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Show f " r A New IMexico Ranchman's Heasons for Buying War Bonds by II. B. Pingrey Associate Agricultural Economist New Mexico College of Agriculture and Mechanic Arts "T AM investing in War Bonds - rather than enlarging my ranch holdings at the present time," remarked a New Mexico ranchman. "It is not a question, with me, of whether to invest, but how much to invest. Each individual indi-vidual must determine for himself the amount to invest, but as for me, all my ranch earnings, other than sufficient funds to operate the ranch next year, will be put into War Bonds." Further questioning as to reasons rea-sons why this rancher decided in favor of Bond investment brought forth these remarks: "My ranch income has htcreased materially during the past several years with the increased demand for wool, lambsj and calves for use as clothing and meat. In spite of increased costs for labor, feed, and some supplies, I have had a larger net income with which to pay off all debts and leave more for investment. Ranch lands have increased in price about one-third because of speculation. I prefer not to contribute to inflation in by investing in Bonds today. Furthermore, Fur-thermore, as the need for government govern-ment expenditure decreases after the war, I shall, with my War Bond savings, be in a financial position po-sition to create a demand for materials ma-terials and labor. "I know that at the present time, the demand for labor, materials, ma-terials, and civilian goods is greater great-er than the supply. Prices are higher than they were some five or six years ago. People in general have more money, because of fuller employment, and government govern-ment spending of money secured by borrowing on credit. My banker tells me that the inability to produce pro-duce goods in proportion to the demand, de-mand, when money is plentiful, leads to inflation, just the same as government borrowing from commercial com-mercial banks adds to the government's govern-ment's spending power and increases in-creases the threat of inflation. To offset this tendency, investment of current income by individuals and business in War Bonds tends to reduce excessive spending power in the market and frees the gov- ranch lands at the present time by buying additional range. To enlarge my ranch, at my age, would necessitate more supervi-si8n supervi-si8n and activity for me. My sons have their education to complete and perhaps active duty in the armed forces, and when they have completed these duties as American Ameri-can citizens I shall be in a position, posi-tion, by investing in Bonds now, to provide them, if they so desire, the opportunity to engage in livestock live-stock ranching. "Ranch improvements other than those for maximum livestock production are out of the picture for me, because of shortage of materials and labor. Three dollars dol-lars invested in War Bonds now, in my opinion, will after the war build lour dollars' worth of ranch improvements. I know of no other means whereby I can increase the value of a dollar by 33 percent with any greater security, than ernment from borrowing from banks. "I remember a neighbor friend of mine during the last war who expanded his business as prices rose and times were good; the depression de-pression of the early 2Q's contracted con-tracted his business to nothing as he was foreclosed on. I don't want this to happen to me and I am willing to cooperate by lend-. ing my government my surplus funds. "I came to this country from Europe as a boy of 16. My feet have trod many a weary mile herding sheep over Montana and New Mexico ranges. I served in the New Mexico National Guard in 1914 on the Mexican border. America Amer-ica had faith in me by giving me an opportunity to earn a livelihood and become an American citizen. I have sufficient faith in my country coun-try to lend it my surplus earnings in this, its hour of greatest need." U. S. Treasury Department |