The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1907-12-31
Secretary Of War Addresses
Merchants of Boston.
Deals With Financial Disturb
ance and Its Cause.
LIKE ALL THE OTHERS
Administration Was in No WAY
to Blame for 1t.
He Defends Roosevelt Against
Attacks of Enemies.

! Boston. Dec. 31.-Greeted with cheers
as the next president of the United
states" topic which he carefully
avoided in his own remarks, however,
secretary of War Taft last night de-
hvered his first public speech since his
world circling tour. at the annual ban
quet OF the Boston Merchants associ-
alton. at the Hotel Somerset
line banquet closed a long and a
| strenuous day for the secretary of war
during which he delivered a brief ad-
dress before 400 ministers in the morn
ing and attended reception and spoke
before gathering of Jews of the city
| at the Elyseum club in the afternoon.
During his visit to Boston, which ends
today, Secretary Taft is the guest OF
Samuel Carr, a Boston banker, and a
relative of Mrs. Taft.
A more notable gathering of promin-
ent and representative business men
mas seldom been seen in Boston than
that which greeted the secretary
In the banquet hall beautiful decor
ations adorned the tables, which pro-
Vided for the seating of over 500 guests,
While behind the speakers table were
a great many American flags.
President Jerome Davis of the Boston
Merchants association. presided. Seat
ed on either side of him were the speak
ers and guests of honor, who included
Congressman Sherley of Kentucky,
Lieutenant Governor Eben g. Draper of
Massachusetts,, Mayor John F. Fitz-
gerald and Right Rev. William Law
renee. bishop of Massachusetts.
As the secretary rose to speak all the
guests stood up with him and filed the
air with long continued cheers. Calls
for three cheers for Secretary Taft
the next president of the United
States were heartily acclaimed.
Secretary Taft then delivered the fol-
lowing speech which he read from man
uscript, making no additions or COM
ment relative to his own candidacy for
the presidency of other topics:
The Address.
Gentlemen of the Merchants and
Manufacturing Association of Boston:
am glad to be here. For more than
two years have been trying to ac-
cept your kind invitation. / do not
feel strange in this New England COM
pany. My father was born in Vermont.
my mother was born in Boston. my two
grandfathers were born in Menoon,
Worcester county; much of my boy
hood was spent in Millbury. and 1 was
educated at Yale. While 1 can not
claim to be one of you, like to boast
that 1 have enjoyed the good influence
of the same traditions.
/ had expected to talk to you about
the Philippines. That was one Of
the reasons why / accepted the in
vitations so lightly-it is a subject easy
for me to talk about. 1t may be 1t is
a l.
have found that one of the best meth
DDS of discouraging my friends, the
correspondents of the press. in Wash
ington, from pursuing embarrassing In
quiries into other matters. is to insist
on discussing with them for publica-
ton interesting phases of the Philippine
situation. They leave forthwith. But
/ had supposed that however dead the
islands may be as topic inviting dis
cussion and attracting attention else
where, one could rouse some excitement
over it still in Boston. | have been
warned, however, that here, too. there
were subjects more absorbing, at least
for business men. So when L was hon
ored by an invitation this morning to
address the ministers of Boston, whose
profession carries them naturally In
consideration of other worlds, i said
my say in respects to the Philippines
and the-to me-very absorbing nation
al problem, which L hope and believe
we are working out successfully. 1t
follows that for this company, l must
find another subject.
During the last three months the
country has suffered from a severe
monetary panic. Even yet the clearing
house certificates linger in your bank
exchanges as emphatic evidence of It's
severity and of the extreme measures
which had to be taken to avoid greater
disaster. Doubtless many of my hear
ers have not yet recovered from the
intense nervous strain and mental SUI
fering to which they have been subject
panic has been given certain political
bearing and Importance. For this rea-
son. 1 have selected for my topic of to-
night THE Panic of 1907-Its Causes.
It's Probable Effects and the Relation
to 1t of the Policies of the National Ad-
ministration."
Cause of Panies.
What did cause the panic? Writers
on financial subjects who have given
their lives and constant attention to
matters of this kind who are able to
institute a comparison of the present
manic with previous panics, and who
are entirely familiar with the condi
tfons preceding all of them, substan-
tally agree upon the cause. Panfcs
and Industrial depressions are the re-
suit of the characteristics of human
nature, which manifest themselves In
business and elsewhere. The world
generally has a certain amount of loan
able capital available for new enter
prises or the enlargement of old ones.
In periods of prosperity this capital
with the instrumentalities for charging
It potentially by credits is put into new
enterprises which are profitable, and
the increase in free capital goes on al
most in arithmetical progressions- Az
ter a time however, expenses of opera
ton and wage increase and the pront
form the new enterprise grows smaller
The loanable capital gradually changes
ire form into investments less and less
convertible Much of that which might
he capital is wasted in unwise enter
prises in extravaganza in living, in
wars and absolute destruction of prop
erty until the available free capital
becomes wellnigh exhausted the world
.~N