The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1894-12-07
The People DO Not Take Kindly
TO His New Medicine.
oslvaFew laoossE HIS PLANS.
His National Banking Scheme Meets
General Opposition.
B.aners of Both Old Parties tnffs
with PopuIists In Desuneintsen OF
It-oBlv a Few Diseerdant Notes IN
the General Condemnation of Free
Coal. fron ore snd ships


In order 70 get the views Of the people
on the purpose OF Prsxident Cleveland 10
pat coal and iron on the free list, 10 admit
foreign snips e, American registry ana 10
pus into sfEert 3 modification Of the bslt-
mere plan. she osT-INTELLfGEscKRye steF-
day obtained intsryiess With those oi-
recsly interested ia these different matters
from every standpoint. and with those
beat informed on the subjects, whatever
might be their political faith
A majority were opposed 20 free coal,
claiming that il wonld close the coa mines
of Washington. Is was about the same
with TIE free iron ore proposition. They
begieved that the admission of iron ore free
would re.ara the development, of the iron
mines OF the state. On the question OF
allowing foreign built ships 10 register.
opinion was divided. In regard to the
modified Baltimore plan. opinion vas d.
vided A few favored the plan, while
Others thought 1t would bring back the
great evils Of the wildcat banking DAYS.
Those of Popul.stic tendencies denounced
the plan In strong terms. The interviews
are as follows:
TIRE FINANCIAL scHkAE
Jacob Furth, president of the Puget
Sound National BANK. 81 believe the
recommendations made by the comptroller
OF the currency 20 anthorize national
banks 10 lssue circulation based on their
capital stock Is q very good one. This
proposition has been before congress at
different times aud in divers shapes be-
fore tut has never been acted on. prin-
cipaily on account OF the aniagonistic
feeling toward national banks. think
now that congress viii take different
view of the matter and will act on IL
fayorably. Tins plan is not an expert
snent. IL IS similar 20 the Canadian bank
ing system uader which Canada during
the depression Of fs3 suffered much less
than the United States owing to the elias
fIcity of the Canadian currency. The
Canadian banks during the depression
were enabled To assist every Legitimate
enterprise and so were able TO prevent the
stagnation such We were afflicted with
in this country. The adoption Of the cur
rency system, as outlined by the Balti-
more clearing house, would. in my
opinion. prove beneficial to the people of
the country. 1t would not. as some people
claim. give the banks the entire control OF
the expansion and contraction Of the cur
rency. Were this power given to one. two.
or dozen banks in one locality IL might
be dangerous, bat TO give that power TO
the entire people takes away all possibility
OF the danger of such combination.
There are at present over 1000 national
banks in the United States and 1t would
be idle To suppose that any combination
could be made by banks and bankers that
would be detrimental TO the people, as the
banks depend on the people as much rs
the laborer does for their support"
Il. W. Andrews, president OF the Seattle
National bank. Certainly something
should ne done to provide more elastic
currency, as IL Is sure that the non-elastic
system under which we are at present
operating does not produce the best re-
suits. In one part OF the country. where
We DO not mead IL, the money is plenty,
while out in this country. where We do
need H. il is scarce. Congress should do
something Ia the premises. Statistics
have been looked into TO see how much of
= tax for a guarantee fund Was needed 70
protect the currency 20 be- put
into circulation under the proposed
plan. II past experience is any guide for
the future, q very small tax would pro-
vide for the deficiency. l think that tax
OF - OF per cent. per annum. collected
till the guarantee fund amounted 20 per
cent. would De sufficient. with the first
lien on the banks assets, to make the cir
cuiatson safe. IL seems to me that both
the presidents plan and the Baltimore
plan are practicable. Would the adoption
81 one Of these plans prevent panics9 No:
] think thst panies wiii occur from time 10
time, hut the adoption OF one of these
plans 50 part OF the financial system of
the country would greatly lessen the
financial stringency when times are pan
ieky. think the Baltimore plan is better
than the one recommended by the prest-
dent, but the adoption OF either would
help the West | am In favor of the
adoption of ono or other OF the plans"
Angus Macintosh, president Of the
Merchants National hank: 81 think the
adoption OF the plan proposed by the
comptroller Of the currency and favored
BY the president ia his message would he a
great improvement on the existing bank
ing law. The ideal hankisg Las, In my
opinion, IL the Baltimore plan. | consider
IL the best yet devised. because IL is based
on purely business principles. I do no,
see the philosophy OF permitting the bans
To issue = per cent Of their assets in cur
rsuey and deposlting 20 per cent in treas
ury notes in the United States treasury.
This pian locks M too much money. |
think ths better scheme would lie 10 let
the banks Issue - FER cent Of their assets
without any deposit This Is really what
the plan amounts 20. The entire plan
when you come 70 look into tt. amounts 90
locking un ard p'Eeonholiag IN the govern
ment vaults 30 per cent Of the asset. of
the banks OF the country. The Baltimore
plan il The best and shoald be adopted. IL
Ii Was a law. she gold would remain in the
treasury instead OF heine dsDletea evsrv
once tn while below the legal reserve. as
Is the case 81 preseat"
James r. Hayden. manager % the PEG
pies Savings bank; - think 10 would he =
mistake - return 20 the old wildcat bank.
inc system by issuing state hank notes or
otherwise. We now have safe currency
and see no necessity for changing the
present system.
y q. Graves. president 81 the Washing
ton National hank. The message meets
VITA ray cordial approval. I have been 81
the opsai0a Tor many wears that there
should be 81 absolute divorce OF the gov
eFnment troEa the banking business. TIE
present bank circulation Is II sil lntcnts
and purposes government currency. Its
valUrne IS rot controlled by the demands
of business, has By the price % Unisea
= axes bonds. sgeougiv favor q currency
based upon the assets ~ the eaak. which
nay Re Increased oF diminished within
gEopsr limits As business demands Nv
oNn opinion - thst the quickest and hest
wsy % accomplish this = 20 rspeal the
n per cant TAX GA state bank ciFcul alton,
VIA proper prcYisos a. - the manage
Haent % spca aanks ara not xanrntna
taat eoarress Will a. anything Tor tas re-
tsei 81 neuooal oanks, aud therefore thia =
thAR ne best az = Is remove iAe gestrie-
aess uR0A The issue Of currency hv the
stAts eaoks The cAlef defect % the pres
ent bank circulation j. It's ineass-
heify, Is .aek 81 rvs aog vrness 20 the de-
nianGs 81 trade. Oas Of tae c,,nsss3u~nc-
q thts = tns aeeoEaa3 alien ef money At
TIE aaanc1aA eeategs daring the dmR Sea-
son 81 RAs rear. where ls les Idle and
aaHTo0acNFs. au1 a corresponding scare
isy during fhs nuxv seAsan. when fund.
are needed Tor moving tie crops ana like