Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1919-09-16
can get raw material with which
manufacture their goods?

manufacture their goods?
How can they get raw material un-
less we extend credit? Europe is
bankrupt unless we extend aid. If VIC
make eleven million bales OF cotton
and carry over four million we will
have surplus of six million bales at
the lowest calculation. No matter
what was the price of cotton Europe
could not buy except on credit.
/ Foreign Exchange.
The foreign exchange rate Is q mere
barometer. If you want proof, in 1916
the London rate went to S4.45 and
England could not buy war munition
nor food until our government de-
posted a large amount of gold with
Canadian banks and our rich men
bought American securities held
abroad. Even this did not suffice and
large loans were made by this country
to the Allies. 1t is significant fact
that the amount of the loans to Eng
land and France were practically the
same as the exports sold them, so
that you can see that Europe can only
buy when she sells to us or borrows
from us.
Now If South Carolina had such a
state warehouse system as / hoped to
be able to have in readiness when
the war ended, We could extend credits
to European nations and sell them the
,ntire South Carolina crop, getting
pay as the cotton was turned into
goods. If you were to cut the discount
-ate on the German mark in half cot
ton would bring so conts per pound to-
lay. The only way that we would
ever sell it is on credit, so why not
ret the benefit Of the transaction for
South Carolina instead Of allowing 1t
20 be pocketed by New York financiers.
No one need to tell me that the ex-
change rates quoted in London and
New York are holding good against
he insiders" Mr.. Harding under
stands this and for that reason pro-
posed the one hundred million dollar
Export corporation which Mr.. Wanna
maker is trying to organize under the
Webb act. 1t would be unnecessary to
lie up this tremendous amount Of
money if the state of South Carolina
could act. If cotton was a North
Dakota crop, the industrial commits
sion would extend a European credit
through the bank of North Dakota
and the crop Of this state could be
placed Immediately at from 40 to SO
:ents per pound. There is too much
lost motion in a voluntary orSaniza-
tion with millions of members, and a
European government only knows how
20 deal with another government. They
could understand the state or South
Carolina, when they don't know what to
make of q cotton association. Remcm-
Der that cotton is an export crop, and
hat the portion exported fixes the
price of that which enters into domes-
,ic consumption. If the state ware
louse commissioners would negotiate
iirect with the German government for
he sale of one hundred thousand bales
If American cotton it would have
on in the United States. In all ex-
,ort crops the price Of the exported
cotton determines the price Of that
which enters into domestic consump-
ion. The quickest way to raise the
)ricc of cotton is for someone con-
rected with the state warehouse
system to go to Europe and negotiate
With some government there for the
ale of South Carolina cotton, secur-
ng us from loss by proper guarantees.
There is nothing to do except to walt
Until credits are extended to Europe
md South Carolina can extend these
,redits herself and at less expense
.han through Wall Street. l strongly
suspect that the present stagnations
md the general slump in prices is
manipulated from Washington so as to
'orce the ratification of the peace
.reaty.
The II. c. L.
There is something sinister in the
ak about lowering prices and raising
wages at the same time. 1t is all right
70 say living must be cheapened" but
1t whose expense? Is the relief to con-
sumers to be entirely at the expense of
producers? The farmer feeds the
hungry and clothes the naked and yet,
in the past 10 years home owned
farms have increased only 1 per cent.
and tenant farms 20 per cent, while
.hc population in rural districts in
creased 20 per cent, the town popu-
ation has increased 100 per cent; you
can't rent house in this town because
)f the exodus from the country. The
way to check this evil is to increase
the profits on the farms and make the
living in the cities more difficult. You
cannot expect or compel the farmers
TO continue to feed and clothe at less
cost and ever increasing town popula-
tions.
Cotton Seed.
The most complete and unjust mono
poly in this country is in cotton seed
and fertilizers. 1t is hard to corner
cotton because OF its world wide use
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