Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1906-10-08
IS UNN|SE, SAYS0ENS
New York Banker Declares Cen
trail Bank of Issue to Be Alb
solutely Impossible
WOULD CREATE a MONOPOLY
And Merely Excite and Promote Jeal-
ousy and Opposition of Other Bank
ing Institutions Without Attaining
the End in view-cIews' Weekly
Letter Devoted to Currency Reform.
Special to Tlmes-Republican.

New York, Oct. 8.-There are signs
| of IL welcome and very necessary re-
vival of interest in the question of
currency reform. This tardy awak-
ening is due entirely to present abnor-
| NAL monetary conditions, and should
be greatly stimulated by the timely ac-
ton of the New York Chamber of
Commerce and the American Bankers
Association, both of which bodies are
taking an active interest in this i'm
portant subject. Or course, it is in
run must be depended upon for arous-
ing public opinion to the necessity of
action. Discussion has become weari-
some to all; and the country is tired
and confused by the innumerable cur
rency schemes presented for consider
alton.
Those competent to deal with the
problem in a scientific manner have
long ago agreed as to essentials, differ
ing only slightly upon minor details.
All are agreed upon the urgent neces-
sity of giving our currency system the
elasticity in which 1t Is SO glaringly
lacking, and upon taking the govern
ment out of the banking business. Even
the ordinary observer now grasps the
fundamental idea that our currency
should automatically expand and con-
tract in accordance with seasonal de-
mands.
Six and per cent rates for time mon
ey--and limited amounts at that
quickly convince the average business
man that something Is wrong; and
that such extreme and unstable rates
seriously interfere with the safe con-
duct of ordinary business; to say
nothing of the highly speculative con-
ditions fostered by such irregularities.
1t will be "a good omen, indeed. II the
business sentiment of the country can
be sufficiently aroused on this sub
ject; for the borrowing classes will be
vastly more benefited by stable elias
tic currency than banking interests,
which easily protect themselves against
such fluctuations and often profit
therby. Congress will never act unless
forced.
Our bankers and hnanciers have
been knocking at the doors of the
house of representatives for years to
no purpose whatever Unfortunately.
it is good politics" to ignore Wall
street, and to refuse it's requests, re-
CARELESS of their merit, soundness or
necessity; until nothing but sheer good
luck has saved the country from the
destructive consequences of legislative
neglect.
When our practical men Of business
make themselves really felt at Wash
inston, congress may be whipped into
action. 1t is absolutely certain that
continued refusal to adopt sane CUR
rency measures will lead us to drift
into one of the greatest financial crises
that the country has ever seen. OF
course, we shall have panics with or
without currency reform; but disas-
ter will be UNNECESSARILY aggravated by
to clumsy and Anticipated
currency system; or correspondingly
ameliorated by adopting system that
is scientific, elastic, automatic, and
suitable to American necessities.
The report of the Chamber Of Com
merce committee contains many excel
lent SUGGESTIONS, Is ABLY pfeseuleu, anu
should do much to awaken interest in
currency reform. The chief objection
to the plan proposed is the idea of a
central bank of issue. Such pro-
posal is politically unwise and abso-
lutely impossible. The central bank
idea is deserving Of no consideration
whatever. 1t would merely excite and
jealousy and opposition of
other banking institutions, creating a !
sort of monopoly with special privi-
leges without securing the end in view.
HENRY CLDWS.