AGRICULTURAL RELIEF

05

Mr. KinotieLoE. For a 12-month period. Now, supposing you
are in and want out of it—that is carrying the point a little further
‘han Mr. Fort—then the cooperative can sell any time he wants to.

Mr. BLEDSOE. Yes.

A" KincHELOE. They don’t have to consult the board about that
L.EDSOE. No, sir——
~ELOE (interposing). On what do you base these figures?

Ma. 'psoE. Those figures are based on the experience of 20
years, showing just what has happened on the market.

Ar. K-~cHELOE. Then, you would have to be bound by what is in
there?

Mr. BLepsoe. All insurance is based on statistical information.

Mr. KixcHELoE. And they would be controlled by that machinery?

Mr. BLepsok. That is, the rate given on the trend of the market
for the average price during the delivery season would not be more
than the average price for the whole year.

Mr. KincueLoE. And vou would be willing to trust the board to
handle that for you?

Mr. BLEDSOE. Yes.

Mr. KincHELOE. But you are not willing to trust the board to say
when you are to sell?

Mr. BLEDsoE. I do not think the board is concerned with that.

Mr. KincueLoe. But, I think if the board assumes that responsi-
bility, that it would be very much interested in protecting the Gov-
srnment.

Mr. Brepsok. Mr. Kincheloe, to-day the price on cotton 1s so
and so. We have lost nothing. We are going to sell it, you under-
stand. You think the board then should say that our judgment is
wrong in selling it, and then it finds out that the cotton goes farther
down and maybe we have protected the board by selling it, because
no man can tell what the market is going to be.

Mr. KincHELOE. You are presuming I am talking about the matter
»f insuring this price on cotton. You are proposing here an amend-
ment to give the board power to bind this Government, if necessary,
to insure the cooperatives in cotton or any other commodity against
any loss?

Mr. BLEpsoE. Yes.

Mr. KincHELOE. And then you are willing to allow the cooperatives
to sell when they want to, without consulting the board about it;
and you are asking for another and further thing, that if you lose
the Government pays; and if you win, the cooperatives put the prof-
its in their pockets.

Mr. BLEDsoie. No; you are mistaken; you are talking about fixing
a price on cotton.  -.

Mr. KincueLoe. No, I am not talking about fixing a price on
cotton; I am talking about the import of your proposed amendment
for insurance against loss on this cotton you have to sell; and if you
have this insurance against loss and at the end of a year vou sell at
a profit, where does that mouey go?

Mr. BLEDSOE. A part of the profit is in the insurance premium.

Mr. KiNncHELOE. We have taken the chance, and you have put
that}in your pocket. This seems to me like a profit and loss propo-
sition, and vou are insured against loss, and if vou have any profit