New-York tribune., 1922-10-29

ts SeS W ouy cotton, mills
.here are working twenty-four hours a
day with three shifts Of ennlovse. v1,n 80 =
win nothing to indicate reduction In
demand. 1''
Consumer and Prices
The dark and depressing side o. the
picture is that there are millions ~
consumers who are so poor thas thsv
can buy only from hand TO mouth
even under favorable circum stances
and that most of them are at nresent
suffering abnormal distress. Il is tbis
huge population that is automatically
shut out Of the market for goods wkea
high prices prevail, and il is 10 BE- ,s-
membered that the price Of the raw
material is only one factor that ccunts
against their old-time rate of oureba.a
and use. Wages are more than dorbjs
the old standard, freight rates ara
higher, and much more has 60 be raid
for every effort and thing neceSsarv
in the processes of turning cotton into
form fit for the backs Of these people.
So, too, in the case of the inhabitants
of more fortunate lands like the
United States. It canno, be exactly
computed what proportion Of the total
OUTPUT of cotton enters Into use as
clothing. although that is the destins-
ton Of The larger part. Granting this,
and the further fact that outside cf
tropical countries articles OF apparel
made from cotton are worn mostly 60
IS TO be either party or entirely cut
of sight, the query arises as TO how
far threadbareness and patchwork will
be carried In time Of financial ssria.
gency, no matter whether the pressure
comes from lower wages or higher
prices. The bulk of cotton fabrics srs
not subject to the vagaries Of isshi0s
Because the bulk OF the wofii pre-
duction of cotton finally enters into
international trade in the form Of
manufactured products, England, ex-
porting 80 per cent of the products Of
her factories, brief survey Of the es-
port field is essential in any survey Of
the future probabilities.
While the fore gn trade of Ianca-
shire is far from the pre-war standard,
the trade for the first eight months o.
this year is much in excess of the
corresponding period of 1921, TIE
figures for the former year being 2,
672, ,454,800 square yards, against l.
600,954000 square yards for the cor
responding period of the latter yesr.
So that it wou appear that the move
ment is In the direction OF the 4Sol.-
100000 linear yards exported during
the first eight months of 1918, And
the improvement continues, since the
exports of both yarns and cloths for
last month (September), show sub
stantial increase over year ago.
Consxrn ption i'm India
Another encouraging feature from
the standpoint of the American cotton
producer is that China is reported to
be buying cotton goods somewhat I'D,
era,ly in the Manchester market; ana
although it's direct bearing on the con-
summit n of the American-grown hoer
is negligible, the fact that India is IN
ereasSno Ter exports of cotton manu-
factures a, we'll as the domestic con
sumntion cannot be considered as other
than an ;ndication of revived purchas-
ing mower in the Orient. If the recen.
rise in the price of silver continues ana
IS maintained for any length of time
4 still greater Improvement may "
ooked for. -,
As matters stand In India, large seai'
ions are reported as contempiatea
the many existing factories 70 as
country; but so great IS the asiasas aaas
hat it is believed that imports esnnss
,e reduced because OF the inabiiisy =
he native mills to supply the densnu.
'In fact" says the American Consu -
Bombay, "large orders are repoFssa
lave beef. pisced with Manchester a
ndia ia the largest customer .. e..
ashire. it is significant to note thai nes
,urchasing power is likely to De aug
nented this year by having q surplus
{ wheat for export. whereas lass ysa-
,he had none for outsiders. ,..,.
It is also being advocated as DESK
,ble for other American industries, ss
nav be seen from the following psi
rraph extracted out of an edttcHa' IL -
Commerce Monthly" published oy sns
National Bank of Commerce IN Se"
York. s.,,y
"Production must be more eareiuns
,auged in relation to consunptaeh. a hs
destructive competition must
Iyoided." .,s .on-
Every condition points TO world con-
sumption being greater than tse ps
iuction for second season, and ~
,ears that demand for man naiaesu'Y
PRODUCTS will continue 60 grow
,rices advance as they are doing snp nsrs
n England who have been mssms
took will benefit perhaps more ul hss
ne cotton producer, who seemingly
,een conten. to let a good portioh y
he crop pass ous Of his hands. 49,.
The cleared atmosphere In the 49,
Cast is another influence in the diIes
ion Of greater demand, that being 81
Important market for manufacfuI1ssas 1ss
ottons. II ought to be constans;;s. !.
,orne in mind that restricted output 8
Iever more than s temporary ana va
means OF relieving ps ss
ituaLiun. The true way OUT was telsss
ut by Eugene G. Grace, presidsnt !.
he Bethlehem Steel Company wnsn -
ave as season for the prosperity - - a
he steel industry. We cut costs =
he bone. And as we cut costa Ve ~
rices. And as we cut prices CUISINE
CONS" This must be SO. pecasss
nder economic law advancing piis.s p.
oon reach q, point where they imposs
n automatic check upon cos1suus 3 stvn. 81 :
In the other hand, and SO far az sns
yorld cotton industry is concefnee.
s always to be remembered sna1
teadily increasing world population. :
o be reckoned with when the, ia.sssv sss.
OF this Absx u Naess
nsaiOR, ss~sA