The Fairmont West Virginian. (Fairmont, W. Va.) 1904-1914, 1907-12-03

pe permitted 70 Issue q speeifed pro
,tpotdehs Of their esp1taIsin notes OF d
I:gissn lind, The Issue to De taxed d,
! $50 high q rate as to drive he notes
back when not wanted in Legitimate
trade. This pisn would not permit
the Issue 81 cafreasy 10 Sgise banks
additional profits. but TO meet the
emergency presented BY times Of
stringency !is
Il do not say TINT this Is the right
system. ! only advance ii TO empha.
size my belief that there Is need for
the adoption Of some system which
shall be automatic, and open to all
sound banks, so as to avoid all posi-
lbility Of discrimination and tayoritism.
Such q plan would tend to prevent
the spasms of high money and specn.
lation which now obtain in the New
York market; for at present there is
too much currency at certain seasons
Of the year. and It's accumulation a.
New York tempts bankers to lend 1t
at low rates for, speculative purposes;
whereas at other times when the
"roDs are being moved there is urgent
need for n large but temporary in,
crease in the currency supply. II
must never be forgotten. that this
question concerns business men gem
orally quite as much as bankers: es-
peclally is this true Of stoclImen.
farmers. and business men in tho
west; for at present at certain sea.
sons of the year the difference In inter.
est rates between the east and the
west Is from G to 10 per cent, whereas
In Canada the corresponding differ.
ence is but 2 per cent. Any plan
must, OF course. guard the interests OF
western and southern bankers. as
carefully as It guards the interests Of
New York Or Chicago bankers, and
must be drawn from the standpoints
Of the farmer and the merchant no
less than from the standpofnts of the
city banker and the country banker"
again urge on the Congress the
need of immediate attention to this
matter. We need greater elasticity
IN our currency; provided, Of course.
that We recognize the even greater
need OF safe and sound currency.
There must always be the most rigid
examination by the National authori-
ties, Provision should be made for
an emergency currency. The emerg-
ency issue should. of course, be made
with an effective guaranty, and upon
conditions carefully prescribed by the
Government. Such emergency issue
must be issued under heavy tax.
This would permit currency being is.
sued when the demand for twas urg.
ent, while securing It's retiremer
the demand fell off. 1t is worth in.
yestigatins to determine whether OF.
ficers and directors Of national banks
should ever be allowed to loan to
themselves. Trust companies should
be subject TO the same supervision as
bank; legislation to this effect should
be enacted for the District OF Column
bia and the Territories.
Yet We must also remember that
even the wisest legislation on the
subject can only accomplish GER
tain amount. No legislation on the
subject can by any possibility guar.
antee the business community against
tile results OF speculative folly any
more than It can guarantee IN indi-
viduaL against the results OF his OK.
traragance. When IN individual mort.
cages his house to buy IN automobile
he invites disaster; and when wealthy
men. or men who pose as such. or are
aRscriRiloas'y Or fooiishfy eager TO
become such. INDUCED in reckless spec.
u'ation-especiaIly II 1t is accompanied
by dishonesty-they jeopar,lize not
only their own future but the future
OF all their innocent fellow.citizens,
for they expose the whole business
community to panic and distress.
The income account of the Nation
Is In n most satisfactory condition.
For the six fiscal years ending with
the LIST of July last. the total expendi-
lures and revenues of the National
Government, exclusive of the postal
revenues and expenditures, were, Iii
round numbers, revenues. s3,lG5,O 900.
OGO, and expenditures, S3,275 100000.
The net excess Of income over expen.
ditures. including In the latter The
fifty millions expended for the Pam.
ma Canal, was one hundred and nine
ty million dollars for the six years
an average OF about thirty-one millions
n year. This represents an approx
nation between income and outgt
which 1t would be hard to improve
The satisfactory working of the pres
ont tnrtfs ,,,v H., hoa, a,,inp,, ,,.,,,a..