Mr. KiLcorg. The farmers generally, not merely the members of ~~ cooperatives, read statements of that kind, and they have been numerous. They hear the talks that have been made. vo Mr. CLarkE. Let me interrupt you right there. Whether-it be a million or a thousand farmers, this represents really a sincere effort for cooperation, don’t you think so? Mr. KiLcore. Absolutely so. Mr. CrarkEe. This Haugen bill, if put into effect, is a compulsory poel bill, is it not? Mr. KiLcore. It is a compulsory surplus pooling bill. Mr. CrarkE. Now, do you believe if all of a particular commodity were compelled to be put into or placed in a pooling proposition where it made no difference as to whether a man were in or were not in cooperatives, that it would be an inducement or encouragement or any way help the movement of cooperation? Do you believe it would? If the Haugen bill were put in effect, what inducement would there be for any man to join a cooperative, to help us along in what you believe in, and I believe in, and the members of this com- mittee believe in—cooperation? Mr. Kircore. That is a very fine question. Mr. Crarke. I am hook, line, and sinker for cooperation, and am director in a little cooperative up in our State. Mr. AsweLL. It is not a very little one. Mr. Kirncore. I think it would do this: The MeNary-Haugen bill would be compulsory pooling of the surplus. That would get that out of the way. It would leave the cooperatives in a position to orderly market the crop of its members—the portion not surplus. Mr. AsweLL. Would he not pay the fee on all of it, not only the surplus? Mr. Kircore. He would pay the fee on his entire production. Mr. AsweLL. On all he produces? Mr. KiLcore. Absolutely; every man—they all pay. Mr. CLArRkE. In addition to the fee that all in the particular commodity would pay, would not he, in addition, be also supporting his own organization and be paying a tax for the cooperative move- ment itself? Mr. KiLcore. He would be paying the operating costs. Let me get 1t clear. I believe I understand you and I believe you are going to understand me. The surplus would be pooled through the use of the equalization fee paid by all the growers, proportionately, each on his production, as I stdte in here [referring to clipping from North Carolina Cotton Grower read above]. The equalization fee is equiv- alent to every man buying back and holding his own surplus. If he produced 100 bales of cotton, and 10 bales of that is surplus, the equalization fee would either buy that back or guarantee against any loss in buying it and carrying it until it is sold. All of the growers would pay alike the equalization fee to buy and pool the surplus; and we would call that compulsory because they had to pay the fee to handle the surplus. The member and the nonmember would be on the same footing; it would be just a question whether a coopera- tive could operate in such a way as to make it advantageous for a grower to be a member of the cooperative, or whether there would be greater advantage in staying out of the cooperative. As it has been in the last few years with cotton, the advantage has been against the cooperative member and in favor of the nonmember. AGRICULTURAL RELIEF 273 Q