The Lansing state Republican. [volume] (Lansing, Mich.) 1855-1874, 1865-10-04
The High Price Of Cotton Goods.


We had d long conversation the other
DRY With an intelligent Eastern merchant
on the high prices Of cotton goods and the
probability Of their continuance: and We
made a note Of the substance Of the discus
sion, thinking II might interest many OF our
readers WHO are not familiar with mercau-
tile transactions. Our merchants, q
course, are already so conversant with
these matters that we could write nothing
10 enHghien them on their own business.
We referred 20 the belief 60 general in
the west, that, according 70 the price OF
pound Of a pound Of cotton, The east wele
constantly taking millions OF mohey night
our OF US IN the west, WHICH was 80 much
clear gain % the eastern manufacturer.
We asked him II this was not 90.
"There is no doubt OF it," be replied.
Il know exactly the amount OF cloth that
cab be made from a pound Of raw cotton.
and know the cost Of all tho processes oil
manufacturing. and can assure you that,
amer deducting wastage, you are paying al
most three prices for every yard OF cotton
cloth you nse in The west.
"But." said we. lis there any necessity
or our being aeeced in this way Do you
propose 10 continue taking these millions
out Of US always, Have we no remedy in
our poweF!"
you have no remedy at present. and
nav not have FOR some time 70 come.
These high prices follow from the regular
laws Of trade, and you must abide by them.
At the same time, the same laws Of trade
will. IN The end, bring YOU cloths As cheap
as they can possibly be made. Make the
case your own. aud you will see there IS 10
- s--.~-- ai.ouf o. Won -el cotton goods
aud have only moderate stock on hand,
expecting TO renew your stock nom the
manufactures. Your clerks pile your coun-
ter full: on these you set fair profit. But
BY noon they are all sold. Your clerks pile
no the next day, and these are all gone by
night. Your neighbors are adding i've and
ten per cent. every day or two, because
they say they cannot make their stocks
good again unless at very high figures, be-
cause there is no considerable amount OF
cotton cloth on hand, nor is there likely TO
be soon, and buyers will be entirely at the
mercy OF the manufacturers % TO future
supplies. Your correspondents abroad as
sure you these things are even so. Now,
what are you TO DO about selling ont the
stock Of goods you have on hand' VIII
you sell them 100 per cent. less than your
neighbors because you bought them low ?
You can sell out your whole stock In day
but you cannot replace them unless al
double the cost. Surely this is not the way
you do business 10 the west! When you
nave sVId uoIl va sVui ~OOi Se~. '-host
crop, aud the remainder doubles in
price. do you not therefore get all you can
for what you have not sold, We do the
same on our cotton goods.
AT the time the partial decline In the
price OF cotton goods took place last spring,
it was generally supposed that there was
considerable stock on hand. which would
grow larger as the mills were running full
hours. But the first sales at lower prices
revealed that there was no considerable
stock on hand, and could not be for some
time, and hence the Simultaneous rise and
continued high prices ever since. But
these prices. although they may last for six |
OF eight months 10 como, arc every day ap- /
preaching a downfall. Toe great fortunes
30 rapidly making stimulate each manuiac-
turer 10 strain every nerve 10 mako more
yards, inasmuch as every yard mado ana
sold at present prices adds a specific net |
sum 70 bis wealth.
But through these incessant efforts pro- |
duction viii steadily and surely. although !
perhaps slowly. gain on the consumption:
stocks on hand will accumulate, and II will
be evident 10 those who watch the market,
that there is 10 DO q decline OF prices.
Now, as q merchant, what will you dos Is
il not your interest 10 sell OF your high
priced stocks 10 just as slender an amount
as you can consistently with your business
so as 10 save yourself from loss. and re
place al lower prices' Now You tell your
clerks 70 bring out the goods, aud II they :
10 not 90 readily 10 take of i've per cent, J
and then i've more. until they will sell. And
he same process is going on q, the same /,
line IN ten thousand ether stores. And
when any considerable stock in the whole i
country shall have been gained ahead OF
be consumption, it is not probable that .
my such great scarcity will again arise, as
he additional manufacturing machinery a
low put in motion viii continue 10 run as q
ong as il can be run probably. But as ?
otion is hereafter to DO raised by free Ia =
or. and under circumstances altogether +
Iiderent from the compulsory system Of Il
lavery, and as the demand for cotton goods v
Il the South will be very large for long II
me, we can scarcely expect that the prices
VII drop as low as they were previous 10 ;,
be war" u