The Opelousas courier., 1907-11-09
Much Speculation BY Outsiders
AS to Why Secretary Taft Wis.
tied Berlin1eArctic Explorer
in Washingeon-Other Items
of Interest to the Public.

->~3
the financial stringency and putting more
money into circulation seems to be meet
ing with success, and is receiving the sup
port and cooperation of the banks. This
plan was announced only in the middle
of the week. The government has made
all the deposits of cash ia the national
banks that it is felt safe for the Treasury
to make at this time, and as there is more
money needed to carry on the business of
the country, the Secretary of the Treasury
urged that the national banks should is
sue additional note circulation up to the
limit allowed them by the present law
Hardly any of the banks have availed
themselves of this privilege to the full ex-
tent, and some not at all. The note issue
has to be based on government bonds de-
posted with the Treasury Department.
Many of the banks have bonds of this
character deposited as security for depos-
its of government funds, but for such de-
posits the Treasury will take approved
railroad and municipal bonds, so that by
shifting the government bonds over as
security for note circulation, the banks
could all issue more money and help the
cash situation considerably. There is
now in the Treasury about $167, 600, 900
worth of bank notes that could be thus
issued. The total amount of money that
could be put into circulation by this
means would be nearer $500, O,00O, 600.
In the first forty-eight hours after the
suggestion had been made to the banks,
there were responses of a favorable tenor,
pledging note issues all the way from
$1,000 up to s2,000,0O0. 1t is said that
ons bank in New York alone could issue
If it wished 100000 900 of note circula-
ton. With this additional money out,
the cash tension would be relieved, and
there would be much more money avail
able for crop movement, and this in turn
would bring more money from abroad,
increasing our ofreign trade balance and
easing foreign exchange.
The Treasury Department is decidedly
pleased with the foreign gold outlook as it
is. There has been total of .$23, ,O0O,-
300 in gold engaged abroad, and the trade
balance with Europe will increase when
the wheat and cotton crops move abroad.
Governor Frantz of Oklahoma had talk
With the Secretary of the Treasury while
ne was here this week, and he says that
here is million-bale crop of cotton to be
move from Oklahoma beside about 3d.
100000 bushels of wheat. The furry in
New York did not, of course, affect the
prosperity of that part of the
:untry, but, like SO many other agricult-
lral sections, the scarcity of ready money
nd the contraction of credit clogged the
wheels of commerce just when they should
AVE been moving the most rapidly.
There is a good deal of quiet specula-
ion outside the inner official circle in
Washington as to the meaning OF Secre-
ary Taft's changes of plan with regard
o his visit to Berlin. He is making the
rand tour with vengeance, and being
n American Cabinet officer, when he
alls at a foreign capital and sees the SOW
reign, it is a little difficult to make it
ppear that the call is purely personal
nstead of official. So long as he was in
he Philippines he was there in his official
apacity. But when he got outside of
american territory, it was advisable for
is visit to have a more per-
onal and less official character.
lis original program called for
is trip to Berlin while the Kaiser was
Ut of the country, and it is understood
hat Emperor William himself sent him /
ersonal invitation to delay his visit till
., the Emperor, had returned. Secre-
ary Taft was going to do this, and had