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(1944) [MARC] Author: Gunnar Myrdal
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Full resolution (TIFF) - On this page / på denna sida - IV. Economics - 12. New Blows to Southern Agriculture During the ’Thirties: Trends and Policies - 11. Constructive Measures - 12. Farm Security Programs

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Chapter 12. New Blows to Southern Agriculture 273
have improved since 1937, however, and the gradual development of the
government credit system will give some advantages even to the Negroes,
at least in an indirect way. The direct gains, on the other hand, have been
very slight so far. Sharecroppers and share tenants can seldom use these
sources of government credit, for the lien laws, in most cases, make them
unable to present any security The Negro owners and cash renters, how-
ever, should have some theoretical chances of getting assistance through
the government credit agencies. As usual in cases when government credit
activities are based on ^‘ordinary business principles,” there are no data by
race which would allow us to present any direct evidence. But there is this
simple fact, that Negro owners and cash tenants have much smaller and
less valuable farms than have their white colleagues and cannot present as
much of any kind of security. Therefore, their share in this new govern-
ment credit must be far smaller than is the proportion of Negroes even
among the more independent Southern farmers, who are predominantly
white.
Indeed, in all probability it is even smaller than can be explained solely
on the ground of the limited resources of the Negro farmers. For the local
administration of some of the most significant credit agencies is in the
hands of credit cooperatives such as the farm loan associations for Federal
Home Loan Bank loans, and the production credit associations for produc-
tion credit loans. These associations naturally are dominated by white
farmers. We have found already® so much evidence on how white farmers
have misused administrative power given to them under other new eco-
nomic programs that we cannot believe that this case should constitute an
exception. It can almost be taken for granted that the temptation to discrim-
inate against the Negro in many cases has been too strong to resist.
12. Farm Security Programs
So far we have examined, briefly, only those farm policies which are
intended to help agriculture in general. There is, however, a special series
of programs for the little man in the farm business—the Farm Security
programs. Having observed that the major part of agricultural subsidies and
relief has not been administered according to need but has often favored
the classes in agriculture which are relatively best off, we must add that
this minor part, represented by the Farm Security Administration, has
had the function of bringing help to the neediest.
Hundreds of thousands of Southern farm families have received assist-
ance under these programs. As we shall presently show, Negroes have
receded a substantial share in the F.S.A, benefits—almost as muchy as a
matter of fact, as would correspond to their population ratio in Southern

*


See also the data on the Negro’s share in the benefits under the Farm Security program
in Section 12 of this chapter.

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