The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1907-11-18
Belief lis General That There
Will Be Legislation.
Looking to a Reform i'm Cur
rency and Banking Laws.
WILL BE SOME TALK.
And a Little Politics ATTENDING
Such Enactment.
But Almost Immediate Action
Is Looked For.

washington, Nov. 1S.-There are
so few members of either house of
congress who deal directly with fnan-
cfal legislation in the city that it is
impossible to make any definite pre-
diction as to what course financial
legislation will take at the approach
ing session. All who are here, how
ever, agree that the conditions are
such that something must be done and
the preponderance OF opinion favors
the view that relief legislation will be
more prompt than has heretofore
been predicted.
There are various opinions as to the
course that should be taken, some
favortng the asset system, under
which the banks would be allowed to
use their property as the basis of
credit and others, the bond system
under which the bank issue could be
enlarged only on securities such as
municipal bonds with the requirement
that they should be approved by the
secretary of the treasury The gen
eral idea seems to be that the margin
of hextbility should not extend beyond
70 per cent of a banks capital and
that in any event the enlarged issue
should be So heavily taxed as to drive
1t back when the emergency is passed
One reason for believing there will
be little difficulty in reaching an
agreement on the same is found in
the fact that the socalled conservat tive
element in the Republican party is in
complete accord with the administra-
ton in the opinion that some form of
relief is absolutely necessary in the
present emergency to say nothing of
possible future conditions of the same
character. The only practical difficulty
which presents itself at this time is
an agreement on the form of legis1a-
ton. At the same time It is not ex-
pected that anything will be accom-
plished without much discussion espe-
cially in the senate. where there Is
unlimited debate and where there are
many opinions as to what should be
done. There will also be found there
some disposition to criticise the pres
ent conditions.
VIII Be Some Politics.
There will also be some political
discussion. 1t is not believed. how
ever. that the Democrats will offer
any stubborn opposition, but will
rather content themselves in stating
their position and throwing the re-
sponsibility for action on the party in
power.
That the action of the administra-
tion in coming so vigorously to the
relief of the financial situation will be
more than ample in the direction de-
sired was the universal comment of
callers at the White House today.
Senator Warren of Wyoming said that
the action taken was exactly what was
needed.
saThe people at large will now realize
that there was no cause for the panic
and will stop boarding their money" He
added: "They will return their deposits
and the business Of the country will
return to its normal condition. Rusi-
ness Is already improving. Now 1t will
go right ahead
1.-THE relief ought to be almost imme-
diate," was the comment of Represen-
tative Needham of California. IT be-
lieve congress will take up the matter
Of currency legislation at once with a
view to some accomplishment which
will make the situation impossible of
So far as I have been able !
try is on as sound a basis as ever. That
a slight shake in the confidence OF the
country should cause a tieup in the cur |
rency is a question which will need care /
ful consideration
Senator Warner, of Missouri, believes
hat the bankers will take the canal |
bonds in a hurry. 'They have COM
of the lack of money and
make an excuse to tighten all over the
Now, I do not see what ex-
,use they can have for not loosenfng
1p."
Solves Whole Problem
The treasury officials and others most
with national finances and
he currency conditions throughout the
are almost unit in the opinion
hat Secretary Cortelyou's announce
nent that he would issue $100, 900 in
reasury certificates and $50, 100000 in
Panama bonds is a complete solution Of
he present money problem.
Telegrams received this morning at
he treasury department from leading
inanciers in the great money centers
Indicate that this view is general, and
he opinion is expressed that very
arge proportion of the money which
las been withdrawn by the timid de-
,ositors will now be speedily replaced
n the banks and normal conditions be
cached, SO far as an adequate money
upply is concerned, in very few days