The times. [volume] (Richmond, Va.) 1890-1903, 1898-08-26
THE BANKERS
ELECT OFFICERS.
The Closing Session of Their Meeting
Was Largely Attended.
ANADDRESS BY Mr.. w. |, ROYAL
He Shows the Need Of the Rural Dis
tricts for Better Banking Facilities
His Ideas Are Condemned 10y
other Speakers.

session Of the twenty fourth annual con-
vention Of the American Bankers Asso-
! citation opened with full attendance the
election Of officers being on the pro-
gramme After prayer william H.
Royal. Of Richmond, Va, read a paper
on "'rhe Need OF Banking Facilities in
/ Rural Districts"
! lie said in parts
MR. ROYALS ADDRESS.
"The vast mass OF the American people
have vet 10 learn the elementary PROPOSE
lions upon which true finance Is founded
| 10 wit: that money has it's own value, ana
shat SIS value does not come 20 IL from
law. as the great bulk Of the people be-
/ leve 90 be the case, that this value rests
| ike the value OF everything else upon
the labor required to produce it; that
demand being conceded If it takes q
/ DAVIS labor 10 produce 2322 grains of gold
cYhat we call a dollar and a days labor
I to produce "a bushe, of wheat they are or
the same value: that the province OF the
| dollar Is 10 compare itself with the COM
! modify. and determine that eacn em-
bodies the same amount of labor, where
upon we say q thousand bushels or Wnedt
are worth a thousand dollars, that this
being determined. business is not pur-
/ chase and sale OF commodities for money
as the people believe. but exchanges OF
them effected by swapping drafts for their
value in the banks, thlt the ali-imporiant
| thing then b. 20 keep the money-lhe
| standard OF value. always intact where
upon business is conducted by eNcnahse
Of credits. and these credits Will swell
out to any size required furnishing all
the money that can be used; and that the
ali-important thing after the preserva-
ton of the standard Of value is 10 give
perfect freedom TO credits me vast
mass OF the American people have YET TO
learn these elementary truths. ana yet
they must always grope I'm the dark ana
| be always producing confusion until they
do learn them.
People IN the cities have plenty OF
money because they use scarcely any
| They 10 an their business with checks
and need enough 20 go 90 market and TO
pay street car fare.
LACK or BANKS.
"But I'm the agricultural districts there
are no banks for the people 90 check on
Every one knows this 90 be fact why
/ Is it2 Because the tax Of 10 per cent ON
the issues OF State banks makes any but
national banks imp .acticabio. The nA-
tional banks are founded on national
bonds. Of which the farmers have none
! and they are ant-rural also in their nl-
mro There are no banks in the country
then for the country people to chech
upon. and checks are uuavailns 10 tnein.
A check is of no use 90 a cowboy on tne
plains. The country people must nave
actual cash for their affairs and set tneS
have none. Why is this2 IL Us because
all OF our money is good at IT'S face Nalue
i'm every part OF the United States-gold
ed ed
cause the government practically gives
gold for it. and eroenbacks and national
bank notes because the one is the govern
ments motto and the other bears its enc
dorsement. This being so ali or Do goes 70
the commercial centres ana leaves lne
country people destitute. We near every
fan that money is scarce ana interest
high iu New York because all the money
has been sent West 10 move the CROPS
OF grain. and South 10 move the COTTON
This money is not used 90 buy gram ana
cotton. That IS AN paid Tor WIN
change. IL is used principally 90 pay I'-
,.or and therefore. gets spread ont
amongst the people But in three months
time In has am returned 20 New YORK
Interest As again normal there, the couh-
,~,. dfstricts are again destitute or money.
ana the same process must Doe repeated
next year. g.. ,o,,..-
"The countryman reads IN his news
naner that the New Yorker can no'l""
an the money he wants for per cent,
while he. with valuable property can
none at 10 per cent. and he ieei5 ll'' ~
IL wronged lie Is wronged. Iheie '9 l,
eeat of free silver strength, tnou5u ~
~. former only knew IL. tho silver dollar
III ieav, him lust as the greenDack
docs IL would be- good for It's real Faiue
an over the nation, and as it "ouio
become the sole money. 30 also Would go
to the commercial centres. free SILVER
would only produce a general Hquldt-i'"'
ard then IL would leave the FARMER "7
ereeubacks do The great upheaFal Tot
free silver came then from inc country
pcople who joined forces win inc l"'o
wOrkmen Of the cities that ths unreal
of free silver threw out OF employ Henl'
n mad its origin I'm the countryman' un-
supplied need for money ana we WIZ
have 10 face It again unless we remove
the cause Of the countryman's discomfort
BUT ONE REMEDY.
There is but one possible remedy-a
banking system that will permit eacn
locality to bank upon such resources as
IL has. with banks managed by Local
directors who are acquainted with the
people OF the neighborh0Od that require
banking accommodations This last re-
0uiremeut Is just as important as lfef-
dom in banking This amendment or inc
law would carry the remedy 10 the seat
Of the disease We will never have peace
and contentment until our banking sys-
tenn allows these two measures. Allow
locality 10 have perfect freedom and the
facilities for banking on what IL has ana
in will have. relatively. as many banking
resources as Wall street has. It's system
may be one that wall street will spurn.
But II IL supplies the needs Of that To-
cality. Of what consequence Is Wall
streets contempt? To have these local
banks II is essential that they should be
allowed to issue their circulating notes
because a very great proportion Of them
would do a very limited business. and
with a small capital. and they must be
permitted to supplement their capital
by notes IN orocr 20 have enough re-
suorces to do paying business. l know
the prejudice against State banks will
never permit the .re-establishment OF
them, and / do not argue for them.
But all their advantages can be
secured without a resort 70 them. Per-
nit National Banks 60 issue as many
notes as their Directors think proper.
and upon the security Of the assets OF
the bank. only subject 10 as rigid in
spection by the Government as can be
asked. and the gordian knot will be
cut
Il think the possibility ~ evil Is very
greatly exaggerated. Before the war