The Courier News from Blytheville, Arkansas on September 15, 1949 · Page 9
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The Courier News from Blytheville, Arkansas · Page 9

Blytheville, Arkansas
Issue Date:
Thursday, September 15, 1949
Page 9
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Page 9 article text (OCR)

THURSDAY, SEPTEMBER 15, 1949 Crucial Test is Approaching For farm Price Supports as Production in U. S. Increases (Editors' Note: The Agriculture Department \s at present engaged in a. vast program to support prices of farm products. In a series of three articles, the methods the department use* to support prices, the commodity on which prices are , support, and the problems created by the program will be outlined). By William Ferris CHICAGO, Sept. 14. (AP) — A crucial test is approaching for the government's farm price support program .In some commodities, the program may break down under the weight of enormous supplies, in the opinion of some trade sources. Tills Is particularly true of corn. Government support of prices started back in the administration of Herbert Hoover, the last Repub- . lican president, when efforts were ^fpde to hold up sagging wheat and cotton. -Hie quoits failed. Nertr, however, has the grovrrn- mtnl attempted to support «o many firm products—and at such hiirh relative prices, as this year. There are 19 commodities which the government must, by law. support. In addition, the government, acting through the 'Agriculture Department, may support prices of other commodities. The purpose Is to bring the prices of these other commodities into fair relationship with prices of commodities. The purpose Is to bring the prices of these other commodities Into fair relationship with prices corr.nodl- ties which must be supported. Three general methods are vised to support prices: Direct purchase, non-recourse loan* and purchase agreements. Many commodities are supported by two of the three methods. In direct purchase, the Agriculture Department simply states the price at which it will buy. It takes everything offered at that price, provided it meets quality requirements, in some cases purchases are made only from producers, but In others, such as butter, purchases •too are made from dealers in the commodity. Purchase agreements apply mainly to grains. Under them, the government agrees to purchase the ^iommodity at a later date at a spe- Vdlied price. If, before the date Is reached, the market price goes above the agreed purchase price, the producer may sell at the market. If the market price remains down, the producer lets the government buy th» commodity at its higher price. Types of Loans Vary Non-recourse loans are a popular method of price support. Farmers are granted loans at so much a bushel on their crops, putting up the crop as security. Then, if the market- prices rises to a point higher than the loan plus Interest charges, the farmer can redeem his crop and sell it on the market. If not, when the loan 'expires the producer •Imply lets the government take over the commodity. The producer pockets the loan. Loans are desirable when the producer wants money at the time he harvests a' crop. Purchase agreements are preferred when the producer does not need immediate cash. The price at which the government agrees to purchase the commodity is always the same as the price at which it will make a loan on that commodity. All supports are based on what « known as "parity". This Is a atistical figure. Parity represents what it is believed a farmer should obtain for his product if he is to i get a fair return in terms of what he can buy with his money. Each month the Agriculture Department computes the parity for all farm products. If the price of things farmers buy—tractors, cars, clothes and everything else—go up, parity will go up. if they go down, parity will go down. Parity a Flexible Figure Because it is a statistical figure, parity can be changed by using dlf- ferent v items in Its calculation. Right now. for example, the cost of farm labor is not included in computing as some congressmen propose, the parity. If it is Included next year, parity of some farm products will be raised. Prices are supported at ft per- jjlcntage of these parity figures. WVhen the original support program started on corn back In 1933. it was operated through loans at 55 per cent of parity. It was not until 1944 that the support- went to 90 per cent of parity, where It Is now. Similarly, the support price on wheat has risen. When loans wen first made In 1938, they were at 5: per cent of parity. They, too,' die not reach 90 per cent until 1W4 That's where they are now. Supports at 90 per cent of paritj were introduced during the war Originally, It was expected this re iatively high support leverwould be reduced within a couple of year' after the war. The purpose of 9( per cent supports was to enouragi big production ofr the war and post war years by giving the produce assurance of high prices. However. It Is much easier to rais the support prices than to reduce them. Congressmen from farm dls trlcts apparently do not want t< bring down prli.s supports, am neither party wants to lose the high ly important farm vote in congres slonal or presidential elections. Thus, under the present farm law moat supported commodities mm; be held m> at 90 per cent o( parity. Three Basic Groups Under the agricultural act of 1948 which Is tile one now in force, the department's support program is divided into three groups—"basic' commodities, so-called "Steagall 1 commodities and wool. The basic commodities are corn wheat, cotton, tobacco, rice am peanuts. All are supported at 9C per cent of parity with the excep tion of certain types of tobacco which have a lower support. The "Steagall" commodities are hogs, chickens of 3 1|2 pounds an over live weight, eggs, milk and its products, potatoes, turkeys, edible dry beans of certain varieties, edi ble dry peas of certain varieties soybeans for oil, flaxseed for oil American-Egyptian cotton and sweet potatoes. Hogs, chickens, eggs, milk and its products must be supported at 9C per cent of parity. The others may be supoprted at not less than 60 per cent of parity. Wool, in a classification all Its own, must be supported at the 1946 level of support. Finally, price support may be granted other commodities if the department so desires. In several cases it has so desired. The department also has been provided with funds to encourage the exporting, domestic consumption, or domestic utilization of farm commodities. Under this regulation the department has made payments to exporters, who then bougb.1 AnJerican farm commodities and sold them at a lower price In the world market. Increased Conctunpticm Sought During the 1948 fiscal year this export subsidy program was carried on for cotton, tobacco, dried fruit and dried eggs. To increase consumption, funds have been used to divert products in the language of the law, "from the normnl channels of trade and commerce". For example, In the last fiscal year, payments were made to manufacturers for using cotton In the production of insulating material. Another program, costing an insignificant sum, diverted certain varieties of surplus fresh pears from normal markets in the East and far' West to new markets in the Mid-west and South, where pear consumption is below the national average, payments were made to shippers of the pears. Potatoes acquired under the price support program were diverted by selling them at a. very low price to livestock feeders in the Mid-west. About 5,530,000 bushels were disposed of in this manner. This program was operated at a cost of $10,106,000. These diversion programs, however, are of very small Importance compared with the big Job of hold- ANDERSON COAL CO. 300SJst St. Phones 4907 3561 Collfor Your Key to Hospitality As one key differs from all others, one genuine sour mash 'wurbon fits the discriminating Uste of Kentnckians who know bourbon best. That's OLDi FITZGERALD, made and "S«l on the same old fashioned OlD ..., OlD FITZGfMM Distributed tONOB) VMJt MASH KENTUCKY STUAIOMT IQ^QM ^^ M««n Distributing Co. Rock Arkansas RIYTHEVILLE (ARK.) COURrER NEWS PAGE NINE German capital, posters and The sign above read ou! the sector ot " a moi , cor o Pea« " Not tn r !•"" ,""' ™ rm ,', 8e ' s " are P™">inc,,tly mSS«t It. ^iSi CC '-" <Ph0t ° by The Secretary of Labor would oe last to succeed to the Presidency in case of the death of the President, Vice President and other Cabinet officers ,. S " ic . e ' 87 8 'he population of the United States his increased every NOTICE OF CONFIRMATION s IN THE CHANCERY COUKT OF MISSISSIPPI COUNTY, ARKANSAS, CjIICKASAWBA OI STRICT EX PARTE Ruth Ashley, Trennle Dotson, June Martin and Virginia | Notice Is hereby given that there Has been filed in my office as clerk of the Mississippi County (Chickasawba District) Chancery Court, '• petition for the confirmation of title to the South Fifty Acres of the West Hr.U of the Northeast Quarter of Section One. Township 15 North. Range 10 East In the Chickasawba District of Mississippi Caun. ty, Arkansas, and the quieting of the "tie to the same In Ruth Ashley Trennie Dotson, <June Martin and Virginia Hem phi 11, petitioners (herein. All persons claiming said lands or my Interest therein, are hereby warned to appear In the chancery court ol the Chlckasawba District or Mississippi County, on the first day of its next regular term, and show cans.; why title to said lands should not be confirmed in s.iid Ruth Afhley, Trennle Dotson, June Martin and Virginia Hemphill. Witness my hand as clerk of the Mississippi Countj -chancery court, and the seal thereof, on tills the 24th day of August, 1S49. Hariey-Morris, Clerk 8;25.9|l-8-15 Ing up prices of basic and "Steagall" commodities, which will be outlined In tomorrow's article. NOTICE OF SAI.E OF SCHOOL BONDS Armorel School District No 9 of Mississippi County, Arkansas, hereby gives notice that It will sell to the highest bidder'for cash its proposed i.-,sue of 503,000 o! 3.35% re- fiindng pud construction school honds enter) October 1, 1949. inler- est payable a>mi-nnmialljv nncl mauirlr.B serially on February 1 of ™ch year as follows: 2000 in 1051, 1952 and 1953 2500 in 1054 to 1958, inclusive 3000 in 1953 to 1%3, inclusive 3500 in 1064 and 1955 4000 !n 1966 and 1967 4500 in 1968 5000 In 1969 and 1970 The bonds are payable in the first Instance from the proceeds of a fourteen mill building fund tax voted by the electors of the District, which will continue annually until all the bonds and Interest are paid In full. In addition they will be secured by a pledge of all other revenue that the District can legally pledge The bonds will be sold subfect to being voted at the annual school election September 27. 1049. The buyer may name the place of payment and trustee, and may have the right to convert the bonds to lower rale of interest, subject to the approval of the Commissioner of Education. The buyer will be expected to pay the expenses ol the Issue, Including the printing and trusieeing of .the boiMs and the fee o( Town-semi and Towiisend Attorneys, Little Rock, upon whose approving opinion the bonds, will bn issued. The bonds will be callable for payment prior to maturity in inverse numerical order, at part and iccrucd Interest, as follows: From surplus in the building fund, on any Interest paying date; from funds front any source, on any In- tPH'.st paying date on and after February I, 1955. The sale will be held upon avc- tion blcls at 10 o'clock a.m., on Ihc nth dnj of Sept., 1949. in the olfice of Supt of Schools In Armorel. Arkansas. Each bidder will be required to lile j certified check In the sum of $1260 on a bank that Is a member of the PDIC. payable to the District, to be kept as liquidated damages II the .bidder Is a wanted the sale of the bonds and fails to complete (he purchase Checks ol unsuccessful bidders will be returned promptly. The District reserves the- right to reject any and all bids. FVir further Information address the undersigned. GIVEN this 24 da yof August, 1949. ARMOREL SCHOOL DISTRICT NO 9 OP MISSISSIPPI COI.'NTY. ARKANSAS Hy E, IV. Hale, President and Arthur Vance, Secretary 8i25-9il-8"15 NOTICE OF SAI.E OF SCHOOL HONI1S Dell school District No. 23 ol Mississippi County. Arkansas, hereby gives notice that it will sell to (he blghcsl bidder for cash It? t>ro- iiosed Issue of $25.000 In 3 3|4% refunding and construction school bonds dated September 1, 1949, Interest payable scml-anuually, and maturing serially on December 1 ol each yir ar follows: S7000 in 1950 8500 in 1951 9509 in 1953 The bonds are payable in the firit Instance from the proceeds of a fifteen mill building fund tax voted by (he electors of the District which will continue annually until all the bonds and interest are paid In full. In addition they will be secured by a pledge of all other revenue that the District can legally pledge. The bonds will be sold subject to being i'oted at the annual school election September 27, 1949. The buyer may name the place ol payment and trustee, and may have the right to convert the bonds to a lower rate of Interact, subject to he approval of the Commissioner ol Education. The buyer will be ex- petted to pay the exjifnse.s ol the Usuc. including the minting and trusteeing ol the bonds and the lee of Towi'scnd and Tuwnsend Attorneys, Mltlf Rock. ii|xm whose approving opinion the Donets will be issued, riic bonds will bt callnnle lor payment' prior to. maturity In Inverse numerical order at par and Accrued Interest on mvy Interest paying date from funds Iron) nnj source The sale will be hold u]x>n auction bids at 10 o'clock a.m. on the 10th day 01 Sept. 1919, In the office of Supt of Schools in Dell. Arkan- sas. Eacn bidder will be required to file a cjrtillecl check In the euro ol KW on a dank that u a member ol the F'DIC, payable to the District to oe k'.-pt as llauldated damage* if ttic- is awarded the sale ot ihc bunds and falls to complete th« purchase Checks of unsuccessful bidders will be returned promptly. The District reserves the right to reject .Miy and all bids for further Information address the undersigned. CilVKN this 24 day of August, 1049 By M. R. Griffin, President and R. K. Crawford, Secretary Mri.o», ac n,i CLUB "61" Invites You to Dance to the Music of JACK KINDER r-, n /.*), And His Orchestra Friday Night-9 'til! Phone 944 for Reservations CLUB 61 Highwoy 61 North Blyfherilfe Onfy one word fits it— Y ou know how it usually is-slow and steady is the rule in automotive progress. But every now and then it happens. Alonjj comes a car that's new all over-like this onc- and headlines sing the news. Take the styling of it-fresh and smart and rcatly exciting from its non-locking bumper-guard grilles to the jet-plane look of its fenders. Take the outward size of it-handy in traffic, easy to garage, actually more room and a sweeter ride in fewer over-all inches. Step inside-and stretch yourself in the interiors ever found in a Buick Special, full twelve inches added to rear-seat hiproom. Try the power of big 110 or 120 hp high-compression hireball engines-sample the restful levclness of a ride that sets the standard for the industry. Check controls-and note really big news: TJie luxury of Dynaftow Drive*—newest, simplest and smoothest oj all modern Iratismissions-is optional equipment, available now at the lowest price level yet! rinnlly, look at the price tag. Measure its figures against others—and sec if any car, even in the lowest-price field, gives you so much of what you want for each dollar you invest. Tops in style, tops in room, tops in lift and life and traveling case, a trip to your Buick dealer will show you this is wonderful in value tool For the biggest buy of this year —and many a year to come —belter go now and get your order in! XOptirtnalat exlrafott TK\~STItlKKt Itiiiclt SPECIAL ham lln'xv Features! TRAFFIC-HANDY SiZt . MOftr HOO/M FOB THf MONIY . DYNAfLOW D»IVt opl/omil of extra cost • JCT-LINC SmfNG . NON-IOCKINO BUMPM-GUARD GKIUtS . HIGH-PMSSU«f flRltAll WIAIGHT-IIOHT tNOINt . COO. SPKIN<UHG AIL AKOVtID . LOW-P«KSUM JIKK ON SA«nr-uiDE RIMS . GR£ATW v;sjsitiry fQKt AND An IOGGAGE UDS . STIAOY-KIDING roRQUt-rutt naive . mutt MODELS WITH BODY BY flSHH LANGSTON-McWATERS BUICK Co. WALNUT & BROADWAY TELEPHONE 555

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