... ABOUT ECONOMIC TRENDS AFTER THE WAR 



AS farmers work around the clock, 

 with the hope of seeing an early end 

 to the war, they are also turning their 

 thoughts to some of the adjustments and 

 problems which they must meet to win 

 the peace. 



Many of these problems and consider- 

 ations were recognized in the discussions 

 at the Midwest Farm Bureau Training 

 School in Milwaukee in mid-June at- 

 tended by some 700 Farm Bureau leaders 

 from 12 midwestern states. 



One of the best summarizations of 

 what farmers are seeking was contained 

 in a resolution adopted by the group in 

 the closing sessions: 



"Farmers are now insistent and will 

 continue to be even more insistent up- 

 on the adoption of national policies 

 that are necessary to maintain the lar- 

 gest possible production and consump- 

 tion of the products of both agriculture 

 and other industry. Such mass employ- 

 ment and production of goods can only 

 be assured when the nation realizes the 

 inescapable relationship of interest be- 

 tween the farmer and the consumer — 

 the man in the country and the man in 

 the city. 



"The people of this generation have 

 witnessed a swing from monopolistic 

 practices of big business and sweat shops 

 of labor, to an ecjually, if not more seri- 

 ous abuse of power by certain leaders 

 of labor. These wide swings must be 

 stopped. Wiiat organized farmers are 

 thinking and wanting is not a return to 

 the old deal. They are becoming in- 

 creasingly alarmed over trends of the 

 new deal. What they want and are 

 going to fight for is an honest deal." 



This resolution embodies the position 

 of the Farm Bureau as expressed by Earl 

 C. Smith, president of the lAA, and 

 vice-president of the American Farm Bu- 

 reau Federation, during the conference 

 session in which the views of labor, con- 

 sumers, and agriculture were presented 

 by the representatives of the respective 

 groups. 



In this discussion Smith declared that 

 "first, and overwhelming everything else, 

 is the uncompromising desire of farm 

 people to bring this present world conflict 

 to a successful conclusion at the earliest 

 possible mornent." 



The lAA president also pointed out 

 that the long range and permanent prob- 

 lems of farmers lie in the field of taxa- 



11 



By CRESTON FOSTER 



tion and fiscal policies of government. 

 "We need," he said, "a. permanent and 

 constructive program of rural credit and 

 policies necessary to assure a reasonable 

 balance between the prices of products 

 of farmers and the products of other in- 

 dustry." 



President Edward A. O'Neal of the 

 AFBF also stressed the need for a true 

 economic balance between agriculture, 

 business and labor in his address to the 

 convention banquet. To achieve this 

 balance, President O'Neal declared that 

 it was necessary that agriculture build 

 a strong organization to have equal rep- 

 resentation with labor and industry. He 

 warned that "there are many individuals, 

 agencies, organizations and institutions 

 in this country which do not like to see 

 farm people strongly organized and 

 united for aggressive action." 



Farm Bureau leaders were in agree- 

 ment with two points made by C. E. 

 Warne, president of the Consumers 

 Union, and Walter Reuther, vice-presi- 

 dent of the CIO United Automo- 

 bile, Aircraft, and Agricultural Workers 

 Union who addressed the convention. 

 These points of agreement were the de- 

 sire for a complete military victory and 

 the need for abundant production in both 

 agriculture and industry with a high level 

 of national income in the postwar world. 



A discussion of some of the postwar 

 economic possibilities was ably handled 

 by T. K. Cowden, director of research 



for the AFBF. Said Cowden: "We got 

 the highest prices in the two years after 

 the end of the first world war and in the 

 spring of 1920 prices dropped. It is 

 probable that this experience will be re- 

 peated after this war. My opinion is 

 that general agricultural prices will not 

 stay at present levels unless the general 

 price level rises. 



"It takes more than a bill of Congress 

 to guarantee fair prices. It doesn't take 

 much to wreck a market. Look what 

 happened in eggs." 



Cowden also warned that after the 

 war we are going to have high taxes and 

 that in the search for tax sources there 

 will be pressure to increase real estate 

 taxes. 



In regard to the price of land, the 

 AFBF economist declared that the rate 

 of increase of land values is the thing 

 to watch. This rate is becoming alarm- 

 ing and the situation could become 

 dangerous. However, he added, a fav- 

 orable factor in the picture is that 

 the total indebtedness on land has de- 

 creased. If we have a repetition of the 

 land value inflation of the first world 

 war period it would make our postwar 

 problems much worse. 



During war periods, he said, the 

 prices of farm products usually in- 

 crease more rapidly than the cost of 

 things farmers buy. After wars, prices 

 of farm products drop more rapidly 

 than the prices of things the farmer 

 buys. There is nothing to prevent this 

 happening after World War II. When 

 prices of industrial products go up it is 

 hard to get them down. 



Geoiga E. Matzgar, lAA fiald cacretory. 

 discuasad "Mainlananc* of Mambarship" 



at tha Wadnasday morning aasaion oi tha 

 Midwatt coniaianca at MUwaukaa. 



L JL A. RECORD 



Some oti 



in adjustin 



cording to 



In the fi 



cent of ou 



war. Toda) 



the war efl 



more readj 



There ai 



the armed 



governmen 



every three 



able peopl( 



ferent occu. 



At the ei 



debt of 26 



war it amo 



After thi 



going back 



think of as '. 



new and 1 



added, botl 



within our 



we meet ti 



that if we ; 



tion we wil 



trade. 



Cowden 



broad faith 



in our abilii 



terials but 



better teacl 



will have u 



farm prices 



like, but SOI 



10 years frc 



have made 



Two maj 



discussed b] 



treasurer, w 



being plann 



recommends 



lizer progra 



Corbett n 



AFBF appr< 



five commo 



stock, dairy, 



tables. In 



of this proj« 



lishing natio 



the commo 



would be mi 



would serve 



directors fo 



The commit 



to the AFBl 



AFBF boarc 



speak for al 



are going to 



groups, Corl 



be logical t 



committees 



dity commit 



In regard 

 program pro 

 of the AFB 

 on the subji 

 objective of 

 dominate I 



lUlY-AUGU 



