The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1899-10-20

add $15,925,7 700.
This increase in bank notes could be
made and is not, because the respec-
tive institutions reckon that they can
use their money to better advantage.
The high price of bonds taken as Sc
curity at only 80 per cent, and the tax
on circulating notes lead to this con-
elusion, The pressure for more cur
rency has then a money measure in
the difference between the earnings
from circulation and from loans in
the several localities.
BANKS OPPORTUNITY.
This is a statement OF what the ma
tional banks might do. not what they
ought to do, OF opportunity rather than
obligation. The officers OF these insti-
tutions are the judges OF their duty.
OF the possible increase, the real addi-
ton to the volume Of bank notes, based
on bonds has been s2.25S.1l0 since Sep
tember 30, 1898, to the beginning of the
current month, and of this sum $1,140,-
S24 was during September.
Thus, then. under existing laws,
there is practically no increase in bank
notes. Except as the yellow metal
flows into the treasury and goes out in
disbursements, the government has no
authority to add to the currency. The
banks will not, the treasury can not,
put out more notes,
Somehow, somewhere should be
lodged power to meet pressing de-
mands for additional currency. The
confession is inevitable that there is
no general agreement how this can
be done in the best way. The task in
vites students OF finance and especial
ly bankers to crystallize public opin-
ion on this subject. They will be
unanimous in declaring that there must
not be any increase of unsecured gov
ernment obligations.
In all civilized nations industry and
trade require the circulating notes of
banks. The American people have be-
come accustomed to them and will not
dispense with them. For long years to
come the national banks must continue
to be part OF our currency system.
Wisdom directs that unnecessary re-
strictions should be removed from
them. The anomaly Is patent, almost
a scandal. that the laws permit gov
ernment bonds bearing a premium
as high as 80 per cent to be used as
security for bank notes at only 30 per
cent. of their face. This discredit
should cease. BY conceding the use of
these bonds at par, the banks could
and doubtless would add 10 per cent.
to their circulation, which today would
amount to $23,15S,111 scattered all over
the union. The concession could cost
nothing to government or people. The
prejudice against national banks
which we can not fail to recognize. al
though it is so unreasonable, ought not
to stand in the way Of a measure so
much for the benefit of all classes Of
business.
TAX ON CIRCULATION.
1t may be more difficult to secure
legislative approval for a reduction Of
the tax on bank circulation, which the
government could well afford With
the high price Of bonds no peril would
be involved in granting to national
banks the privilege of adding 20 per
cent to their circulation in emergen-
cies upon payment of tax of per
cent. to serve as a guarantee fund for
/ all such emergency notes.
The proposal to authorize the issue
OF notes on the general assets of banks
advocated so vigorously, does not car
ry with il the judgment Of a majority
of financiers or of the people. That in
some form is the method for providing
circulation beyond the suggestions al
ready considered ana in the halcyon
years when there shall be no govern
ment bonds.
With a gold standard established by
law, with fair treatment Of the nation
al banks. all else will follow felicitous-
lp. upon frank discussion and judicious
/ deliberatiOr.
Reports were heard from the various
! group secretaries and the recommends
| tions of the administration council
were adopted. after whj2h adjourn
ment was made till 10 o'clock this
morning.
| Early in the afternoon the local re-
ception committee reinforced by prom
inent citizens interested in our banks
took the visitors for n drive over the
/ Elmhurst boulevard and around Lake
Scranton. Over thirty carriages were
required to accommodates the party
Many of these were private turnouts
Upon returning from the mountain
the visitors were given q. ride about the
city. Some visited the Country club
and others the Correspondence Schools
or like points OF interest
EVENING RECEPTION.
The Scranton club has been famed
since it's organization for the elegance
of the large social functions which il
has given. None. however, have beer
more entirely satisfactory in every re-
spect than the beautiful reception las,
night in honor of the visiting bankers
The handsome rooms of the club were
all utilized and the board OF trade
rooms were also thrown open for dane
ing and for the pleasure of the guests
more than four hundred of whom
thronged the two floors.
Probably never have go many out ol
town gentlemen attended a society af.
fair in this city and every effort wa:
made by the hosts and the reception
committee to make the event mos
pleasant to the strangers. Many of tn,
leading society people were present
There were lovely gowns, much merry
chat, line music and a delightful sup
per served by Steward O'Neill of tn,
club.
The ladies who received were Mrs. j
Benjamin Dimmick, Mrs. Henry Belin
jr., Mrs. Everett Warren and Mrs. II
w. Kingsbury. Mrs. Dimmick wore
a Paris gown Of black lace over blue
satin. Mrs. Belin's costume was OF
handsome black lace and silk and Mrs
Warren and Kingsbury were attired il
exquisite white gowns. Messrs Thos
E.. Jones, f. l.. Phillips and A. II
Christy presented the guests to the
ladies who received, while other mem
bers of the local committee and direc,
tors of the club assisted about thu
rooms.
Supper was served during the entir'
evening and the arrangements were 81
perfect in detail as to admit of no con
fusion at any time.
The board Of trade assembly room
with its stately pillars and fine oil por
traits made a picturesque setting 70
the dancers with the musicians plat