Rocky Ford enterprise., 1907-08-30
SIX BILLION
AvERTS PANIC
PRODUCT THIS YEAR REACHES
SUCH ENORMOUS PRoPoR.
TioNs CRISIS CAN'T COME.
COMPTROLLER HOPES
SAYS THAT FEDERAL CASH
PLACED AMONG BANKS SHOULD
PREVENT A CRASH.

washington.-wiiliam u. Ridsley.
comptroller Of the currency. discussed
In detail the plan which Secretary Cor
telyou has formulated to relieve pos
s!bie money s'rinsency this iai
through the distribution OF funds
among national banks. He gives sew
erai reasons for regarding the plan as
''wise and timely" and says he can
sec no reason why the demand for
liquidation should become 30 general
a. TO produce anythin. like panic or
commercial crisis. In face, he takes
q most optimistic view OF the situa-
ton. maintaining that the treasures
were never before 10 available IN NJ
present. Comptroller Ridsicy's state
mcnt follows:
..Thc announcement made by Secrc.
tary corteiyou Of his plan for rciiev-
Ing the strain on the money market
by tho deposit Of government funds u
very wise and timely and 4 should go
very fnr toward ailaying the npprehen'
sion and rcstorin. business to It's nor
NAL condition.
.It Is well known by everyone at all
connected with the money market that
the present sirinscncy applies 10
loans. Time money Is very Tight. while
call money Is comparatively easy. FOR
this reason the pressure In bearing
most heavily on commercial and manu-
featuring interests.
Danger In Delay.
.sccrctnry Taft's plan Of making dc.
posits where money In needed VIII en-
able him to apply his relief wherever
Il will do the most good to CONNER
o. t.,S xsrl
LESS reference to the speculative
situation. 1 believe II In better to
rake this announcement now and OF.
fer the relief In this way than To wait
until the stock market In In more or
less OF panic and rates for call loans
are extremely high. One OF the great
disturbing factors In our annual crop
moving stringcncy has always been
tho uncertainty Ms to when and how
the secretary OF the treasury would
tnkc action. II is sometimes charged
that call rates have been manipulated
up to fictitious heights; to effect this
action, ] am glad that MIR. cortclyou
hns anticipated this. and. by making
this announcement. now removes Us
much Of the uncertainty as In pos
siblc."
recurring care and cool.hcadcd. dclib-
crate action. especially on the part OF
the bankers. there Is no reason at all
why the demand for liquidation should
so spread rs to produce anything like
n panic or commercial crisis. The bank
| ing condition IL unusually sound. more
so on account Of the reimbursement OF
stock market values.
There Is n tremendous demand for
money as II IL called. that Is. de-
mand for credits to finance all kinds
Of business. But II is no greater than
Il has been In the aggregate and only
| requires some shifting In detail. The
banks have the resources to supply
this credit. and while It may be nee.
essary for them to curtail new oper.
ations and discourage any further cS.
pansion among their customers they
should have no difhculty In taking
care OF the current business and nc.
commodating their customers In all lie.
gitimate demands. The banks have
Imet several similar crises before sue
cessfully. and with better banks. bet.
ter organizations, more reserve money
and with an absolutely assured stand
ard of value there Is absolutely no
doubt that they will be able to take
care of things this fall and get us over
the critical period. I
"Prosperity Hard to Stand"
"The element In the situation is due
to the season OF year and the fact
that we have raised between five and
six billion dollars worth OF grain, cot.
ton, cattle. hogs and other farm pro.
duce In addition to coal, iron. steel,
copper and other wealth that Is being
produced.
This is not situation to get
frightened about or to make 1t nee.
essary to call on every one suddenly to
pay their debts. but It should rather
encourage the banks to take care OF
their customers and make loans con.
servatively wherever there Is proper
basis for credit. We should take cour.
age from the fact that although this
situation doubtless is as claimed.
worldwide. and international, that we
have in this country enormous ele-
ments for recuperation in this vast
production of wealth. It never was
SO great as at the present time or more
available for our progress and devel.
opment. Prosperity is proverbially
hard to stand, but there is no sense In
letting such evidences scare u.s."