Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1906-10-23

| the south should hereafter appropriate
to itself profits that have been given
up to other people.
Mr.. Hadden has drawn a familiar
picture Of the manner in which the out
side financial world has been riding the
southern cotton producer like the "old
man of the sea-" rode Sinbad the sail
or. British capitalists furnished New
York agents with money to lend to
southern merchants to advance sup
plies to southern farmers. The farmer
produced the cotton, and before 1t was
harvested, the mortgage that rested
upon 1t from the time the seed went in
to the ground, was hurrying 1t on to the
Britishers, who furnished the money
for its production.
This process which commenced with
the end of the civil war had been going
on for years and years and how long 1t
would have continued, had 1t not been
for the famous coup Of Frank b.
Hayne Of New Orleans a few years
ago, it would be impossible to say. The
Hayne incident, however, established
the truth of all that Mr.. Hadden has
to say, and proved conclusively that
the establishment of a national circu-
lation based on cotton would forever
establish the financial supremacy Of the
people of the south.
Having become thoroughly convinced
that the crop of 1S99-1900, was not
nearly sufficient to supply the demand
for that year, and convinced also that
the staple was selling for far less than
its value, Mr.. Hayne, with the assist
ance of his partner Brown, and several
other New Orleans cotton men, went to
work to make fortune for themselves
and incidentally establish a new high
level Of prices. They had calculated
the whole situation with exceeding care
and among other things had taken the
precaution far in advance to arrange
for such a supply Of money as would
be needed for their purposes. The story
Of that famous campaign Is matter OF
history. Cotton was forced up to a
point that shook the entire financial
world and as last resort both New
York and London sought to avert what
to them seemed to be the most disas-
trous consequence, the changing or
the balance of financial power to the
south, by tightening the reins on the
money market. Had Messrs. Brown
and Hayne not already taken precau-;
tions against this contingency, the last
resort Of the great financial powers,
the campaign would have been fall
ure, knowledge Of ten cents cotton
would still be confined to the older
generation, and the south not yet have
begun to emerge from the tolls Of the
money lenders of New York and Lon
don.
And here Is the point that Is so
clearly appreciated by Mr.. Hadden.
The price of cotton is controlled by the
laws of supply and demand; but 1t Is
a question Of supply and demand OF
money rather than the supply and de-
mand Of cotton. The people who con-
troll the money supply Of the world, are
the people who at last fixed the price
of cotton, and 1t is because Of this fact
that cotton for so many years sold at
less than the cost Of production.
1t is worth while to take into consid-
Grafton the financial conditions existing
at the time of the Hayne coup. Great
Britain was just emerging from her
disastrous Boer war. Her finances had
been more sorely disorganized than at
any time within the last hundred years.
She did what she could to stay the
tremendous rise forced by the New Or
leans people. even going to the extent
of shipping back to us cotton that she
had already stored in her home ware
houses. But this country was then In
a better financial condition and the
foresight of the New Orleans people
had even guarded against the unfriend-
liness Of the northern allies of Great
Britain.
1t is appreciated throughout the f.
nancial centres Of the world that If the
matter Of controlling the price Of her
own product, there will be nothing left
to the people who now rule. as If with
a rod of iron, but to take secondary
positions, and accept dictation as to
what they must pay just as the south
ern farmers have heretofore been ac-
cepting dictation as to what they must
take. .
There is no question of the practica-
bility of making cotton a basis Of cir
culation. The 100000 bales Of south
ern cotton can be made as safe and
satisfactory a basis of $500, 100000 or
500, 100000 worth Of currency as that
much gold. 1t can be made an even
better basis Of circulation than gold;
for It is a commodity of actual intrin-
sic value while gold Is nothing but a
measure Of value.
But, of course, there are difficulties
in the way. The United States gov
ernment can easily put into effect Mr..
Hadden's idea; but as to whether it can
be induced to do so is another thing.
The financial power Of New York,
Boston and other eastern cities may
feel more kindly toward the south than
1t does to London, and no doubt does;
but that power is not going to willing
ly surrender to the south any advan-
tage it is able to keep for itself.
However, the government Of the
United States Is not the south's only
hope in this matter. The New Orleans
achievement has already demonstrated
this fact The south herself has al
ready done much to secure emancipation
from the tolls of eastern and foreign
bankers, and as her people realize more
and more the tremendous possibilities
Of the monopoly that is theirs, they
will eventually find way to carry out
the Hadden suggestion regardless OF
the financial power of London, and Of
the jealous rivalry Of the big cities OF
the northeast as we'll as Of the Federal
government itself.
BRYAN planning NEW PARrY.-That
the Bryan LaFollette move to form a
naw Marty nle6ped IN Overturn trusts