Henequen deteriorates, and also it requires insurance, as the many fires in Progreso and New Orleans at the time testified. The cost of holding the half million bales of henequen of the Eric is about $2,500,000 a year, and the price at which it was bought in, plus insurance, represents a cost of about 8 cents a pound. The price of hemp had been stabilized at that very figure by Señores Montes and Pierce, with some outside assistance from New York brokers, but the sales were made in Yucatan, of new hemp. So the Eric, in righteous anger, cut the price from 8 cents to 7, and then to 6. The price of new hemp also fell, and the hacendados, partners in the Eric, wailed at the evil which was being done them. However, they continued to sell the new crop at the new price, to the Harvester and the Plymouth and Henry Peabody & Co., and Hanson and Orth, while the gradually deteriorating stocks of the Eric went begging. The price was finally cut to 5 cents, by the Eric. Yucatan has met this price, too, with new hemp, and because it is still possible to make money out of henequen with the price at 4 cents in New York, it seems likely that Yucatan will continue to grow henequen, and to sell it. Meanwhile, however, the business doctors of the Obregon administration in Mexico City at one time succumbed to the pressure of the unhappy hacendados and even agreed to try the “Reguladora” experiment all over again, with the central government buying 60 per cent of the henequen crop at 6 cents a pound, and again “controlling” the market, a step in the spiral of destruction which had but a brief life and little significance. For the story of Yucatan is written and the state and its great industry are to-day being ground between the wheels of the “capitalism” which the beautiful theories of Yucatan’s “socialistic” autocrats sought to destroy.