The Grenada sentinel. [volume] (Grenada, Miss.) 1868-1955, 1914-12-11
OPTIMISM IN SOUTH
Heavy Financial Depression
Gradually Being Relieved.
COTTON GROWERS GET MONEY
National Banks Are Reaching Out
Helping Hand and Extending FL
nsneial Aid to Farmers-Loans
on Warehouse Receipts.

VII &ffOAeN
The hearts OF the people Of the
South have been gladdened and a feel
ing of optimism is permeating the at
mosphere. The heavy financial de-
preston which gripped the cotton
states during the early part of Sep
TENDER is gradually being relieved and
money is becoming freer. The bank
ing institutions OF the southern states
are coming to the aid Of the cotton
growers with cash, advancing loans on
cotton warehouse receipts.
Although 1t will take some time for
the effect OF the money being put into
circulation to be felt to any great eX-
tent. the assurance that something is
being done to relieve the situation
has lent courage to the business man
as well as to the farmer. Because of
the fact that the cotton must be
hauled to town and properly ware
housed before loans will be made on
the staple the work of advancing loans
has been necessarily slow.
AOColuihs " uiSp"'O"o' HOH ~
Gus portions OF the cotton oei' tnele
nave beeh thousands OIL Dates fe'iieu
from the open market ana money au-
vanced to the growers at the rate OF
six cents a pound, or approximately
$50 q bale. TINS money Is represented
Principally by the Alurlch-N reeIahu
currency turnlsied tne hatlohai oanhS
ny inc un',eu ota'es "ea9
Meht' OnueI inc pio'ision'
cuIIencS measure me
"~"'enouSeu O''
Nc niaue upon IT,
Absence OF Gasn re|
1t has been the absence OF cash that
has most greatly affected the South.
European var began when there was
not a demand for the wares OF the
merchant. but no one had money to
pay for them. This condition was
most seriously telt IN the cities III
the country towns the merchanls rai-
lied to the aid OF the farmers anu sup
piled their immediate wants by accept
ing cotton IN payment Oh thelr pur-
chases. Old accounts were ais set
tied with cotton But soon the average
country merchant a more cotton on
hand than he knew what 10 40 WIN
He also found 1t dlmcult 10 pur'
chase from the wholesale houses ana
the jobbers as they we're not prepared
to take cotton from the merchant
The prospects are o that this
conoltloh OF ahalrs VIII sum onueieo
a change' lhsteau OIL trauins his GU.
ton TO the merchan' iol Tue ueOe
ties OF lie the farmer 10 Placing us
bales IN the nearest warehouse Inc
receipts ne receives from the ware
house ne taxes 10 the oanh ne mas
Oeen IN the hapit OF carrying on HE
trahsactohs wltn' usihs tnen
as a coIiateral TOT Dorro"lne money
In this manner real money ID oeiht
put into circulation
In Georgia M a portion OF lehnes
see this condition OF anaie is especlai
ly true. IL national pahks are reach
Ing out a heiplng mana ana eAtenuiht
aid TO the distressed farmer foiio"
ing a recent meetlhg o. the currehc,
association OF Georgia an ahhouhce
ment was maze that tne hationa
OF THIS state ana a part OF len
nessee are making loans on coeooi
warehouse recelpts. lhese loans ar
oelng MADE on the oasis OF SIX cents /
pound
cotton must DO o'oreo'
The only provision that has beer
stipulated by these banks is that thu
warehouse in which the cotton /!
stored must be acceptable to the bank
A great number Of these loans ar
being made through the agency banks
OF the national institutions which give
It a much wider scope Of operation
While It is true that this work hai
been going on for some weeks, tn