FARMERS: Mr. Meyer’s Plan

President Coolidge continued his innumerable conferences with almost everyone who thought he knew what was the trouble of the wheat farmer. The first signs of action on the President’s part developed. Such action is still in its initial stages.

The Program. The idea which produced the sign of action from the

White House was suggested, it is understood, by Eugene Meyer, Jr., Managing Director of the War Finance Corporation. As far as announcementsgo, it is still rather nebulous. But its main feature is the organization of cooperative societies among the farmers which, availing themselves of the credit facilities supplied by the last Congress, will undertake the orderly marketing of the wheat crop, especially abroad. Mr. Meyer studied the situation abroad some time ago and reported that whereas before the War European merchants financed wheat marketing, buying grain continuously and storing it until the consumers were ready to eat—on account of unsettled conditions abroad this is no longer the case.

Mr. Meyer would like to have American credit undertake this function at present. Just how far he would have Government agencies enter into and control this business is not evident. But apparently he believes that cooperative associations among the farmers can assume the major financial responsibility.

In order to get these cooperative associations under way Mr. Meyer and Frank W. Mondell will make a tour of the Northwest, examining conditions. They have an intimate knowledge of cooperation as practicedby tobacco, rice and cotton growers and the fruit raisers of the Pacific. They can at least explain the necessities of such plans, and may initiate the first steps.

The Men. Eugene Meyer, Jr., is a banker who during the War served as advisor to the War Industries Board and on the Council for National Defense. In April, 1919, President Wilson appointed him a Director of the War Finance Corporation. A year later he became Managing Director, and at the expiration of his four-year term in 1921, Mr. Harding reappointed him.

Frank Wheeler Mondell served for 26 years as Wyoming’s sole Congressman.He was Republican floor leader in the last two Congresses and was recently appointed a Director of the War Finance Corporation.

The Significance. In so far as Mr. Meyer’s plan, if put into practice, will make for more orderly marketing of the wheat crop and prevent dumping on markets where there is small demand, it will aid the farmer. It cannot, however, increase prices by creating a demand where there is none nor reduce the high cost of production as compared to market prices.