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King Cotton in Modern AmericaA Cultural, Political, and Economic History since 1945$
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D. Clayton Brown

Print publication date: 2010

Print ISBN-13: 9781604737981

Published to University Press of Mississippi: March 2014

DOI: 10.14325/mississippi/9781604737981.001.0001

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date: 11 December 2017

Crop Lien to Futures

Crop Lien to Futures

Financing Cotton

Chapter:
(p.270) Chapter 14 Crop Lien to Futures
Source:
King Cotton in Modern America
Author(s):

D. Clayton Brown

Publisher:
University Press of Mississippi
DOI:10.14325/mississippi/9781604737981.003.0015

This chapter discusses the development of credit for cotton farmers. Topics covered include federal credit, production credit associations, cooperatives, commercial banks, new lines of credit, and credit discrimination. Since 1945 crop financing underwent dramatic changes. The crop lien that for decades had beset small southern growers with indebtedness and perpetuated one-crop farming disappeared. Credit agencies originating in the New Deal did much to alleviate harsh credit practices. As farming became more like a commercial enterprise rather than a home-style operation based on loose and informal arrangements, the banking and financing of growing cotton operated like general business, in which formal structure had to be followed.

Keywords:   cotton farmers, cotton farming, federal credit, cotton industry, crop lien, credit discrimination

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