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EXTENSIONS of REMARKS April 27, 1982 EXTENSIONS of REMARKS IT's TIME to ADMIT WE WERE Face up to Some Hard Facts and Completely Perity Back to American Farmers

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EXTENSIONS of REMARKS April 27, 1982 EXTENSIONS of REMARKS IT's TIME to ADMIT WE WERE Face up to Some Hard Facts and Completely Perity Back to American Farmers 7890 EXTENSIONS OF REMARKS April 27, 1982 EXTENSIONS OF REMARKS IT'S TIME TO ADMIT WE WERE face up to some hard facts and completely perity back to American farmers. It had not WRONG abandon some highly cherished and long worked <the free market>. we had a constant held beliefs: <1> That a 'free agricultural boom and bust farm economy and, begin­ market' works better than a controlled one. ning in 1921, a serious farm depression that False, <2> That we must get the government contributed heavily to dragging the entire HON. ED JONES out of agriculture. False <3> That 'market nation into the most serious depression in OF TENNESSEE oriented' philosophies must be pushed and history beginning in 1929. IN THE HOUSE OF REPRESENTATIVES that they will make things better for the For 40 years, we repeat because it is of Tuesday, April 27, 1982 farmers and for all who depend upon their enormous importance, we had 40 years of success for their own. False. <4> We're feed­ high and strong federal government farm • Mr. JONES of Tennessee. Mr. ing a hungry world. False. The vast over­ support programs from 1933 to 1973. In 1973 Speaker, I rise today to share with my whelming proportion of what we sell over­ we made a serious wrong tum. We passed a colleagues an editorial entitled "It's seas isn't going to the hungry, it's going to new farm law that forced the farmer to Time to Admit We Were Wrong" writ­ Japan, China, Russia, the Common Market depend primarily upon the free market for ten by Mr. William McNamee, publish­ nations and others with the money to pay, his profit and it was based primarily upon not the starving millions in the barrios out­ the assumption that the export market er of the Delta Farm Press of Clarks­ side of Mexico City and Caracas and Africa would provide us with some sort of OPEC dale, Miss. I request that this editorial and southeast Asia. If our nation wants to cartel on food that would allow us to dictate be printed in the RECORD but also I feed a hungry world or help on the balance prices for our farm produce, solve what few want to briefly address some of the de­ of payments or if it wants to punish Russia, problems were inherent in farming under a tails in it. let the nation as a whole as represented by government program, and allow us to grow Mr. McNamee uses his editorial the federal government share in the cost fence row to fence row on all crops as we space in the April 23 edition of the equally. Why should 800,000 farmers who saw fit. Utopia. In 1974 and 1975 our long Press to take back an editorial of 4 produce 98 percent of America's crops bear time friends and buddies the Russians the burden alone and go broke in the proc­ bought every bushel of grain we had, our years ago in which he supported the ess dragging at least 35 million other people, cotton crops were disasters and farm prices theme that the free market was the and probably the whole nation, behind shot up. It works! It works! The millennium only way to obtain prosperity for them? is here! For two years on sheer coincidences. American farmers. In his most recent The foregoing are just a few of the cur­ Since then it has been steadily down hill. editorial, he explains why he feels rently held ideas that must be abandoned. Oh sure, some people have made some that his earlier comments have been These ideas are not just held by Congress or money some years. All you have to do is proven to be wrong. by the present Administration or by the make a good crop during a year when every­ previous Administration, my friends, they body else makes a bad one. All our farmers I want to again express my own ob­ are held by many, many of YOU. They are servation of the bleak picture now know that if you're smart you know how to held by the large majority of our farm orga­ do that.... facing American agriculture. I think nizations. They are held by our "thinkers" But leaving the sarcasm of the last two Mr. McNamee's astute perception of and by our economists. Please read the fol­ sentences behind, it has now been 9 years. the situation provides important and lowing sentence carefully: We have re-passed · essentially the same meaningful recommendations pertain­ Nothing is going to get better for the farm law twice more since 1973, in 1977 and ing to a Federal agricultural policy American farmer on a permanent or de­ lately in 1981. Nine years of a disastrous test that improves both short- and long­ pendable basis until he abandons the free has surely proven to the majority of U.S. market concept and goes back to a suffi­ farmers that the free market concept term outlooks for American agricul­ ciently high federal government support ture. By having this editorial reprint­ simply doesn't work. program that will make it possible for him The nation's agriculture is hovering on ed in the RECORD, I hope it provides to be assured of a profit if he makes a good food for thought for my colleagues crop. the brink of total collapse, agribusiness will This probably will mean acreage controls go down with it, small towns, small business­ from farm areas and those from urban es, dealers, distributors, 35 million people di­ areas. It is instructive, timely, and on major crops and it will mean a greatly re­ rectly or indirectly drawing their livelihood needed. As we in the Congress grapple duced emphasis on the export market. Who cares about exports if the individual farmer from it will go with it, and perhaps, as in with economic problems, it is impor­ cannot make a profit on them? I'll tell you 1929, the whole nation. At the very least a tant that we address the serious eco­ who cares. That tiny minority of people prosperous U.S. agriculture and agribusiness nomic depression in which most farm­ who have already gotten rich beyond their would provide an increased tax base that ers find themselves. wildest dreams buying commodities from would help with the hemorrhaging budget The article follows: American farmers and selling them overseas defict. A strong, federal supported farm pro­ at a profit. It is not a high priority to these gram would probably pay rather than cost [From the Delta Farm Press, Apr. 23, 19821 and in several ways. IT'S TIME To ADMIT WE WERE WRONG middlemen that the American farmer makes a profit. It is of top priority, naturally, that Fully agreed, now and at the time, the <By Wm. S. McNamee, Publisher> they make a profit. Carter embargo was a stupid and devastat­ On page one of our issues that were dis­ Labor unions have considerable control ing mistake. So was the one applied by Ford, tributed the first of January 1978 we ran a over what they receive for the fruits of the one applied by Nixon and the one rather lengthy editorial entitled "Free their work through the power of collective threatened by Reagan that hangs over the Market, Love It Or Leave It." We will quote bargaining. Industry has considerable con­ market like a sword. But all of that and the only two paragraphs of that editorial which trol over what it receives for the fruits of its crop in Brazil and the crop in Argentina and ran to some 800 words. They are: "They labors through behind the scenes price the crop in Canada and the crop in Austra­ <American farmers> cannot do it. They fixing agreements, the ability to shut down lia and the crop in China and the manipula­ cannot buy inputs on a fixed or steadily its factories, and the ability thereby to tre­ tions of middlemen and the emergence of rising market and sell their crops on a con­ mendously reduce its cost of production. many, many strong agricultural economies tinuously fluctuating and totally undepend­ Only the farmer, we repeat, only the yet to come, and even the increase in our able world market. We need wait no longer, farmer, has no choice, and no control. own production expertise make the depend­ the handwriting is on the wall." He must continue to produce, he must pay ence of our farmers on the free market a The second paragraph, which we quote: the prices demanded for his inputs, and he bad joke. "If this only serves to pigue your interest, if then must sell for what the free and con­ We will cover now the main arguments for it flies in the face of a great deal that you stantly fluctuating market will let him have. sticking with ·the highly touted "market ori­ believe to the contrary, we will only That we should have to learn this lesson ented approach" which many do against the say.... 'Cut this editorial out and save it. all over again after having learned it in the day "when our ship will come in and we will It may look better and better.'" End quotes. hardest possible way in the Great Depres­ reach at last the pot of gold at the end of We will try again. No problem worthy of sion is mind boggling. We had nothing else the rainbow." the na.me has an obvious and easy solution.
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