The times. [volume] (Richmond, Va.) 1890-1903, 1897-10-12
HON. JOSEPH II. WALKER UPON CIR
RENCY REFORMS.

We print elsewhere this morning . let
ter from the Hon. Joseph II. Walker. Of
Massachusetts, chairman of the Banking
and Currency Committee Of the House OF
Representatives. TO the Boston Herald
upon the general questions involved in our
currency conditions.
Mr.. Walker has devoted himself in this
letter principally TO undertaking to show
that when we do amend our currency
system we ought not 10 adopt for our
model the system Of the Bank Of England.
His comments upon the Bank Of England
are perfectly sound. 1t IS the most cum
brous and ill-adjusted financial establish
ment in tho world in spite, Of the power
and authority It exercises in the finances
OF the world. and its influence, great as Il
Is. would be incidentally greater If all the
cumbrous machinery By which its opera
tons are embarrassed were abolished. The
foundation idea in SIS organization which
divides IL into two departments. one Of IS
sue and one Of discount and deposit IS
simply chmencal, bringing 10 advan-
tages whatever TO the Bank and embaras-
sing its directors with a great mass OF
useless red tape when crises come up in
business. Nor do the directors hesitate
10 violate the law, openly and hagrandy
when business emegencies arise, so that
the cumbrous machinery of its organiza-
ton accom- shes absolutely nothing
when times are good and IS contempt
uousy set aside as soon as evil days arise.
But we are at a loss to understand why
Mr.. Walker should labor so earnestly 10
show that when we do amend our cur
rency system we should not adopt the
Bank of England as our model We have
never heard a single man urge that this
should be doneand 1t is safe 20 say that
whatever models we may adopt, the Bank
OF England viii never be ono Of them
Its organization IS very Little understood
in America and II there should he any.
serious move towards forcing it upon us,
fnll ventilation OF that organization would
very quickly destroy any chance It might
have of adoption. We believe there is
some sentiment IN this country that fav-
ors re-establshment OF the old Bank Of
the United States that persisted in 1856,
but that idea will never receive much
more support than a proposition to adopt
the machinery OF the Bank Of England.
The people generally OF this country do
not know II, but the Bank OF England has
very little more 10 do with the every day
transactions OF the people Of Great Bril-
tain amongst themselves than it has to do
with banking affairs IN this country.
The real transactions OF the English peo-
ple are conducted by their local banks,
which have no connection whatever with
the Bank OF England. There are $500 Of
chem in England and more than 900 Of
them in Scotland and very many OF them
IN Ireland and they issue notes that are at
a discount. little way from where the
Bank that issues them is located, THOUGH
they servo the people living near the
banks that issue them az well as any cur
rency IN tho world could. The Bank OF
England regulates the foreign transac-
tons OF the country and that is business
enough Tor it. but the transactions Of the
people amongst themselves are operated
through their local banks that are wholly
independent Of the Bank OF Lugland. The
S:ngnsh currency system, barring the
Bank OF England part In It. is just what
ours was in 1850 and. like ours Of that day,
1t IS the very best that could be had.
While upon this subject We take occa-
sion 10 say that there seems to be a pros
pect OF the Monetary Commission, now
sitting in Washintgon. doing something
real. We printed on Sunday a statement
made by one OF the members Of the com
raission that indicates that it is really 60
ing about the business In an intelligent
and comprehensive way. This Statement,
shows that the member making Il, at
least. understands that the cause Of our
troubles IS with the country people and
that what they want Is their local banks.
like the English local banks. that can is
snc notes that will serve ahe purpose Of
OF the locality upon the credit Of such as
sets as the locality has.
When that idea comes TO be appreciated