The progressive farmer. [volume] (Winston, N.C.) 1886-1904, 1893-12-12
OUTLOOK FOR COTTON.
Nator J. z. George Gives His Views on
the Financial Sitution.

I0 O5BdG0 SuD COuJII1lbbc0 WHICH, Is Ill
vestigating the causes of and the rem
edies for the low price of cotton, is ex
citing attention In business circles, and
the taxing Of testimony, which com
men es this IN Drning at the cotton ex
change, will be watched with lively
interest. The question involved Is one
of vast moment. Il permeates every
artery Of the commerce of the South,
and no man is better equipped to solve
it than the distinguished Senator from
Mississippi, who brings to bear upon it
a profound knowledge of the situation
from the standpoint of a political econ
omist of high attainments and from
that of a practical farmer and cotton
planter. at this time the Senator's
views as TO the Gotten Quito * and the
causes which will affect the price of the
staple this season are of peculiar value.
SHORT COTTON CROP.
Senator George, In response to the
request of representative of The Re
public, expressed himself last night in
these words:
Though I have given considerable
attention to the matter, | find there
are go many different elements in the
problem that hesitate to express an
opinion. The statistical situation Is
favorable for a considerable rise in the
present price of cotton. The stock on
hand oc Ooponaro6 vrifb tho &-0 v,~o
ceding years has been reduced 1t
seems to be conceded on all sides that
the present crop will be short one.
A very high authority, A b Shopper
son, of New York, estimates the pres
ent crop a. considerably lees than
1000 00O bales-as I recollect, about
six and three quarter millions. Mr.
Neil, of New Orleans, who is also a
high authority, estimates the crop at
about seven and three-quarter millions.
I believe that this last estimate is too
high. find that the opinion prevails
among the cotton men in ST Louis
that the crop will be about seven and
a quarter millions, and I incline to
think this is nearly right. So much
for the supply.
DEMAND EXCERDs THE SUPPLY.
Looking at the demand, l find it
very largely exceeds the supply Thos.
Ellison, of England, the highest author
ity known on cotton consumption, in
his annual report, issued last week,
estimates that the world will need for
consumption s,174, 900 bales of Ameri-
can cotton of the present crop. The
the English mills al all running They
consumed last year 600 600 bales less
than the normal quantity on account
of the strike. This deficit in the manu-
factured goods must now be supplied.
80 comparing the supply and the
demand, it appears evident that there
should be a large advance over present
prices, if there were no countervailing
causes operating to produce low prices.
THE SINGLE GOLD BASIS.
"Unfortunately there are such causes
Among them, and a very powerful one,
is the repeal of the purchasing clause
of the Sherman law. This repeal prac
tically puts the United States on
single gold basis-that is, makes gold
the only money of ultimate payment,
which means that gold has the addi-
tional burden cast on it of redeeming,
when called for, all other money-all
kinds Of paper as we'll as silver. This
new demand for gold will greatly in
tensify the scramble for gold, as Mr.
Sherman calls it, now going on in
Europe and will extend it to the United
States. As necessary result this will
increase it's value or purchasing power.
This is but another name for lower
prices for commodities, including cot
ton.
CURRENCY CONTRACTION.
Assuming the estimates of the
treasury department to be nearly cor
rect as to the per capita circulation Of
S25 in the United States, and consider
ing the normal annual increase in our
it will taken an addition of
$42, 900, 600 per Annum to keep up the
present per capita rate. Unless this is
supplied in some way we will have a
contracting currency from this time.
This will further add to the value or
power of money, and, of
course, tends to lower prices.
''The difficulty is to ascertain how far
this cause of low prices, coming from
the repeal of the Sherman Law, will
the natural tendency for a
rise in prices coming from deficiency
IN 4hn sl1nnIv of COTTON. I confess /