The Daily Ardmoreite. [volume] (Ardmore, Okla.) 1893-current, 1915-12-07

New Orleans, Dec. 6-Praise for the
efforts and patriotism of the bankers
of the country in coming to the assist
ance Of the agricultural interests dur
ing the time of stress incident to the
outbreak of the European was, was
voiced by Clarence Ousley director OF
extension of the Texas A. q NJ. Col
lcge. i'm his address here today before
the Cotton States Bankers confer-'
ence. Mr. Ousley's subject was "The
Bankers Relation to the Farmer
Like many other calamities the
European war with all its horrors and
losses may prove "A blessing in dis
guise." said Mr. Ousley. There Is
reason to believe it may consider
Iably restrain In future the ambitions
of all conquering militarists and that
II may stimulate nations grown fat un-
der peace and plenty to be prepared
for the outbreaks of primal passion
which still seize nations as well as
individuals under provoCation of temp
tation. However. for the purposes OF
the present. the lesson of the war to
us IL that by prompt and resolute ac-
tion the banking resources of the ma
ton may be employed to mitigate, II
not entirely to overcome, calamities
which would befall certain industries
which would be helpless If left to their
own resources.
"It is fair to say that the bankers of
the country have rendered noble
service to all commerce and industry
by their wise action in adjusting imam
cial and commercial operations to the
eXigencies of war. The particular ser
vice they have rendered to southern
agriculture and especially to the cot
ton industry, touches the south very
deeply Considering the situation In
the fall of 1914, when cotton exchanges
we're suspended and the spindles of
Europe smothered in strife of the war
zone. and other conditions In the in
dustry that prevailed, the wonder Is
that cotton could be sold at any price
and that it should, within few
months. recover its commercial value
to the point of almost proper equili-
brium under the law OF supply and do
mand.
at was during the distressing condt
lions that the bankers of the south,
and particularly of Texas, planted
themselves in the path of the deluse
of pcssimism and undertook the heroic
task of restoring cotton to something
like it's fair value by advising farmers
to hold 1t and by refusing to finance
the crop except upon the basis of eight
cents or more "A pound. In this under
taking they were greatly fortified by
the attitude and rulings of the treas
ury department and the federal re
serve board. Our bankers perceived
and proclaimed the economic truth
that the farmers could hold their sur
plus cotton of the 1914 crop and alb
sorb 1t in reduced production ia
1915. To this doctrine they committed
their resources and their reputation
as dnanciers. Immediately after pro
mitigation of this view and purpose,
cotton reacted and gradually ascend
ed from about six cents, at the low
point to about nine cents in the
spring.
For the first time in the history of
the south. bankers and business men
advised producers not to sell cotton
the moment il was ginned. but to mar
ket it gradually and for the first time
southern bankers having to do with
agricultural credit. came to recognize
food and feed crops as a basis ot cred
ii. and that the farmer who raises his
food and feed supplies and makes his
cotton a surplus is safer credit risk
than the farmer who grows all cotton,
Early in the spring. Texas bankers
began systematic campaign for cot
ton warehouses under new Texas
law. and they freely advanced neces-
sary funds for erection of warehouses
There now are lSO warehouses in Tex
as under the administration OF the
warehouse department created by the
new law governing the warehouse and
gin industry. 81 Of which were charter
ed since the law became operative. Be
sides. there are l56 general ware
houses for the storage of cotton and
other commodities
The price of cotton this fall, com
pared to the price last fall, is sufficient
evidence Of the wisdom Of this years
method compared to last years. |
firmly believe the action Of the bank