The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1906-07-06
EXPERT TALKS ON
MONEY QUESTION
Frank A. Vanderlp of New York
Regards Currency Problem
Far from Settled.
WILL BLAME THE BANKERS
SHOULD DISASTER ARRIVE
Too Much Prosperity Has Caused
FinanCierS to Be Careless,
He Says.

BLUFF POINT, N. Y, July s.
Frank A. Vanderllp vice-presldcnt of
the National City bank of New York,
was one of the principal speakers at
the New York State Bankers associa-
ton today. His topic was THE Cur
renCy.' Mr. Vanderlip said that the
currency problem I'm this country is far
from settled and he declared 1t TO be
the duty OF the New York association
to take the lead in consistent move
ment for the betterment OF conditions
MI. Nanderlip's address in part fol-
lows:
To my mind we are in a lethargy of
success. We hear pacans of prosperity
sweetly sung on every side, Unexam-
pied totals mark the measure of every
phase of industrial and commercial
life. We have engaged in expendi-
lures of capital on scale so vast that
it makes the financial operations OF
other days seem petty by comparison.
Labor was never before so fully or so
profitably employed, business was
never so active. And, some of us say,
there surely can be nothing wrong with
situation that gives such evidences
of health and growth.
Would Blame the Bankers.
"If financial disaster should ever
come because we have failed to enact
proper legislation the blame for that
disaster viii lie against the bankers of
New York more directly than against
any other group OF people.
The one thing that / want to urge
Is the Importance of providing a scien-
tif1c bank note currency II we wish an
indefinite continuation of prosperity
and further to emphasize the RESPONSE
bility which rests particularly upon the
bankers of New York in presenting a
plan for such currency. The plan may
take one OF a half dozen forms. Per-
haps the best one, were II politically
possible, would be the question of n
government having the power of issue
whose sole business would be in its re-
lntion with other banks and whose
chief operations would be the redis-
counting for other banks. I do not
mean that any existing institution
could be metamorphosed into such a
central bank. 1t would have to be
freshly organized from the beginning,
its control would need to be largely In
the hands OF the Government and its
ownership widely distributed among
banking interests throughout the coun-
try The principles of a scientific asset
currency could we'll be worked out
through the medium OF such an insti-
tuition, as the experience of Germany
GlO1uenIly tCSIlueS, Out IneN can De
undoubtedly be worked out In some
other way
Advances One Solution.
The fear which men so commonly
have of giving a large power of note
issue TO small national banks will
largely disappear when the opponents
of asset currency have once fairly In
their minds what the result will be of
providing adequate redemption facili-
ties That plan can be devised which
VIII safely permit every national bank
to Issue a certain amount OF notes not
secured by Government bonds l have
no doubt. and | am inclined to think
that it is along that line that leGisla-
ton is most likely TO be obtained, al
though perhaps it is not the ideal solu-
ton.
The thing of which I am absolutely
certain, however, is that solution of
the whole problem can be attained
wisely. promptly and easily If bankers
would give TO a consideration of the
subject anything like the attention
which ii merits. The responsibility is
on the bankers OF New York. You can
not hide behind Congress to avoid the
responsibility. You cannot shift the
responsibility to the shoulders of your
associates In the West. You are the
financial leaders and the responsibility
Of leadership Is yours"