‘AGRICULTURAL RELIEF

Mr. BLeEpsoE. Why, who are we getting the cotton from? You
cet it from the noncooperator. SE .

Mr. Fort. Are you not then going to have this dip in the price
at the harvest period? i

Mr. BLepsoE. Then you will run into a loss.

Mr. Fort. Aren’t you going to have a margin there, under your
equalization fee proposal? |

Mr. BLEDsoE. But, who are you going to buy the cotton from,

ie farmer? .
‘“r. Fort. Yes.
BLEDsok. Yes, the farmer.
i. Foar. And under either proposal, you are going to buy this
sotton to support your market.

v.r. BLEDSOE. Yes.

Mr. Fort. And in either case aren’t you going to buy it from the
same farmer?

Mr. BLEpsoE. Yes; and that is the thing——

Mr. Fort (interposing). And then, who is to make the profit?

Mr. BLeEpsok. That 1s the thing 1 want to set up, a device here
that will allow the grower to carry his own surplus and get the benefit.

Mr. Fort. They will do it in either case.

Mr. Brepsok. No; I don’t think so. |

Mr. Fort. But your corporation, whether it be established under
the Haugen bill with the equalization fee, or whether it be established
by legislation for loans of working capital, in either case it is going
to buy cotton?

Mr. BLEDSOE. Yes.

Mr. Fort. And in either case it is going to buy from the same
seller, the farmer?

Mr. BLEDSOE. Sure, the farmer.

Mr. Fort. Yes, the farmer in either case. And if it makes money
under either combination, it makes it at the expense of the same
seller, the farmer, doesn’t it?

Mr. BLepsoEr. Yes; if you make money.

Mr. Fort. Then, under either plan you are making money at
the expense of the same man?

Mr. BLepsok. That is why we want the farmer to carry his own
surplus.

Mr. Fort. At his own place?

Mr. BLepsor. Through his cooperative. Therefore, what I am
here for is to present a plan that will produce a financial condition
that will allow that general cooperation, and in that way the surplus
will be handled to the advantage of all of us. Under this arrangement,
you understand, a certain situation would exist that would have a
tendency to break the general trend in the market. For the last
thir ty Joars—sng you must remember this—all prices are based on

e exchange, and under this combination you propose you would not
have any exchange on which to base prices.

Mr. Forr. Wouldn't that be true either way, whether your cor-
poration was being operated on money through the equalization fee
ar otherwise; if it is true in one case, it is true in the other.

Ir LEDSOE. Well, it looks like it would be.
eo Foun So that in your view either proposition eliminates the