The Rock Island Argus. (Rock Island, Ill.) 1877-1885, 1885-09-24
REPRESENTING CASH.
A COUPLE OF HUNDRED BANkERc
HOLDING GRAVE CONFERENCE.
Opening of the Bankers Convention at
Chieag President Gage on the Uses
of Credit-A Word or Two&X
About Silver.

O'clock Wednesday morning when the gave
of President Lyman J. Gage fell, and the
eleventh annual convention OF the American
Bankers association commenced business al
Hershey Music hall. About 200 delegates
were in attendance, and they made up re
markabe body. A gentleman with pas
sion for figures computed that the gentle,
men present represented $l75, 600 700 oi
capital and 81 900 coo, 600 of deposits.
Mr.. Lyman J. Gage, of the First Nationa
bank oil Chicago, president OF the associa-
ton, in his annual address congratulated
the society on its progress. As banker,
hs said, they had large share In the df
rectiun OF a force of influence which, next
to the power of steam or electricity, has
been the most potent in promoting
the material progress of the last
half of tine nineteeath cuntury- This
influence was credit. As dispensers Oh
credit, the banks and trust companies holi
claims against tne people to the extent Oh
nearly ~, $40 00J, O01. As recipients the liza
Dulties OF the banks were 81, SUI, ,OOO, oOU. A
dispensers they mold invested in bonds Oh
the United States between 500, 900 900 and
| $500, 900 900, and III other bonds and securl'
| ties about about $40O, 900, 900. Continuing
| he said:
"A bank has been justly compared to a
| reservoir Into ii there flows the Idle or
| unused capital and credit claims OF COM
| munlty, and this accumulation, or Judlci-
| GUS portion OF 1t, flows out again as loans
| OF advances which mvlgorate and carry
| forward the movement OF trade anu
| industry. the service rendered Is rea
| and a vital service to the community, ana
k.HA na k1Int
Der shares Transportation statistic,
| give us the movement in tons OF provisions
| and gram, but they are silent as to those III
| struments of credit passing through BANK
| by which the movement of grain and mer
chandise is effected If this propulsive forc'
Of credit should be suddenly Withdrawn th'
| movement of products would cease or be
| come So restricted as to bring want ant
| suffering where comfort and plsnt,
now abound. If, then, this agent o
influence we call credit acoomplishe
such advantageous results it IL certainly
wise to study the conditions whiel
favor its action, and clearly comprehend, l
we can, the dangers If any there be, which
naturally lie in it, use. To these | cal
scarcely more than allude. Among favor
ing conditions tnere may De named tour Il
high degree important:
l. A we'll conducted and orderly state
where life and property find safeguard un
der the faithful enforcement OF law.
3 A general intelligence and a general
developed moral sense sufficient to en- fore
in the average individual the dictates c
homer and good faith.
& A ndition OF industry and tra1
which offers fair reward to those who ell
gage in these pursuits
4. A lawful currency or money staRdar
endowed in the highest possible degree wit
/, | "a, of inr NJ Ynffnrm ValnA
MIR. Gage then referred to the silver que
ton, taking ground in favor of the suspeI
sion of silver coinage, the continuation o
which, he said, had much to do with the d.
preston of business.
The clearing house system was, he said
the fine.t monument erected by the cred
or advance-on-c Ollateral system. 1t mad
it possible for huge volume of business
be done upon a small percentage Of th
s necessary capital, and still to preserve tn
r required oonser vativeness Q nd to insure th
I stability of the commercial world.
Mr. Gage then presented a resolution d.
Glazing that the coinage of silver dolla
under the Bland law is detrimental to Il
best interests OF the people and calling II
its su ,psnsun until the relation between go
and silver can be fixed by information
Il agreement He announced his resolution
n the first subject for discussion, and Col. v
l. Trenholm, OF South Carolina, spoke
favor thereof
J Among the other speakers was Hon. K.
Lacey, member of congress from Mlchiga
. Under the present conditions, he sal
u gold and silver could not both be used As
10 standard and one or the other hi
" to be chosen. A double standa
le he believed to be a misnomer al
an Impossibility, but maintained that the
l. was power to establish value on DO
10 silver and and gold all over the worl
IS A fixed value for each would make t.
re metals at one standard. In alludil
to the plan of Gen. Warner, of Ohio,
he said he could not look upon it as w
or expedient plan to compel the governme
- to buy all the bullion at its market valU
while by his plan silver could be corner
and the market "bulled" Then the mark
u Y could be depressed until the same persC
: could repurcha 9, "rebull," and so on ad
: finitum.