The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1903-07-17
MORE MONEY ASKED.

AS appears In our Washington cor.
respondence, printed yesterday. ono Of
the plans Of monetary reform consid-
cred by the Republican members OF the
Senate Finance Committee ut their re-
cent conference at the Hot Springs OF
Virginia has been made public ''as a
basis for discussion" and is given now
with authoritative precision
This plan contemplates authorizing
the issue OF additional currency by ma
tional banks up TO % per cent. OF the
amount of their capital. On this issue
it ts proposed that the government shall
place a tax OF say per cent. per an
mum. Because OF this tax It Is argued,
banks would only call for the additional
currency in times OF the greatest strn-
gency. Interest and loans would have to
be higher than s per cent. to induce ..
bank to go to the expense Of Issuing ad-
ditional currency. The moment interest
rates drop below 5 per cent. it Is be-
lieved this currency would retire auto
maticaly.
1t is calculated that this plan would
give additional currency to the amount
OF s200,0oo,0 900, which sum, it is sup
posed, would meet any emergency that
might arise under any financial strin-
gency.
We further learn that under this plan
banks availing themselves of this addi-
tional circulation would not be required
to put up any additional security for 1t.
1.-THE security for these notes, which is
considered ample. would be first the
bank itself; second, the fund created in
the treasury of the United States by the
accumulation OF the S per cent. tax"
Senator Aldridge Is understood to be OPP
posed to this scheme, fearing that when
will be to reduce the amount OF the tax,
and, consequently. the incentive to re-
tire the additional circulation when 1t is
not needed will be removed
Mr.. Cannon, the Speaker to be, is also
against the plan. as he was against the
Aldridge bill last session. His position
is that the country Is not in need OF
financial legislation Of any kind. He
holds that 'the West and the South are
not In need Of relief either now or ut the
crop-movng period"
His information Is very different In
deed from that possessed by most bust
ness men. and we believe will not be
sustained by the Western and Southern
members of Congress. On the contrary,
In the light Of the present financial stu
alton and looking forward to the prob
ability of tight money In the fall. we
shall be surprised II there does not come
from the South and West positive and
islation--a demand so nsstent that Mr.!
Cannon Will be forced to change his po-
sition
Nor Is 1t probable that Mr.. Roosevelt
would be content to go into the presi-
dental campaign next year without be-
Ing able to refer to the fact that Con-
gress had used its very best endeavors
to meet the expectations OF the people
on this highly important question.
Whether the plan we have outlined is
exactly What the country needs, or whe-
ther 1t is one that will be acceptable to
the majority in each house OF Congress
is a serious question, but. at least. 1t will
afford "a basis for discussion" and may
possibly prove to be the starting point
for the reform which is pressingly need
ed, and which, II not furnished now, may
give the country much concern in time
TO come.
| The plan Of procedure OF the Republ-
can members Of the Senate Is first to
try to agree among themselves, When
they are ready to submit a report. OF
reports, TO the full committee. theil
Democratic colleagues will be called in