1926-1935: The Decade That Tested American Agriculture

Where It All Began: The Decade That Tested American Agriculture

A Look Back as ProAg Marks 100 Years, For Generations

In 1926, America was changing fast. Cars were replacing horses, radios were bringing the world into living rooms and agriculture was already facing economic pressure that much of the country didn’t feel yet.

That same year marks the beginning of ProAg’s story. As we celebrate our 100th anniversary this year, we look back at the decades that have shaped American agriculture and the people who have worked to protect it. This is the first in a year-long series, where we will feature one decade each month, tracing how history, policy, weather and resilience are connected to farms and ranches across the country.

The decade from 1926 to 1935 would become one of the most challenging periods in American agriculture’s history. It also laid the foundation for many of the systems and safeguards that remain in place today.

ProAg Begins Its 100-Year Journey

ProAg’s story begins in 1926, in Amarillo, Texas, at a time when American agriculture was already learning how unpredictable farming could be. The company’s roots can be traced to a family crop insurance business founded that year by Jess Latham Sr., a man riding horseback who helped farmers insure their risks. His focus was clear: support farmers and ranchers with protection they could rely on, season after season.

That commitment, born a century ago, continues to guide ProAg today. What began as a family-driven effort to help agricultural producers manage risk has grown into a trusted partner for generations of policyholders and agents across the country. As ProAg celebrates its 100th anniversary this year, this milestone is not only a reflection of how far the company has come but also a signal of what lies ahead.

Agriculture is constantly evolving, and so is ProAg. With deep respect for its past and a clear focus on the future, ProAg enters its next century ready to continue protecting American agriculture, for generations to come.

What Everyday Life Cost – 1926-1935 Compared to Today’s Dollars

Life in rural America changed dramatically during this decade. The table below compares the beginning and end of the period, illustrating how prices shifted as the country transitioned from prosperity to economic hardship.

Prices fell for many goods by 1935, but purchasing power also collapsed for millions of Americans. For farmers, lower prices often meant selling more and earning less.

Presidents and National Leadership During the Decade

Three presidents led the nation between 1926 and 1935, each facing very different economic realities.

• Calvin Coolidge (1923–1929) presided over the height of the Roaring Twenties, a period of economic growth that largely bypassed agriculture.
• Herbert Hoover (1929–1933) took office just months before the stock market crash and struggled to counter the deepening Great Depression.
• Franklin D. Roosevelt (1933–1945) launched the New Deal, fundamentally reshaping the federal government’s role in agriculture and the broader economy.

Defining American Events, 1926–1935

This decade shifted from optimism to uncertainty at a historic pace.

• In the late 1920s, industrial output surged and consumer credit expanded.
• In October 1929, the stock market crash triggered a financial collapse that rippled across every sector of the economy.
• By the early 1930s, unemployment had soared, banks were failing, and rural communities were facing mounting debt.
• In 1933, Franklin D. Roosevelt’s New Deal introduced a series of sweeping reforms. Programs aimed at stabilizing banks, creating jobs and supporting farm income reshaped the relationship between farmers and the federal government.

Agriculture’s Hardest Years Arrive

While the Great Depression is often associated with 1929, American agriculture had been struggling for years. Following World War I, global demand for U.S. crops fell sharply. Prices declined throughout the 1920s, leaving farmers with high production costs and shrinking margins even during years of national prosperity.

The situation worsened dramatically in the early 1930s.

A severe drought struck the Great Plains, stripping the topsoil and triggering massive dust storms. The Dust Bowl devastated millions of acres across states like Oklahoma, Texas, Kansas and Colorado. Crops failed. Livestock suffered. Families were forced to abandon farms that had been in their families for generations.

In response, the federal government enacted the Agricultural Adjustment Act of 1933, designed to stabilize prices and support farm income. While controversial, it marked a turning point. While this act was not a crop insurance program, it did expand federal involvement in agriculture, introduced structured acreage and production reporting and helped create the yield and production data that later supported actuarial development of the crop insurance program in our next decade story. Agriculture was no longer expected to weather economic catastrophe on its own.