Bryan daily eagle and pilot. [volume] (Bryan, Tex.) 1909-1918, 1914-10-07
POLITICAL ouAckERY CAN PRO
VIDE NO REMEDY.

When the political doctors disagree,
the best thing they can do is TO with
draw from the case, It does no good
to dose the patient to death. The Is.
suing of s5OO.OOO,OOO Of notes
to be loaned to the cotton
farmers, which Mr.. Henry is
striving to get before Congress as a
panacea for the cotton depression, is
so absurd prposal that there is no
chance for such a bill to pass. Even
II Congress were to pass the bill, the
President would be compelled to veto
It. But as Congress will not pass the
bill, It is much better that the agita-
ton be stopped.
The same is true Of the proposals at
Austin. II Is not a question OF money
that is disturbing the cotton produc-
ers. II is the uncertainty with respect
to the value Of cotton. 1.-THE vaults of
OF the banks we're bursting with mon
ey, they could not lend $50 or $40 a
bale on cotton until they knew that
the stability OF the market was as
sured. 4tf
To stabilize the market will neces-
state several things. II VIII first have
to be learned just what percentage Of
the crop Europe is going to require.
and just how much will have to be
carried over mtil next year. Then
there will have to be definite informa-
ton with respect TO next years cotton
acreage and prospective production.
Just at this time ii is all uncertainty.
and being all uncertainty, cotton's po-
sition as security is precarious.
suppose,i for instance, that the
bankers we're to organize such pool
as our st. Louis special Of yesterday
mentioned, one OF sl25,OO0.OOO, and II
we're used to hold 100000 bales Of
cotton. Then suppose the war should
continue throughout next year. as It
certainly may. and the movement to
reduce the cotton acreage we're to re-
suit in reduction of only 25 per cent.
instead OF 5Oor 60 per cent. The
south would find itself next year with
100000 bales carried over plus the
1915 crop of 100000. or a total of
100000 bales. Where would the
banks be?
Until II is known Just what proper.
ton OF the present crop is to be car
ried over and what the percentage OF
acreage reduction is to be next year,
II will be impossible to fix a definite
loan basis for cotton that will approx.
mate what the producers want to Dor
row. Instead Of proceeding with in
flated currency schemes and rotten
banking propositions, the main thing
is to proceed with the acreage reduc-
ton movement When the bankers
know what the cotton acreage of 1915
will not exceed so per cent of this
years acreage, then they will know
how to proceed. II they should ascer-
tain that next years acreage will be
not more than 90 per cent of the acre
age of 1914, the market would be es-
tablished so quickly that the produc.
ers would forget their troubles in
3iffy.
The question Of next years acreage
is vital to the present situation. There
is an abundance of money but so long
as there is the possibility that cotton
may fall to cents a pound or even
less, bankers are going to be cautious
and they would be cautious regardless
OF how much money they might have.
A state central bank could not COM
pei the units of the state system to
lend more money on bale of cotton
than they VIII lend now, because what
ever sum the central bank might place
at their disposal, they would still be
responsible for it and would act with
the same prudence that now charac-
terizes their position.
We say, therefore, that legislative
tinkering is not doing a particle of
good, especially the agitation OF un-
sound financial or monetary expedi-
ents. What the world wants to know
now is whether this time next year
the south is going to have an aggre.
gate cotton supply OF 100000 bales
or 20,O00,00O bales.-Houston Post.