Dakota farmers' leader. (Canton, S.D.) 1890-19??, 1906-12-14
TREASURY FULL OF GOLD.

- f"H n.E
Secretary ShavS's Report shows
Country's Great Prosperity.
The unprecedented prosperity Of the
United States 10 reflected in the report
of the retiring Secretary OF the Treas
ury, Mr.. Shaw, whose statistics were
filed with the House.
Never before has there been 80 muck
gold in the United States treasury, ae-
cording to the report. On Oct. IS there
was SSH sos, SCOTT Of the precious
metal stored in the vaults. OF the
$3.50 chartered national banks, 4fS
failed and 1,743 were placed in volun-
tary liquidation, n since the estab-
lishnsnt of the national banking sys-
tem in 1888, statistics show that cred
itorS Of these insolvent institutions re-
ceived IS per cont of their claims, on
an average. The money in circulation
in the United States now amounts 10
50, 73S, e4e ,62S, or $33.OS per capita.
The outstanding principal of the public
debt ON June 20 was $S95, 1855, 14O, an
increase Of $500. Including the issue
of Panama bonds the public debt Nov.
J was 1925, j 59,250.
The past fiscal yea shows the larg-
est customs receipts in the history of
the country. Over 100000 was col
lected in customs. 81
In speaking Of the weakness of the
currency system, Mr.. Shaw says that
the harvest Of 1906 strained well nigh
to the limit the credit possibility of the
country, and as to his action at the
time, which met much criticism. he
says:
THE government guarantees against
yellow fever it spends millions to pro-
tect the people against ~unwholesome
food it insIects banks in the interest
of depositors, and does a thousand 9TH
er things to safeguard the people
against disaster of various kinds. This
policy Of governmental supervision re-
ceiyes universal appreciation. Believ-
ing it to be the duty of Ii government
also to protect the people against finan-
cial panics, which in this country have
caused more mental and more physical
suffering than all the plaques known to
man, and recognizing that under Il
system no possible cooperation can be
secured among banks, each independent
of the other, and finding these institu-
lions in the interior sending their MON
ey to be loaned on call in the cities, and
the reserve Of the country, ever in the
idle season, very low, the Secretary OF
the Treasury undertook the task OF
making some slight provision for the
inevitable. He withdrew from the chan.
nels Of trade $780, 0O, 600 and locked il
up. This was accumulated in part by
excessive II and in part by de-
liberate and premeditated Withdrawals.
His only c for withdrawing the
peoples money when they did not need
it, and when it's presence invited spec
ulation, was to have it ready to restore
when they did need it, and when its
absence would bring certain disaster"
Secretary Shaw points out various
ways in which the dealings of his de
partment with national banks could be
put upon such a basis as to act as Q
preventive of panics here and abroad
In his connection he says; 'If the
Secretary Of the Treasury were giveI
$500, 900, 900 to be deposited with thu
banks or withdrawn as he might deem
expedient, md If in addition he wer'
clothed with authority over the re
serves Of the several banks, with powe
to contract the national bank circula
ton at pleasure. in my judgment N
panic as distinguished from industria
stagnation could threaten either tn
United States or Europe that I couk
not avert"
The Secretary's report is issued \
the revised spelling forn, as advocates
by President, Roosevelt