Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1915-11-02

upon the actual belief Of those who
have put 1t forward as upon a desire
to make sentiment in favor Of another
big loan to England.
And regarding these loans to the AL
lies, we do not like them. The practice
of lending the other fellow money
with which to do business so as to in
crease the profits Of the lender is fun
damental. We very well understand
that. In making loan also 1t Is fun
damental to inquire into the use the
proposed borrower wants to make OF
the money he seeks. II he wants II
for legitimate business, it is all right;
but generally If 1t Is for gambling pur-
poses it is all wrong. Lending money
to the Allies just now strikes US as a
pretty big gamble, and we do not think
that the financial advantage that has
accrued to America on account Of the
war up to this time ought to be jeop-
ardized in any such manner.
More likely than any influence that
is being exercised by this prospective
war loan, in our view, is the influence
that is being exercised by the spinning
interests of America and Great Brit
ain. Let the spinning interests talk
about the matter as they will; but
what they want is low priced cotton.
That portion of the crop which has
already been sold is in the hands OF
the spinning interests-all Of it in fact
that has not already been spun. The
spinning interests have stocks ahead,
and it is our belief that they are using
those stocks for the purpose Of bear
ing the market and that Is all there is
to it. Other people may think different
ly, and If so that is their right.
AS we see it, the question right now
is not so much what Is making the cot
ton market sick, as what 1t Is that has
been keeping it up, and what Is 1t that
will continue to be its reliance. That
question is easily answered. 1t Is the
6 per cent money that has been and is
being offered by the Regional Reserve
system and the state warehouse sys-
tenn that has made that money availa-
BILE to the farmers.
There are those who are opposed to
this view, who will dispute with us on
the ground that North Carolina and
Georgia have no state warehouse sys-
TENS, and that money is as cheap there
as here. We will answer this by say
ing that notwithstanding the fact that
the Federal treasury has previously
furnished free money with which tu
help cotton, nobody ever heard Of any
6 per cent money to the producer, on
warehouse certificates, until after the
establishment Of the South Carolina
state system, and since the establish
ment of the state system, per cent
money is available on warehouse GER
tificates Of almost any kind. There
fore, just as South Carolina banks
lend on Independent warehouse Ger
tificates, the same as on state ware
house certificates, so do North Caro-
lima and Georgia banks do the same
thing.
Now as to how long the market is
going to be sick, we do not know, and
neither do we know whether cotton Is
going on up to Is cents pound or
better; but we do say that If 1t Is fac'
that the present depression Is due to
the bearish use that the spinners are
making of supplies already purchas-
ed, then the very best thing the cotton
producers can do Is to make use OIL
that 6 per cent money that Is being Of
fered to them and carry their cotton
on into next spring, or If necessary
until next summer.