Evening star., 1896-08-25
KING COTTON A TEST
The Great Southern Staple Being
Anxiously Watched by Politicians.
PECULIAR CONDITIONS IN THE MARKET
A Greater Acreage This Year
Checked by a Drought.
REAS SONS FOR A RIS E

King Cotton may play an important part
in the coming election. Some of the most
enthusiastic supporters of the gold stand
ard are watching stock quotations of the
price OF cotton with the expectation that
within very few weeks the south may be
given a great object lesson on the causes
operating to affect the price of cotton,
which they believe will convince many
that the gold standard has nothing to do
with the prevailing low value Of that sta
pie. This demonstration, they believe. will
do much TO correct the influence Of the
free silver men. who have told the south
ern planters tha. only the free coinage of
silver and an expansion OF the currency
could restore old-time prices Of cotton.
During tine last three weeks the price of
cotton has been higher than during the
same period last year. This increase has
heen gradual and it is believed to be the
result of natural causes rather than mere
stock jobbing. On the I'D instant the
price of midiling uplands cotton. which is
the class generally quoted to show the
general condition Of the market. was s5s
Der pound at New York. The average
price of cotton at the same place last year
was GIG. and on the same date was less
than prevailed this year.
Effects of the Drought.
Gold standard men who are watching the
cotton quotations with great interest be-
leve that the great drought that has pre-
vailed in many parts of the south during
the last six weeks will reduce the crop far
below the amount of last year. and that
the price of cotton may go to a CORE
spondingly high point, in accordance with
the laws of supply and demand.
lf this should prove to be the case they
prices. and then to demonstrate to the
planters of the south, or at least to many
of them. that the only thing that can re-
store prices of the staple they raise will
70 diversion of crops and a smaller pro-
duction of cotton. In the south free silver
orators now are claiming that the one
cause that has reduced the price of cotton
is the gold standard, and that with silver
Its value will be doubled. This claim has
inspired many planters with renewed
thusiasm over the election of democratic
President.
Wide Influence.
If the expectations of these gold stand
ard men are realized the price of cotton
in the south will not only be used
object lesson there. but it will be applied
with similar purpose throughout the west
with the purpose of influencing the farm
ers who will be teld that supply and de-
mand regulate the price of wheat. and not
the gold or a double standard of money,
and the thing they should look forward to
would be an increa of the demand for
wheat by starting up the mills of the coun-
try So that consumption of all products
may be placed on its normal level.
supply and Demand.
Last year the idea that supply and de-
Eand was the regulator of prices was
pressed forward in the south with great
effect, and a number of meetings of plant
ers were held with the specific purpose of
securing a general movement for the cur
ta;Iment cf the cotton crop this year. 1t
was believed that this movement would
result in a material decrease in the acreage
devoted to cotton. Apparently the planters
OF the south became thoroughly imbued
with that idea and thought the year 1896
would bring especially high prices. for the
estimates now made by the Department of
Agriculture show that the cotton acreage
In the south this year is % per cent great
er than the acreage of last year. 1t is sls-
pected that so many planters thought
their fellow planters would reduce their
acreage devoted to their staple that it was
good chance for them to increase their
cIGps and coIne in on the high price.
A Natural Check.
But notwithstanding the acreage has been
increased the drought that has prevailed
over Alabama, Mississippi, Louisiana, Ar
kansas and Texas produced great damage.
SO that the statistician of the Department
of Agriculture regards SOL as showing the
average condition of the cotton crop in the
United States August l, a normal crop be-
ing designated as 100. The same condition
of drought continued to prevail until about
the 18th instant and it is thought that the
departments estimate of the crop on Sep
tember l Will show a very decided addi-
tional drop in the estimated average of the
crops condition.
Political Opinion.
When Senator Faulkner's attention was
today called to the likelihood of the price
of cotton being used as campaign argu-
ment by the gold men. he replied that he
could readily how such n rise In price
could take place in view of the incoming
of the free coinage of silver as a policy of
this government.
Representative McM:llin Of Tennessee
said he could readily answer any argument
TIE gold men might attempt TO make on
the basis of the price of cotton being CON
trolled by the supply and demand
when cotton is bought said Mr.. Nc
Millin TO a Star reporter. "there are two
sales. The producer of cotton sells his
cotton for money and the holder of money
sells his money for cotton. Now, If the
supply and demand for cotton raises or
lowers the amount of money that the cot
ton will buy, on the same principle the
amount of money will raise or lower the
amount Of cotton II will buy. If this rule
doesn't work both ways II is not a good
rule. The sale of the money for the cot
ton Is rs much a commercial transaction
and purchase as the sale of the cotton for
the money