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their farms and property in ever-increasing numbers. While we believe that eventually property will be restored to its normal value, we do not believe that the men who are engaged in the agricultural pursuit should be compelled to lose their homes and all their belongings while we all are waiting for better times. We do not know of any remedy that would restore the valuation of farm property and restore confidence in the country as would the lowering of the rate of interest on farm property.

The feature that we are interested in, in Minnesota, more than anything else is the feature of lower interest rates on farm mortgages, and we believe that the conclusion is not only justified, but it is inevitable, that when the purchasing power of the farmer is cut down to slightly over 52 per cent of what it was in 1914, while the fixed expenditures, such as taxes, and especially interest, have remained the same, the farmer is forced to draw on his savings and on the banks and on the storekeepers; and we know from our actual investigation in the State of Minnesota that those are the facts and that slowly but surely what little money the farmer had in 1920 has been decreasing. He has been living off whatever mortgages he could make on his personal property, whatever mortgages he could increase on his real estate, and whatever money he could borrow from the bank and whatever money he could go into debt for with his merchant. We honestly believe that the only direct solution would be a reduction of the interest rate coupled with an amortization feature such as is provided for in this bili.

We have had experience with the amortization feature ourselves, and we believe that that is one type of mortgage that is beneficial to the farmer. We consider that in the light of our own experience it is a very sound and practicable feature.

I thank you gentlemen very much for the time that you have given me.

(Whereupon, at 10.30 o'clock a. m., the subcommittee adjourned subject to call.)

APPENDIX

Telegram received by Hon. William Lemke, author of the farmers' farm relief bill:

"Thirty North Dakota official newspapers report a total of 91 pages delinquent tax sales for 1931. Twenty-four counties report 21,438 foreclosures, 854 redemptions, 10 years only. Five treasurers report payments (tax) vary 40 to 80 per cent.

“W. E. MATTHAEI, Attorney at law, Fessenden, N. Dak."

Tabulation, by individual counties, of mortgage foreclosures, North Dakota

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Notice of tax sales of land for delinquent taxes for the year 1930.-Sale to be

held December, 1931

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