Date of Award


Document Type


Degree Name

Master of Science

Degree Discipline

Agriculture Economics


Farming as a competitive business has become more and more dependent upon capital to make full use of other factors of production— land, labor, and management. The wise use of capital may result in a net return that will provide progressive improvement in the farmer's business operations and standard of living.

Most farmers borrow money at some time to buy land, machinery and equipment, pay operating costs, engage in cooperative ventures or buy consumer goods. A thorough knowledge of the role of credit is essential to a sound farm operation. Credit is "the ability to command the goods or services of another in return for a promise to pay for such goods or services at some specified time in the future."1 Information contained in this study is directed toward an understanding of credit practices used by Negro farm families of Milam County in pursuance of their farming operations and to determine the effect of these practices on farm income.

This study is limited to Negro farm families living and operating farms in Milam County. In this report, a brief description of the natural and human resources of the county is given in order to establish a brief history and background of the area covered.

It is the purpose of this study to determine the use made of credit resources im Milam County by Negro farm families in carrying outtheir farming operations and to develop an understanding of the credit policies of established credit institutions in the county regarding the type of loans available to farmers, interest rates charged, length of loans, and repayment schedules. It is further desired, that this study will determine the wisdom being employed by Negro farmers of Milam County, Texas in using agricultural credit for promoting their farming operations and the extent to additional use of the credit resources can improve the farming operations.

1 Farm Credit Administration, American Institute of Banking, New York, New York 1934, p. 402

Committee Chair/Advisor

J. M. Coruthers


Prairie View A&M College


© 2021 Prairie View A & M University

Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.

Date of Digitization


Contributing Institution

John B Coleman Library

City of Publication

Prairie View





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