Jefferson jimplecute. (Jefferson, Tex.) 1907-1926, 1912-11-28

.
raiIux Certainly cotton contract y
soii ana Bousat many ,im~s-~omsurnss
for speculation ana s3messmss for
hedge. but ev~sy contract ever writ's"
~ slse New oyieAAe and New YORK cot
ton sxcha ness 10 finally i!auidstsd by the
production Of the actual cotton. You. hhs
others, have had the irresponsible AND
gambling bucket shop mixed up with INC
legitimate exchange million bales may
be bought or sold on the bucket saop.
but a. their transactions are never re-
corded on the exchange they never sHect
the price. and like all other gambling
houses they have been swept out OF eN-
istcnce. There IL wide distinction be
tween gambling and legitimate specuia-
ton. Suppose one OF your merchants
here buys a car load OF -four from a Mis-
souri, mil to be delivered next August
The wheat Is not yet planted, The mill
er upon receipt Of the order Immediately
buys that amount of wheat futures on
hts nearest grain exchange to underwrite
his deal Wheat may go up or II may
go down, but the miller Is protected
Now what kind of a law would you can
II that would prevent the miller from pro-
tecting himself. or further, what Kind OF
a law would you call 1t that would pre-
vent the merchant from selling his order
for the carload Of flour, either at a proht
or a loss7 Either would be legitimate
and is done every day. Cotton tTansac-
lions are just the same. Future deanhg
Is only quick and convenient method
of expressing values on paper ana these
paper contracts call for the cotton Just
the same as a solvent mans check calls
for money at the bank.
Would you discontinue the use OF
checks FOR the reason that checks are
paper and not money? Think OF the
hardship the country would suffer by
such an obsolete method.
Some men say we never had the ex-
changes after the war. II is true. and
a han,
as now. We Travelled by wagon then.
by rail now. Who. then. would return
TO the OK wagon?
My observation Is that nobody Is call
Ing for this legislation. except the man
who does not know what he Is talking
about, though l grant that a great many
well meaning. though mis-informed. men
have the bucket shop confused with tho
object Of all cotton traffic is to dspress
the price OF cotton. These really believe
that the passage OF such laws would
bring relief
Tho passage Of such laws would limit
the cotton traffic to few men OF great
wealth. and a cotton trust would at once
be formed to exploit the cotton farmer.
Just take notice that no trusts have ever
been formed In cotton and grain as In
oil. steel, tobacco, sugar leather etc.
II these laws are passed you Will see
cotton at once fall to the level OF these
commodities, and II will no longer be
the money item that It Is now, 1t viii
then require ten times the banking cap
ital to move II as Is now required.
Pass such laws and they will make
Liverpool the dominating market OF the
world, and we win then have to sell our
cotton at prices fixed by Liverpool and
ready to spin 1t. With the hedge pre-
rogative abolished, we will have no means
OF making a market
u 1t not amazing that the friends OF
cotton propose to KIN the American bull
when they cannot reach the European
bear, and rob the South at the same
time OF the quickest method of turning
IT'S hsscy staple into golden coin7 I
undertake to say that we shall have very
much less resistance to a panic. because
the principal avenue by which to draw
gold from Europe will be blocked.
want to see our lawmakers and cross
roads demagogues and politicians rebuk-
ed till they will let the cotton business
alone and undertake some reforms of the
tariff and public expenses that will really
tinkering with what they know nothing
about In an effort to fulfil their prom
ises that they and other demago
have harrangued the people into exact
Ing. and which are not what cotton plant
ers and the friends OF cotton want
Merely as test of their sincerity,
why have not some of them insisted on
the government forcing New York and
New Orleans alike to adopt the grades
Or Is II because such men as Lewis Par
ker and other spinners and enemies o.
high priced cotton would be satisfied with
nothing short of a complete destruction
Of the American cotton markets. which
the aforesaid bills would virtually ac-
complish?
Now. gentlemen, in all candor, have |
not presented this matter, to you in
way you have never heard before7
Voices. Yes, you have told US things
we did not know.D
:, NOW let us get together and reason
this matter out The New York and
tablished and are largely controlled to-
gay by southern men. many of whom are
large cotton planters. and I have never
IN my lie seen so many members OF
the New York cotton exchange bulIish
on cotton. Are we ready to destroy the
finest creation OF the ablest minds after
a century OF work without Offering OF
creating any substitute? Why have not
some OF our statesmen seen the wisdom
OF reforms like the adoption of govern
ment standards of grading as | have al
ready suggested? IL you see this speech
printed, and 1t win be printed cut II
out and send it to your congressman
with the request that he reform, and not
tear down, the present method of cot
ton traffic. till something better is Offer
ed We are compelled to have the cotton
exchanges. because they have the future
trading features that are necessary as
a hedge to make the actual spot mar.
net therefore, urge you TO make an
emphatic protest at once to your United
sSatss Senator's to use their influence to
defeat this dangerous legislation.
, promised you l would tell you some-
thing about the Southern States Cotton
corporation, and its method Of holding
cotton off the market at distressed
,ime like this. This organiza ton IL mere
large holding company entirely de-
pendent upon the cooperation of the
people for its success. Its plan is to
hold off the market, the temporary sur
plus OF cotton out Of each crop during
the period from September l to January
l, when our people, by virtue of their
condition, have to sell nearly all thei3
cotton to pay for supplies for which the
cent OF the market price Is paid for the
cotton on delivery this season on Account
OF being late in getting organized and
started, and the difference between that
and III cents per pound IL paid in ninety.
day interest-osarihs negotiable scrip, and
.he dinerence between lilo and $50 1,
paid In scrip, also bearing interest and
redeemabls when the cotton reaches I5o
per pound. Thus the farmer gets nearly
All his money and the difference tn ne.
gotiable scrip when he sells the cotton
and he can use both his money and his
scrip. The plan in full. when thoroughly
organized. Is TO pay lie cash and &c in
scrip To do this the stock must be-
sold 70 give II margin to begin with,
For fifty years the farmers of the South
nave been trying TO control the cotton
ma rket hAfore they could control the
eotton. This is the only correct way /
have seen. and AS said before. IL viii
practice and moral support OF tho South
srn people for X to become A success
All cotton needs Is some system Whereby
q twelvs-month supply of cotton can be