AGRICULTURAL RELIEF

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The outcome.—The outcome is to be an unprecedented prosperity, with every-
body delighted. In place of the existing world-wide industrial crisis and tend-
ency to a second chaos, there opens up a fairy land, the forthcoming new age of
peace and justice on earth. In biblical language, the coming of God’s kingdom
on earth. In political science, the coming of liberal government in the new age.
VIII. HisToRICAL SEQUENCE OF INDUSTRIAL DEMOCRACY

I proceed to outline the historical sequence of the coming of the above-described
industrial democracy.

A. Federal Reserve System
(See above)
B. Queensland, 1922

In the State of Queensland, Commonwealth of Australia, in 1922, the labor
government, consisting mainly of representatives of the agriculturists, started
in on a new program:

I. They abolished the senate, and they established the agricultural council,
to consist wholly of direct representatives of the agriculturists, cooperating with
parliamentary government.

2. There were started unified systems of cooperative marketing of agricultural
products (monopolies) under the joint management of direct representatives of
the agriculturists and of the minister of agriculture’s representative, for the
public’s protection.

3. Aiding in the development of improved methods are the local branches of
the cooperative associations in Queensland. In some instances an association
handles several products.

This unified cooperative marketing svstem of Queensland is highly developed
in its details, both as to the system of organization and of supervision. There
is supervision by the agriculturists’ representative and also by the Government's
representative, so as to prevent mistakes of ignorance and of avarice. One of
the outcomes is that by means of uniformity in accounting the association mem-
bers ascertain the comparative efficiency of their managers. (Queensland Stat-
utes, 1926, codifications entitled Primary Producers’ Organization; Primarv
Producers’ Pools; and see dried fruit marketing act, 1923, 1925.)

The manifest benefits to the agriculturists from this system of self-regulation
by majority rule, in connection with Government supervision, is that marketing
is done at cost, in an orderly manner, with unified price fixing by experts repre-
senting the producers, in connection with supervision by the Government's
representative. Exporting is through a single office, at reduced rates for trans-
portation because of ability to contract for the carriage of all of the crop. and
to apportion the time for deliveries.

Thus in the State of Queensland the primary producers of the main products
have shut out the wholesale business interests. The remaining business interests
are fighting as best they can the movement for eliminating useless expense, but
they are helpless in Queensland. For one thing they have named the new
system compulsory cooperative marketing. And that word compulsory is the
name that is being used abroad including the United States. But here the news
of this epoch-making event did not reach the public for nearly five years, during
which time the farmers were suffering drom dreadful losses. Not until February
1927, in the Agricultural Economic Literature, United States Department of
Agriculture, did a description appear in this country, and then as compulsory
cooperative marketing. And the next month the bulletin continued the news.
February 10, 1927, on the floor of the Congress in the closing debate in the House
on the bill for agricultural relief, Representative Haugen placed in the Record
a brief description of some of the features of the system of self-regulation and
unified cooperative marketing abroad but without any proposed change in the
bill. No change was being asked for by the farmer leaders.

During the five years that the agriculturists in the United States were com-
pletely in the dark as to the merits of this improved system, their leaders and
the progressive Senators and Congressmen were considering in session after

session, bills for agricultural relief along lines:

1. That would raise prices to consumers, and therefore has met with an effective
opposition.

2. That raised constitutional difficulties.