The Robesonian. [volume] (Lumberton, N.C.) 1870-current, 1909-01-14
A COMMON ECONOMIC Err
ROR.
Reasons Why the Advance
System" is a Mistake Both on
the Part of the Merchant and
the Farmer.
To the Editor of The Robesonian:

the Part of the Merchant and
the Farmer.
To the Editor of The Robesonian:
For many years it has been the
custom of Southern farmers to
make their crop upon the "ad-
vance system" and while this has
been regarded as an economic er-
ror on the side of the farmer, by
many merchants 1t has been
thought that it was a very pro-
fitable way of buying cotton.
The farmer realized that as a
matter of safety it was better to
make the food consumed by his
family and his stock upon the
farm rather than to purchase it
and especially when he had to
promise payment out of a crop
which had not as yet been made. |
have been, watching this phase Of
country life in the South for many
years and have come to the con-
clusion that the advance sys-
tenn" is just as great a mistake
on the part of the merchant as
it is on the part of the farmer,
for the following reasons:
First, the merchant takes great
risks, which, of course, he tries
to cover by increased charges.
But even though these charges
are increased, the staples of life
are not such articles as a high
percentage of profit will adhere
to, and the merchant is practic-
ally trading gold for a promise to
pay. If the crop fails, he is
obliged to carry and carry and
carry and possibly may ultimate
ly, as in thousands of cases, be
obliged to take the farm, fol
which he has no use, and under
boil weevil conditions is difficult
to handle profitably upon a ten
ant system.
Under a cash system there viii
be great reduction in the sales
of some staple foods such as ba.
con, potatoes, beans, lard, vege.
tables, canned goods, hay, corn,
etc., all articles that carry low
profits. The farmer is rarely {
hoarder of money and if he saves
two hundred dollars or more BY
producing all his food supplies a
home he has that much more tx
spend when MS crop is made, anC
it is cash.
Under a cash system the farm
err will buy with his surplus more
dry goods, clothing, shoes, furn
iture, etc., for his family, bette
teams, farm implements, wag
ons, buggies, etc., on which there
is a much greater profit for the
merchant than on staple article:
of food. The merchant can turf
his money in thirty days, insteat
of a year. Ten per cent clea
profit turned monthly is better
than 12O per cent gain received
annually. Some of the farmer
increased income goes into per
manent improvement to enabl
the farmer to produce more an
spend more annually.
Again, there is something
about raising cotton, tobacco
etc., to pay a debt, that saps tn
vitality of the farmer and affect
the quality of his tillage. It real
ly lowers the grade of farming
If upon the other hand the mel
chants will join with US in urg
ing farmers to raise all their foo
J supplies and try to produce b
better tillage double the crop pc
acre they now produce, the re
suit as it affects the merchar
will be this:
All business will soon be on
cash basis and the volume wi
8 be three or four times as larg
5 from the farmers alone. The az
9 vent of more money will brin
8 diversified industries among Il
. farmers and eventually will a
D tract manufactures to the mark,
towns.
u If there are idle farms in tt
s county, instead Of calling NEE
g ings for the purpose of raisir
e funds to secure immigration, c;
" meetings to encourage the far1
ers who know the country al
are loyal to it, to universal
adopt the following plan: Fir
provide their own food suppl
from the farm. Second, douh
. the acreage product on eve
acre under cultivation and
each worker on the farm by
O use of better teams and tools,
three times as many acres as
present, not in the one crop
in a variety of diversified a
= profitable crops. This wol
), cause an immediate demand :
more land and would provide
money to pay for it. This NAL
every man on the farm more tt
six times the industrial power
now is and gives him a love
the farm. This is better thar
leave him in encouragement :
. secure immigrants to come
IN buy him out.
nj | should not speak so positi
wv ly, only I have observed f,
quarter Of a century that WI
the Southern merchants h
changed from an advance
tenn to cash system. t