganda from hostile forces that is 

 intended to confuse the thinking of the 

 American farmers, and to drive them 

 apart — propaganda that tells consum- 

 ers in one breath that the legislation, 

 if put into operation, would cost them 

 more than one billion dollars a year; 

 that tells you in the next that the pro- 

 posed legislation would greatly reduce 

 the returns to the farmers; and that 

 tells the public that the processers 

 would be destroyed by the Act. 



"There is a contradiction here which 

 I defy even the most skilllul propa- 

 gandist to reconcile 



"It should be remembered that the 

 opposition to the emergency solution of 

 our acute problems we are now en- 

 countering emanates from the same 

 sources that have fought farmers 

 throughout the years in all efforts made 

 to secure a sound national agricultural 

 policy. It was the influence of this self- 

 same group that resulted in the weak- 

 nesses and limitations of the Agricul- 

 tural Marketing Act at the time of its 

 passage. They now attempt to place 

 responsibility for these weaknesses in 

 the Act upon the shoulders of farm 

 organizations, and they also bitterly 

 criticize the Federal Farm Board for 

 failure to secure results from the Mar- 

 keting Act when they well know it is 

 the same weaknesses and limitations 

 within the Act. for which they are re- 



sponsible, that have made it impossible 

 for the Farm Board to assist in secur- 

 ing such adequate control of crop sur- 

 pluses as is necessary to keep these 

 surpluses from depressing the price of 

 the whole crop. 



"While we carry no responsibility for 

 weaknesses in the Marketing Act, and 

 have no brief for any mistakes that 

 may have been made by the Farm 

 Board In its administration; yet it be- 

 hooves the farmers of this coimtry to 

 keep intact such provisions of the Mar- 

 keting Act as have been helpful in the 

 building of co-operative marketing in- 

 stitutions and defend the Farm Board 

 for all earnest and sincere efforts put 

 forth in administering these provisions. 



"Before passing on to other matters 

 which must be touched upon, I want 

 to drive one truth home into your 

 minds so that it wiU stick there even if 

 everything else is forgotten — farm con- 

 ditions will be improved, and farmers' 

 problems solved, if, and when, and 

 just to the extent we farmers make up 

 our minds to ignore hostile and destruc- 

 tive propaganda that is intended to di- 

 vide us, and determine that we will 

 work shoulder to shoulder, through our 

 organization, until the battle is won." 



Referring to the National Emergency 

 Act as an emergency measure only, Mr. 

 Smith urged the necessity of adjusting 

 production to the domestic market, 

 pending resumption of international 

 trade. "For my own part," he said, "I 

 would favor even more direct steps to 

 bring about the production adjustment 

 that is necessary if we are to stop creat- 

 ing and piling up farm surpluses. I 

 would at once provide for Government 

 rental of lands that must be taken tem- 

 porarily, at least, out of production, so 

 as to provide an opportunity for the 

 absorption of the present burdensome 

 surpluses. The mere announcement of 

 such a program with the conviction on 

 the part of the people, particularly 

 processors of such given commodities, 

 that substantial reductions were to be 

 made, would bring about real improve- 

 ment of price levels of these com- 

 modities. 



"I know of no governmental expendi- 

 ture of money that has been or could 

 be so effective in restoring public con- 

 fidence, in opening up new avenues for 

 purchase, in making possible the pay- 

 ment of interest upon debts, premium 

 upon insurance, the payment of store 

 bills, etc., as would be brought about by 

 such a program. All of such added in- 

 come reaching farm people would be 

 used immediately in the charmels of 

 trade, and financial economists tell us 

 that money distribution in this manner 

 would be turned over from fifteen to 

 twenty-five times within the following 

 year. 



"As a permanent solution of this 

 problem, it is my belief that Govern- 

 ment should assume leadership in the 

 development of a program designed for 

 the intelligent planning of our agricul- 

 tural production. . . . 



Economy In Government 



"For many years, the I. A. A. has oc- 

 cupied an outstanding position in urg- 

 ing a reduction in the cost of Govern- 

 ment as well as an equitable distribu- 

 tion of the necessary costs thereof. The 

 present depression has given rise to 

 many and various types of organiza- 



tions, seeking arbitrary reduction in 

 costs of government. We cannot but 

 view with regret as well as concern 

 many of the suggested programs for 

 bringing this about. The I. A. A. will go 

 as far as any group, or institution, with- 

 in the State of Illinois to secure intelli- 

 gent pruning of public services and to 

 put into effect every possible economy. 

 We are willing that services made avail- 

 able to agriculture, both in the state 

 and nation, shall be curtailed in pro- 

 portion to curtailment of services pro- 

 vided for other groups. 



"We insist, however, that some of the 

 efforts being promoted by certain busi- 

 ness groups of our cities to make radi- 

 cal reductions in appropriations for 

 agricultural projects will not be coun- 

 tenanced by the farm people of this 

 country. ... 



"In their attacks upon the extension 

 service and our experiment stations, 

 and when speaking of the tremendous 

 total appropriated for the department, 

 they leave the impression that the 

 enormous sums mentioned ($317,000,000) 

 are expended for these particular pur- 

 poses. As a matter of fact, less than 

 $15,000,000 covers the total appropria- 

 tions for all of our experimental and 

 extension work. 



"I am sure I speak the sentiments of 

 a large majority of the farmers of Illi- 

 nois in saying to those charged with 

 the direction of our national and state 

 goverimaents that our full co-operation 

 is available toward the intelligent prun- 

 ing of public appropriations for agri- 

 ciUtural purposes in full proportion to 

 economies that are put into effect in the 

 general structure of government. We 

 insist, however, that farmers be con- 

 sulted as to what portion of agricul- 

 ture's departmental program shall be 

 affected and curtailed. Farmers resent 

 efforts being made by those prompted 

 only by selfish Interests, to dictate what 

 services Goveniment can and should 

 render farm people. 



"I am firmly convinced that there 

 never was a time when thorough, con- 

 structive and militant organization of 

 farmers was more needed than now. 

 We are at the turn of the road. Either 

 agricultiu-e is going to be recognized and 

 recognized to the extent of its impor- 

 tance in our national economic life, or 

 through a continuation of belated and 

 half-way measures farmers will be per- 

 manently committed to that level on 

 which they can barely survive and con- 

 tribute necessary food and other raw 

 materials to the balance of the popula- 

 tion. 



"Only by thorough and proper or- 

 ganization can 200,000 scattered farmers 

 in Illinois, or six million farm families 

 in the United States, hope to regain 

 in whole, or in part, a fair share of the 

 national income and the distribution of 

 necessary costs of Government among 

 all the people according to their ability 

 to pay. 



"I trust every Farm Bureau member 

 attending this convention may go home 

 definitely resolved to make organization 

 his or her uppermost thought through- 

 out the coming year. More time spent 

 by farm people to secure a genuine un- 

 derstanding of their problems, and less 

 attention to the continued production 

 of burdensome surpluses, would be the 

 most profitable time that could possi- 

 bly be spent in 1933. 



"Farmers have In the past been the 

 (Continued on page 16. first column) 



