The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1897-08-18
The Case For Currency Reform.


The case for currency reform will be
well stated today at Detroit, in an
address to be delivered by John p.
Branch, president of the Merchants
National bank of Richmond. Va, be-
fore the American Bankers associa-
ton. We have before us an advance copy
of this address sent us by the author
and it's simplicity of language and di-
rectness of argument are greatly to
be commended, in view of the common
tendency to weigh this subject down
with ponderous words which nobody
can understand.
Starting with a definition of what
characteristics our currency should
possess, Mr.. Branch will define them
to be fiXity and stability of value, ade-
quacy of volume, fieXibility, simplicity,
uniformity and such equality of dis
tribution throughout our territory
that every man entitled to credit will
be able to obtain its use at fair rate.
He favors of course the gold standard,
and demands the retirement of the
greenbacks and treasury notes, for
these reasons: THE function of gov
ernment is to govern. The legitimate
| function of banks is to issue currency,
receive deposits, buy paper, and make
| loans. There should be no more inter-
| ference on the part of the government
| in the banking business than in the
| milk business; but the government
| should see to it that banks comply
with reasonable, just requirements,
| dictated by experience and common
sense, just as all good municipalities
should see to it that the milk supplied
the people is pure and unadulterated.
once it is understood by the people
that a bank note is not money. that
bills of exchange. promissory notes,
checks and bank notes are substan-
TALLY of the same nature; when they
understand that the issuing of notes
is not a sovereign act to be solely re-
served to governments; when they ap-
preciate that the act is no more SOW
! ereign than the act of the merchant
when he gives his demand notes, and
that it is gratutous interference on
the part of the government to tax
or otherwise forbid a bank to issue
currency while it leaves all other cor
poraTions free to make as many demand
notes as their credit will permit; ther
they will demand that the banks be
permitted to prosecute their Legitimate
business without interference on the
part of the government All other bust,
ness is conducted without such inter.
ference. To discriminate agains
banks is unjust. They should be per
mitted to issue as many notes as car
safely and profitably be used"
In conclusion Mr.. Branch will say
A competent. non-partisan currenc.
commission should be appointed; an
briefly it seems to me they should advo
cate: First. The final adoption of tn
gold sta ldard. Second. The gradual can
collation. of government demand notes
said cancellation to be not faster tha
new currency is issued by the banks; til
deposit of government revenues in tn
banks of the country, and the retiremen
of the government from the banking bus
mess. Third. They should adv ocate tn
repeal of the tax on the circulation O
banks, and thereby make possible the is
sue Of a currency which will expand an
contract automatically with the needs G
the country; said currency to be unde
the supervision of our national govern
ment, and to be surrounded by ample
practical and efficient safeguards, II tn
currency commission does not solve tn
problem and guide the people to deman
I currency reform based on eternal priT
ciples. 1t is my solemn conviction tina
with the inevitable return of hard times
the people will solve the question fc
themselves, and free silver may be tn
least of our evils.
How does this gentleman explain til
fact that for many years prior to IS!
the government demand notes, MOI
commonly called "greenbacks," CAV
no trouble and proved adequate to II
needs of business?