Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1904-11-29
IAFTS ANNUAL REPORT
Takes Up In Detail the Question
of Currency For the Philip
pine Islands
IN ISLAND EXPORTS
This is Explained by the Change in
the Monetary System From Mexican
Silver to the Gold, Making Change
in vaIues-Need of Railroads for the
Islands.

Washington, Nov 29.-Secretary OF
War William III. Taft, in his annual
report submitted to the president yes
terday, takes up in detail the question
of commerce and currency in the Phil
ippine islands.
He says in part:
"The trade of the islands for the ifs
cal year ending July /. 1904, as SHOWN
by the total exports, exclusive OF silver
and army and navy supplies, has fallen
from a total of s66,O0O,OO0 in the fiscal
year ending July 1. 1908, to s63,000,000.
a reduction chiefly in the exports.
This is explained by Governor
Wright as due to the drought and To-
Gusts, which destroyed many of the
crops. Another very probable cause is
the interference with current business
due to the change of money from the
Mexican silver standard to gold
standard. BY an act of congress passed
in 1903 the standard of value in the
Philippine islands was fixed at a Phil
ippine peso, the equivalent of SO cents
gold, and provision was made for the
coinage Of a new silver Philippine peso
Of this value out of silver il. Unsteady
worth about 40 cents.''
Secretary Taft goes into this change
in detail, saying that it will certainly
form unique instance in the financial
of the world Of rapid change
from one coinage to another.
He continues:
II cannot too strongly urge the pas
sage by the senate of the so-called
Cooper bill, which has already passed
the house. This bill embodies nearly
all the recommendations of the Philip
pine commission contained in It's re-
port of 1903. In it's first section 1t ex-
empts from federal, state, county, or
taxation either in this coun-
try or In the Philippines all bonds is
sued by the government of the Philip
pine islands or by its authority.
"The Philippine government Is the
result Of an effort on the part Of this
nation to assist the Philippine people
to stand upon their feet. 1t is a ma
states, counties and municipalities Of
this country of bonds issued in the
furtheranca of that experiment is
burden upon it, and an obstruction to
its success. Therefore the national
thru congress, may very
well declare such bonds to be exempt
from state, county and municipal taxa
ton and keep well within its constitu-
tfonal power.
Railroads in the Philippines.
''The Philippine islands have now in
operation but 100 miles of railway.
Their superficial area is upward of
100000 square miles. Their population
is nearly 100000. The railroad mile
age, when compared with that Of the
dependencies Of any other country in
the world, is ridiculously small and is
a full explanation for the lack of de-
velopment Of the resources of this
archipelago. 1t fully explains the fact
that there are today in the islands
twelve difference languages spoken by
the 100000 civilized Christian Fill
pinos, and largely explains the ignor-
ance and state Of pupilage in which
a great majority of the people Of the
lSlanuS commune.
Nov, how shall encouragement he
given to railroad construction in the
Philippines? With respect to the Pa
cific railroads, it was given not only
by the issue Of bonds for the purpose,
but also by the conveyance of enor-
nous tracts of land. The reasonable
objection to this latter mode is the
uncertainty Of the value of the grant
which is made, so that ultimately it
may prove to be out of all proportion
to the capital invested. The mode pro-
posed in the bill under discussion is
that of guaranteeing the income on an
investment for not exceeding thirty
years and not exceeding per cent.
"It is probably true that the build
ing of some lines Of railroads in the
islands could be secured thru the
investment of foreign capital without
a guaranty at all, but only those pieces
of road which are certain to be profit
able would be built and no system of
railroads, without which the general
of the lands can not be
would be constructed. I'm
der the provision of the section, the
whole burden which can be imposed
upon the general government of the
Philippine islands is s1,500,000 a year,
and this is contingent burden which
will be reduced by any net profits re-
,eived In the maintenance of the road"
Secretary Talf also urges that ma
.erial for railroad construction be adj
nitted to the island free of duty.
He urges that the powers of the
Philippine commission be greatly en-
arged with respect to the imposition
Of duties on imports into the Philip
pines, saying that the many changes
necessary cannot be considered by
congress during it's short session.
The report also discusses the friar
ands, the Philippine exhibit at the st.
Louis exposition, the Philippine scouts
and the Philippine census.
TRAIN pNpoene, ao- 1an,A,~