New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1905-10-12

Teeet! oonVeTSaSI}n Won Siemens the creator
of the Deutsohe Bank The paAS S sSGo G6 So ~
$500 O00OOO and then had gone We4A peSo4'9 SUoV'-
ooooO and it looked as II Te 81 tSat sort of tbnS
go asked Herr Won 9lenieLS We i. was
well known German phrase, "A tree never quite
grows TO heaven Events soon po ,,gd not on mite
grow To heaven although for the moment II dio
hook IS though It Of FoG Which gives promise
OF doubling the monetary STOCK oil tle "2F4 III me
cries OF the classical economists held good, that
with a doubling Of the gold stock would come eo a
tain that the theory win not entirely hold good
There viii be counteractinE influences
AN IMPULSE TO DEVELOPMENT
What 1 do believe Is that there is likely to fol
low Just what followed IN the two former periods
of tho worlds history when there was an eX-
tary STOCKS One of these periods followed the dis
covery OF America when the treasures OF mexico
years following the discovery Of gold in California
and Australia In each case mighty Impulse was
ment.
portsnt effects of this great production on goi9 9
win be to give impulse TO the development and
Asia and Eastern Europe. AT our own hand is
South America side and China and Japan
commercial possibilities within these countries If
we are TO nave an influx of gold than ample
affairs fact Will tend to lead our interests into
those new fields of exploitation Then, in turn a
wider use of credit which these fields Will de-
velop, and the increased reserves which that wider
use Of credit will make necessary VIII pFooply H
sorh the increasing gold stock in benefcent uses,
preventing it from ever becoming serious menace
to business organization.
The outlook IS surely bright. What can hurt US?
What dangers are ahead? With bountifui harvests,
with lavish mineral production, with increasing
financial strength. with wonderfully improved IN
form OF commercial activity what is there to fear
in the future? Is it clear sailing? Can we make
commitments without fear for the future? Is the
An optirnist might be forgiven for thinking that it
ought to be- We have good many elements of a
firm foundation under our feet but again we might
quote the German phrase "A tree never g9ite
substantial foundation stones on which to rear a
structure of prosperity, we may be quite as sure
Some he avoided, others win not Some it is
possible TO foresee, others we will fail to recog-
tiIogicaT an Tnecinetifc currency system We
know that this system may at any time breed us
trouble. We know that there is not a European
fnancier of broad intelligence who. looking dispas
does not feel that it has in it dynamic posi-
vorable. Indeed it is when ali other conditions are
Most LaE3ranie maj l the 9ahgep Is elf tbst We
have. there might he ptfall for us in that guar
our usual good luck we may avoid disaster, but it
is the sort of time. nevertheless when we ought
clearly 10 that have a system which might
rioI1sIy orr comn9ereiai establishment We know
that we are threatened by great social disorders
that the edict of a labor leader might change
there is a disregard Of law in labor unions and in
corporation offices alike which is threatening to
our welfare. We can. ct the moment clearly see
that however prosperous conditions may appear.
a speculative fever begin to rage Should a stock
market speculation start from the present high
level Of prices in the face of the extraordinary de-
mand for capital ard money which crops and
business alike are making, the result might easily
be temporary disaster.
I have been emphasizing some Of the bright sides
of the picture. but there are shadows In a gath
erng like this jeremiade songs are not pleasant,
bI1tt there are q
not be out of harmony with true conditions Never
was there better time TO preach conseryadsmi
by some of the obvious features Of prosperity and
to forget some OF the dangers Wnich IN tLe emu
will be quite potent in shaping the ultimate re-
though there NAV he many favorable features to
the outlook it time for prudence to be cast TO
which would yield disaster If temporary ,reverses
came; time for laxness in any OF the forms OF
business prudence and conservatism.
There prevailed in the important speeches be-
fore the convention the sentiment that financial
legislation is necessary. Thrty-three hundred
bankers applauded Secretary Shaw to the echo
when he concluded q long address the bur-
den Of which was a panorama of the prosperity
Of the country contrasted with a monetary sys-
tenn which is infexible and likely thereby to
bring disaster at any crucial time. Secretary
Shaw suggested a remedy-a heavily taxed ma
tionaI banknote currency. which would be drawn
forth at times Of unusual demand for money
and by reason Of the tax be retired Immediately
upon changed conditions.
Mr. RidgeIy, Controller of the Currency,
pointed out the necessity Of changed methods in
some respects in the governments supervision
Of national banks. President Roosevelt was ap-
pIauded and thanked for his successful efforts in
making peace between Japan and Russia The
President received the bankers and the women
them at the White House. There
were no speeches. The President shook the
hand of every one of the visitors and extended
his warmest greeting.
The programme for the day was too heavy for
accomplishment, and the session, which began
shortly after 10 o'clock and terminated only
that the delegates might get luncheon and re-
pair to the White House at O'Clock, left several
business questions to augment the work to-
morrow.
The thirty-fFst annual convention Of the
American Bankers Association was opened in
the new National Theatre here to-day, with
more than three thousand members present.
Standing during the invocation of the Rev. Dr..
McKim, the bankers repeated the words of the
Lords Prayer at its conclusion. Welcoming adj
dresses were made by John Joy Edison, president
of the local bankers association. and Commits
sioner mcfarland, of the District government.
The bankers appauded the mention Of Presi-
dent Roosevelt's name as slgnifying civic hon.
esty
PRESIDENT sWINNEYs SPEECH.
Responding to the welcome, President E. &.
Swinney Of the association declined the keys
of the city, behalf OF his brother bankers, to
keep their regulations invtolate should things be
missing after they had gone. He continued in
part:
We have cause to congratulate 4l ourselves upon