The southern press., 1851-10-11

IDus IL IS seen that the per cent. increase IN
American cotton has been rapidly declining,
until We are now down to three per CEN. per
per arnum, Not 80, however, with American
nsunption-that is increased, In the same
time, more than nine per cent. per aunum. The
per cent increased production in the world, for
the last five years, is down to an average Of
! $4,000 per anuum while the per cent. in.
crease in consumption has been 8 80 100 per
annum and leaving out England, France and
the United States, the increase in the balance of
the world has been as per cent, or more than
nine per cent. per annum. This state of things
cannot continue; the rate of production must
be increased or the rate Of consumption dimin.
ished-the equilibrium will be found.
These calculations show, that the area for the
consumption of cotton goods is enlarging-that
the vast and yet unsupplied population of the
earth are rapidly maturing competition, which,
without greatly augmented supplies Of the raw
materials, will mt no distant day, be seriously
felt by the manufacturers and consumers Of Eng
land, France and the United States The com
merce Of every civilized nation is opening new
markets and enlarging old ones for our benefit
To what extent new markets already found have
been supplied compared with their wants, or
how many others are yet to be opened and sup
piled, your committee have no means Of ascer
tanning, but an inference may he drawn from
the fact that the largest five years average pro
ducton the world has yet furnished, is 1871 900
bales per nnnum That of these, England, France
and the United States require for their consump-
ton, from 100000 to 2 100000 bales leaving
not more than one-fourth of the annual product
to supply the balance of the world, with popu
lation, probably ton times as large "a their own
Under su h circumstances, Il may reasonably be
suppo Ied, that with fair average prices, markets
will be found for all the cotton which we now
have, or ever will have, the ability 10 produce.
Having now shown that there has been no
over-production In the aggregate, and that there
is no reasonable probability that there ever will
be. your committee will attempt TO show the
effects Of irregular production on prices AMI
consumption.-Here, your committee believe
may be found the source Of nearly all the nIctu.
atoms to which this great interest has been sub
jected. To illustrate the effects Of irregular
production, three simple suggestions will b.
used, remarking that extreme cases are selec' ed
and single year used to establish n principle
where, in practice, several may be required
Suppose thst the crop Of 1851, should b.
100000 bales-that 10 manufacture these
100000 900 dollars If capital must be invested
and 3 100000 operatives employed-suppose
the capital and operatives furnished the cop
manufactured. sold and consumed. Then sup
pose the year 1852 yields only 100000 biles
To manufacture these, only two.thirds Of these
operatives are necessary. What is TO become
ofthe other one.third OF zach! To retain their
position short time is resorted 10, and this, IL IL
found, staryes tho operatives and destroys the
dividend on the capital. Then fine NUMBER
only are spun these are found 10 be nsaleable,
and give an unhealthy character TO the manufac
turing business. There palliative fail, ms they
always must, and tie equilibrium is reso-ted by
driving out one-thrd Of the capital and labor.
to seek employmentin other pursuits promising
more stability.
Then suppose the year 1853 furnishes another
crop Of 100000 bales. What is 10 be done
with IL! The capital remaining is only sufficient
10 manufacture 100000, and without manu-.
featuring. IL cannot be consumed. The result
is inevitable-the crop sells for trae and, al
the close Of the year, there is a surplus Of
100000 bales In excess Of the usual supply,
and this, perhaps, 10 be increased by good crop
in 1854.
Under suoh circumstances, spectators seeing
no prospect of Improvement, withdraw from the
market-the manufacturer is left without com.
petition, and Axes the price to suit himself-the
planter becomes discouraged, and forces his
the general cry, that the production is immea.
surably in advance Of the consumption--vies
with the manufacturer in fixing the impression
and making il universal, that large supplies and
low prices are inevitable for all time TO come.
This impression being fixed, capital flows in
rapidly new factories go up in all directions, old
ones are enlarged and improved. trade in Man.
chester becomes healthy, new and extensive
markets are found for the consumption Of cot.
ton goods, and in few years, TO the utter aston.
ishmsnt Of all the word, It is found that the
picture has been reversed--that an unprece.
dented increase in the consumption has taken
place--the surplus all gone-prices move up.
ward--a short crop Is made, and capital IL
again driven out, TO be invited back, by the
same process, after another long period Of de.
precision in prices.
These, your committee believe, are the nat.
ural results Of irregular production, and we're il
possible 10 obtain such concert of action among
planters as would reduce the annual crop one.
half, the same principles would govern, and the
same results he obtained ultimately
| lift be true, as your committee have supposed,
(and as careful examination Of the production,
4 M ot;o, .,1 atock ran,a;n:,, = k.uJ r..