The St. Louis Republic. [volume] (St. Louis, Mo.) 1888-1919, 1902-12-04
ANYTHING But CONSERVATIVE.

The Republican party has uniInled"d control @.
legislation affecting the currency. That party claim.
to he the sole politica! agent Of The conservative huSi
hess class. 1t is worth while 10 examine the present
Republican policy regarding the currency from it,
own ~p:cfessed standpoint Of banking conservatism: 10
investigate its ability to deal with the currency even
On the theory Of which ii claims 10 he The only
exponent.
Endorsement Of the Fowler bill by the fiscal officers
of the Federal Government. especially by Comptroller
I;idgely. signifies rather 4 radical departure frosI con
sentative financial principles. The plea for I more
rIiahle currency" should be received by tie public in
much the same spirit rs il WIS received ty the Amer
lean Bankers Association 1T the annual convention il,
New prlcaEs-with fairness. Int with considerable
caution.
Another and better title for more pliafie cur
rency" and assets currency" is .-mcrgcucy rurrcucy."
Tile last title best tyiiies the cause for and intention
Of an elastic currency. The Fowler bill attempts to
provide resources for 4 crisis. 1t would he 4 better
bill if it would prescribe preventives for emergencies.
and if it did this with more regard for conservative
methods.
Advocates Of branch banking" and "A more p!iablc
currency" assume thar the provisions Of The Fowler
bill are essentially the same as cardinal provisions or
the Chase act. otherwise known as the National Bank
ing act. which was enacted under the administration
Of President Lincoln. Their contention is. or assnre-ily
will be. that the pending measure BordairS The Chase
act. with Improvements which will give the national
banks more latitude and max" the law more adapt
able to changing business conditions.
This contention cannot well he sustained. although
the Fowler bill does recognize the Chase act n the
extent that if acknowledges the fundamental foa-
lures OF the national banking system. But the Fowler
bill is different from the Chase act in that it gets
away from the element Of conservatism.
We are told that banks would he strengthened in
IN emergency if they had the power. subject To- the
Jurisdiction Of the Treasury Department. to issue
emergency currency" They might have more ma
tcrial strength. hut they would lose The moral strength
that is one Of the best assets Of Il stable institution.
In an emergency banks desire 10 inS;ir. confidence
by refining as much as possible the idea that there
i an emerge ncv. Issuance Of emergency CURRENCY
50 tickct"d, would be IN admission That an emergency
is existent.
Maybe some changes in the law are necessary. 1t
least it is said ny advocates OF the Fowler bill that
the currency should be made moro elastic. in order "a
meet conditions attending the yearly movement of
crops. The advice Of conservative. representative
men would be better obtained rs TO t:Iis before final
conclusions are reached. It appears tlIar such con
tiugcncics could he provided against without placing
dangerous power in tho hands of men who may he
selfish and avaricious, or rash and iInprudent.
The Fowler bill seems to be n measure that would
encourage speculation and interruptions tactics, in
preference to conservatism. Coming at this time.
when affairs have been unsettled by oyerspeculation
and questionable security schemes, The hill must neces- ,
sariy he met with suspicion.
Instead of n law that would contemplate elnergcn-
cics we should have Il law that would countpract and
prevent them. Instead of Offering aid TO spectators
after an emergency has arisen. we should try to dis
courage wild speculation and adjust the currency sup
ply 10 the steady and normal demands Of the people.
The Republican party believes less in sound
money" than it does monOpClies, trusts and specu-
latorS. 1t believes in allowing these institutions TO
do what they please and then save them by. enactiug