The Federal Farm Board tried to help farmers sell their crops and keep farm prices steady. Though it was established before the Great Depression, its powers were expanded to meet the growing needs of distressed farmers.
it gave farmers a way to organize for better crop prices.
One big reason was that farmers who had to send their crops over any distance to markets had to send the crops by railroad, and railroad freight rates were so high that the railroad got all the farmers' profits. If a farmer was close to a town he could probably market some of his produce there, but farmers on the increasingly settled Great Plains, growing a single crop, like wheat, were at the mercy of the railroad. Another reason was the weather - if the weather was bad and crops were lost because of it, prices were high, but the farmers had nothing to sell. If the weather was good and the farmer grew a wonderful crop, everyone else also grew a bumper crop and prices were low.
fruit
No one was buying their crops. They had no money to buy more crops. Debt D= ---SEAN KING farms
They grew mostly cash crops.
hk
federal farm board
The National Industrial Recovery Act
Farmers overproduced farm crops.
Prices for crops decreased, and costs for farmers increased
the Agricultural Adjustment Administration
Farmers overproduced farm crops.
Farmers overproduced farm crops.
Farmers overproduced farm crops.
As farms produced more crops, prices declined..
Some farmers began destroying their crops in a desperate attempt to raise crop prices by reducing the supply.
Prices for in-demand cash crops are set in commodity markets. Therefore, small farmers relying of the crop will suffer low prices if a bumper crop is in excess elsewhere.