450 .

AGRICULTURAL RELIEF

Mr. Fort. Do you find anything in the Haugen bill that contem-
plates that use of it?

Mr. Kircore. I think the use of the surplus there in holding down
the price; that is, putting it back on the market at a price so as to
keep it within reasonable levels, would operate around the same way,
perhaps exactly the same way, under the two bills, the loan bill and
the McNary-Haugen bill, with this exception: That you would have
the ownership of the surplus in the hands of the grower under the
MecNary-Haugen plan, and therefore it would be a greater deterrent
on production than you would under the loan bill, where there was
no such ownership.

Mr. Fort. Do you feel, Doctor, however, even though he knows
the surplus has been held for him at a hundred cents on the dollar—
that price less an equilization fee; do you think he will feel—the
average farmer out in your country, back in the hills of Mississippi,
Arkansas, or South Carolina is going to feel that he owns three bales
of the surplus?

Mr. KiLcore. I think so, sir.

Mr. Fort. You do? |

Mr. Kincore. I think the farmer is the only man who has an
interest——

Mr. Fort. I did not say that. Do you think he is going to feel he
owns it after he delivers it?

5 My Krmncore. I think with proper information that will go out,

e will.

Mr. Fort. I have some faith in a lot of farmers, but I have ny
doubts as to their knowing that, after they have sold.

Mr. KiLcorg. I think they will know it; that the cooperatives,
subsidiaries, or stabilization corporations handling the surplus are
going to let the growers know they own it and that if they produce
another big crop they will have the loss on the present crop, and
the surplus both.

Mr. Kercram. If I got your statement correctly, you said this,
that you thought that the surplus that we carry over from one year
to the next might be used possibly to keep the price down in the
succeeding year. That was what you stated, was it not?

Mr. KiLGcoRE. Yes.

Mr. Kercaam. I am wondering if you have ever thought this
thing through: With the tremendous share of our population on the
other side, interested in a low price rather than a high price, have
you ever thought of the danger of this being a sort of a sword that
would cut the other way, and that it might be used by the people
on the other side who are interested from the consumers’ standpoint
on stabilizing the price at a lower level than stabilizing the price at
a higher level?

Mr. KiLeore. I take it this board is going to operate fairly toward
the consumer, and yet it is going to operate reasonably in the interest
of the producers, and that that will be used to stabilize the price as
high up as necessary to give the producer a satisfactory return. a
fair price.

Mr. Kercaam. Do you not see this danger: For instance, if you
20 out to the farmers and say, “Now, gentlemen, we are asking you
by make this sonirihgon for the purpose of stabilizing this price.”
the sural pose, > ter those men have made their contributions, that

plus would be carried over and all these penalties imposed for