The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1900-07-21
MAKE WAY FOR THE BANK TRUST

The Chicago News contemplates with
pride and satisfaction the early completion
of movements which will result in such
bank consultations In Chicago as will
greatly reduce the number OF banks in
operation in that city. When these move
ments are contaminated tho number OF
banks in business eight years ago In
Chicago will have been reduced one half
by the plans referred to-" explains the
News, -four institutions will go out OF
existence, and as two OF these four have
already absorbed another bank each. the
three remaining banks will really be con-
solicitations of the business formerly done
by nine Independent concerns"
Not content with the power conferred
upon them by the currency act OF March
IA. 1900, which "dlscredits the sovereign
right OF the National government to Issue
all money. whether coin or paper and 10
bestow upon National banks the power
to issue and control the volume
Of paper money for their own
benefit" the National banks now
propose 10 centralize their power in
vast banking trusts. This Is the meaning
OF the Chicago movement. and the Chicago
movement is the initial step in the organ
ization OF huge banking monopolies In the
money oenters OF the country. But our
! Chicago contemporary complacently ex-
plains the economic reason, from l,s
/ Gall
The cancellations which have 30 markedly
reduced the number OF banks within the last
few years have gone on In connection with
a great increase in the volume of banking
business done here At the beginning OF
1896 for example. the aggregate deposits held
by all the State and National banks IN the
city was only little over 5000 900 600, while
the total is now sS75. 100000. When the pend
ing consultations are carried out three in
situations in Chicago will hold about $3.50 600,
900 of deposits, or, say, so per cent OF the
total held by all tho banks four years ago
The motive for the consultations Ia TO be
found in THAI tendency TO Capitalization
which has played 50 important a phrt IN
all commercial lines Of Int. small bank
can not handle big business. and ms the units
Of business get bigger the banks must get
can 40 business with twenty small banks
but n they combine the combination must
hnd bank big enough TO handle us money
Affairs. The bank is simply the money wheel
way Il must correspond In size and power
with the rest of the machinery But there
is still room for comparatively small banks,
as there Is stlll n vast deal OF comparatively
small business.
Certainly ons trust naturally produces
other trusts. and the tendency Of mod
ern business evolution" is toward consoli
dalton It is this sure trend 10 centrallza-
ton and the establishment of moneyed
oligsrchy that will control prices, destroy
competition and subject both producer aud
consumer to the mastery OF the dollar
against which the courage. the intelligence
and patriotism OF the day are proceeding,
Between the consolidation Of the banks,
the department store and tho varied mani
festations OF the trust. how will there be
room for the vast deal Of comparatively
small business to which our contempor-
airy refers2
"The comparatively small business Is
at once the prosperity and independence
OF the individual citizen. A destruction OF
II destroys the individual citizen and
makes him tho slave and victim OF tho
! combine