The morning news., 1897-08-19
THE CURRENCY CRITICISED.
AN ADDRESS BY CONTROLLER
ECkLES TO BANKERS.

An Interesting Session of the NatiOn-
/ al Banking AssociatiOn-NEr. EclSles
Speaks ON the Necessity of FamiI-
iHrizing the Public With Currency
Questions and Monetary Princi-
pIcs-His Address Is Well Receiy-
ed-OtheP Discussions During the
Day.
Detroit, Mich, Aug 1S.-The star attrac-
ton at to-day's session of the bankers
convention was Controller Eckels. At the
| conclusion of his address he was surround
| ed by more than a score of members, who
pressed forward to congratulate him and
| shake his hand.
| vote of thanks was unanimously given
the young controller for his speech. While
Mr.. Eckels was speaking standing room
was hardly to be had in the theater, but
as soon as he had finished the audience
rapidly dwinded, leaving such a wide ex-
panse of empty seats that most of the ad-
| dresses remaining on the programme were
put off till tomorrow. This makes the list
Of papers for the final day of the cOnven-
ton a very long one.
list of nomination will be submitted
in the morning John c. Hendricks appears
| to be the unanimous choice for president,
| with Frank w. Tracey of Springfield, Ill,
| and George II. Russell of Detroit, appar-
| emily about even for first vice president.
In spite of the rainy and somewhat cold
| weather the delegates boarded the steam
| ers Pleasure and Promise late this after
noon, end steamed up the river and across
Lake st. Clair. An elaborate lunch was
| provided by the Detroit entertainment
| committee and the party did not reach the
| dock again until Wen along toward mid
night.
| The naming of the committee on nomi-
| nations was the first business transacted
| this morning 4 representative of each
/ state was called upon to give brief
| statement as to the general condition of
| business in his locality. This drew forth
| in every instance reports of good crops,
| reviving business and encouraging pros
| poets for bakers. Marked improvement
in business conditions and indications for
better things in the future were the char
acteristc features of all the state reports
| as detailed by the delegates.
Henry w. Yates of Nebraska, said the
golden grain of the ripened and ripening
| harvests in his state did not reehct the
calamity tint to which the utterances of
so many of its public men, and the vote
| of state last fall had seemed to consent.
| John w. Faxon of Chattanooga, Tenn,
| derided Mr.. Bryans claim that the price
of silver controls the price of wheat and
| says the recent fall of the one and the
rise of the other offered conclusive proof
of the falsity of the claim.
Only a few of the states failed to re-
| spond with a statement of industrial con-
| ditions.
When Controller Echels came forward
| he was greeted with most generous
| round of applause. Throughout the read
| ing of his address, the large audience gave
| him careful attention.
Mr.. Eckles said he could not throw any
new light on the subject of financial legis-
! lation, but he urged as & public duty the
| continued reiteratiOn of the principles
| which the mass of the people must under
stand before they could deal intelllgently
with the questions of public policy now be-
| fore them.
The country stands rid, for some years
at least, of tariff agitation. and irrespec-
| tive of the merits or demerits Of the new
| act, every business man knows, in so far
| as il is concerned, upon what basis to en-
! gage in manufacturing, trade and COM
| merce. The evidence accumulates with
! each days adVices that the long continued
| depression in financial circles has passed,
and, thanks to five years of forced econO-
| my and cessation speculation, coupled
| with to-day's abundant harVests at re-
munerative prices TO the agrculturist, a
| new prosperity is coming to the people.
! This prosperity, If it is to be of real worth,
/
reach to all classes and interests.
He spoke Of the danger of too active
| competition Of banks in times of prosper
| ity; of the necessity Of great conservatism
| in the matter Of loans, that they might
not have to answer for the disordered con-
ditlon that would follow the boosting of
| unstable business affairs. He also point
ed out the obligations that bankers We're
| under to their depositors. not he said
| mere relation of borrower and lender.
| There is always danger when a banker
| conslrues his relation to his depositor IN
the naked legal light Of merely being a bor-
! rover from a depositor and that depOstor
| merely a lender. II this be the legal sta
tus, no banker who has proper cOncep-
| ton Of his duty and is worthy OF his pro-
! fession, should find refuge In defense Of his
! acts within such narrow confines. Despite
the legal imitation Of the case there en-
ters into that relation the position OF trus-
| tee bound boy all the sense Of honor which
undcrlies every flduciary obligation The
/ future success Of commercial banking must
rest upon these lines When It is placed
| upon this level there viii be no cause for
| anxiety among depositors and no demon
! stration on the part of the public In the
most trying time Of sense Of shock when
a bank failure is announced
lie dwelt at some length upon the im-
! portance OF the currency question TO the
! American people.
Oiit bi ANf WbilA > most 0lhAlukNiNNlQ
phllosophc historians has declared that
| "the indispensable thing for a politician
Is a knowledge II political economy ana
| history" II the statement be correct a
review Of the currency legislation Of tho
| United states for q third OF "A century
! demonstrates how few II any politicians
IN the historians sense have had TO do
! with t. In an its range evidence o. ev-
| erywhcre 10 be had OF a disregard Of the
| underlying principles OF political economy
and a woeful ignorance of the facts OF
! monetary history An analysis Of itg
| parts bears testimony 10 tho truth OF the
! assertion A consideration OF the whole
! placee 10 beyond cavll That which we
term our currency system o. one ln name
| only ~ lacks every element OF what
| urhtfully can De called a system. n vio-
| latos On every essential feature what IN an
! other departments of governmental Of
| fairs wc dominate system. lt is not an
| orderly combination of parts into "a whole
| according 90 some rational principle or
organic idcl. Everywhere there iH want
OF unity. ana lnsiead of presenting 10 the