The citizen-Republican. (Scotland, Bon Homme County, S.D.) 1???-19??, 1906-12-06


Power To- dealswith It should be conferred
on the national
Whe home ties are loose1eds when men
md women. cease to regard aworthys fam
lily life, with all its duties fullysreforned,
and all its Responsibilities slivedgup to,as
ne life best worth Iiying; then evil days
Ior the commonwealth are at hand.
The Subsidy Issue.
the to two subjects concerning
which I have frequently before communal
gated with them. One is the question of
developing American shipping. J. trHst
that q law emhodying In substance the
views, or q major art OF the views,,ex-
pressed in the report son this subject laid
eeIose THO house tits last session will be
passed. I am wen aware that in former
years objectionable measures lave been
proposed In reference to the encourage
ment OF American shipping; but it seems
nearly unobjectionable as anyscan be- 1T
VIII OF course benefit primarily our sea-
poarq states, such as Maine, Louisiana
and Washington; but what benefits part
of our people In the end benefits all; Just
as government aid to irrigation and for
.estry in the west Is really of benefit, not
only to the Rocky mountain states, but
TO all our country. If 1t prove impractic-s
able to enact a law for the encouragement
OF shipping generally, then at least provi-
SION sllouid be made for better commuI.-
catlon with South America, notably for
fast mail lines to the chef South Amer.-
can ports. 1t IS discreditable to us that
our business people, for lack of direct
communication In the shape of lines sof,
steamers with South America. should in,
thai great sister continent be at a disad-3
vantage compared to the business people
of Europe.
Currency Reform.
I especially call your attention to the
n laws. the national bank act has
ABLY served a great purpose in aiding the
enormous business development of the
sountry; and within ten years there has
from $2i.41 to $3s.0S. For several years
evidence has been accommodating that adj
dkiional legislation is needed. This re-
chfrence of each crop season emphasizes
the defects of the present laws. There
must soon be q revision OF them, be-
Gauss Sec' TO i sia them as they are mean
Since our body adjourned there has; been
q huctuation in the interest on call money
from 2 per cent. to 80 per cent; and the
ductuaslon was even greater during the
preceding six months.
The secretary of the treasury had to
step in and by wise action put a stop to
the most violent period of oscillation.
Even worse than such f~1uctuation is the
advance in commercial rates and the UNI
certainty felt In the sufiiciency Of credit
- NAtott - IS 49, ~
t%srests suffer during each crop period.
Excessive rates for call money in New
York attract money from the interior
banks into the speculative field, this de-
pletes the fund that would otherwise be
available for commercial uses, and COM
merc.al borrowers are forced to pay alb
normal rates; Sc that each fall a tax,
IN the shape of increased interest charges,
is placed on the whole commerce of the
country.
The mere statement Of these facts.
shows that our nresent system is seri-
o1tsiy detective, There is need OF a
change.
Unfortunately. however, many of the
proposed changes must be ruled from
consideration because they are conapli-
Gated, are not easy of Comprehension.
interests. We must also rule out any
plan w'ich, would materially impair the
value of the United States 2 per. cent.
the issue OF which was made under con-
ditions peculiarly creditable to the treas
ury. do not press any especial plan.
posed by expert committees of bankers.
Among the, plans which are possibly
feasible and which certainly should re-
celVe your consideration is that repeat
eddy brought to your attention by the
present secretary of the treasury, the
essential features of which have been
approved by many, prominent bankers
ana business men. According to this plan
national banks. should be permitted to
Issue a specifed proportion Of their cap
-, - OsSS ~ = 1iN vi lin tiIS l0Sht.
to be taxed at so high a rate as to drive
the notes back when not wanted in legl-
innate trade. This plan would not per-
NIT the issue Of currency to give banks
additional profits, but to meet the elner-
gency presented by times of %stringency.
To Prevent Spasms.
do not say that this is the right
system: I only advance it to emphasize
ton Of some system WHICH shall be an-
tomati and open to all sound banks,
so as to avoid all possibility of discrim-
, mo1 ! ta and f ia nraEant t s9eh -, a plan oe
high money and speculation which now
obtain in the New York market; for
certain seasons of the year. and its ac-
cumulation at New York tempts bankers
to lend it at low rates for speculative
purposes; whereas at other times when
the crops are being moved there is urgent
need for a large but temporary increase
In the currency supply.
1t must never be forgotten that this
question concerns business men generally
quite as much as bankers; especially is
this true of s~tocknen. farmers and busi-
certain seasons of the year the difference
in interest rates between the east and
the west is from 6 to 10 per cent, where
is but 2 per cent. Any plan must, of
guard the interests of western
and southern banke as Carefully as it
guards the interests of New York or Chi
IlDS taabNh 'hAp IN H Ii IA
the standpoints of the farmer and the
merchant no less than from the stand
points of the city banker and the country
banker.
The law should be amended so as spe-
c1tlcally to provide that the funds derived
from customs duties ma be treated BY
the secretary of the treasury as he treats
funds obtained under the internal rev
enue laws. There should be a consid-
cradle increase in bills of small denon1i-
nations. Permission should be given
banks. if necessary under settled re-
strictions, to retire their circulation to a
larger amount than 100000 q month.
Philippine Tariff.
] most earnestly hope that the bill to
free trade in Philippine products will be-
a law. No harm will come to any
American industry: and while there will
be some small but real material benefit
to the E~Filipinos, the main benefit will
come by the showing made as to our pur-
TO do all in our power for their
welfare. SO far our action in the Phil
ippines has been a~bundantly justified,
not mainly and indeed not primarily be-
cause of the added dignity ii has given
US as a nation by proving. that we are
capable honorably and efficiently TO bear
the international burdens which q mighty
people should bear, but even more be-
cause of the immense benefit that has
come to the people of the Philippine
islands.