THE American wheat program has to be considered in the settings both of the national and the international wheat situation. After the depression began in I929, world agricultural prices, unless specially protected, tended to fall faster and farther than the general wholesale price level. Despite this tendency there was comparatively little contraction in the volume of agricultural production, in contrast to the situation in the secondary industries, and stocks of nonperishable and semi-perishable agricultural commodities piled up and in themselves became a depressing influence on prices. Speaking generally, prices of agricultural export products fell below the general agricultural average and wheat prices below the average of the export group. Of all agricultural products entering world trade, wheat is the most widely produced. The total world income from wheat is probably less than that for dairy products, but wheat is more important in world trade. The total value of the world cotton trade exceeds that of wheat, but the area under cotton is more localized. A large part of the wheat trade is highly organized through speculative exchanges in which the general public is interested and this gives an added significance to the wheat situation. The wheat industry is a foundation stone of defense in post-War Europe, and of settlement in the newer overseas countries, some of which also depend partly on their wheat exports to maintain their international credit standing. It is not surprising, therefore, that since the depression, in all major wheat producing countries whether on an import or export basis, wheat farmers have sought and received government aid in some form, either as part of a general agricultural relief program or as special relief to them as wheat growers.