The news=record. [volume] (Enterprise, Wallowa County, Oregon) 1907-1910, 1907-12-12
Presidents Communication Is
Conservative Document.
AIMS TO PLEASE ALL CLASSES
Would Delay Tariff Legislation Until
After the Presidential Election
Wants Currency Changes.


the citizens OF no nation possess greater en- | :
ergy and industrial ability. In no nation /
are the fundamental business conditions |
sounder than In ours at this very moment; |
and It Is foolish, when such is the case for
people to hoard money instead OF keeping |
It In sound banks; for 1t is such boarding {
that 10 the Immediate occasion OF money
stringency Moreover. as a rule. the business
of our people is conducted with honesty and
probity. and this applies alike to farms and
to railroads and banks, to all our
legitimate commercial enterprises. r
In the effort to punish the guilty 1t Is
both wise and proper to endeavor SO far as
possible to minimize the distress. OF those
who have been mised by the guilty. Yet
It Is not possible to refrain because OF such
distress from striving to put an end to the
misdeeds that are the ultimate causes OF the
suffering. and, as a means to this end, where
possible to punish those responsible for
them. There may be honest differences OF
opinion as to many Governmental policies;
but surely there can be such differences
as to the need of unfinching perseverance
tn the war against successful dishonesty.
INTERSTATE COMMERCE.
No small part of the trouble that we
have comes from carrying to an extreme |
the National virtue of self-reliance. Of inde- |
pendence in initiative and action 1t Is |
wise to conserve this virtue and to provide |
for its fullest exercise. compatible with see
ing that liberty does not become liberty |
to wrong Others Unfortunately, this Is the
kind of liberty that the lack OF all effective
regulation inevitably breeds The founders
tional Government should have complete
and sole control OF interstate commerce.
There was then practically no interstate
business save such conducted by
water, and this the National Government at
once proceeded to regulate in thoroughgoing
and effective fashion. Conditions have now
so wholly changed that the interstate COM
merce by water Is Insignificant compared
with the amount that goes by land, and al
most all big business concerns are now en-
gagged in interstate commerce. As result,
~ k,,N lall on1 ttt,n rfA lNg
controlled or regulated by the action OF any
one of the several states; such action in
evitably tending to be either too drastic or
else too lax. and in either case ineffective
for purposes of justice. Only the National
Government can in thoroughgoing fashion
exercise the needed control. This does not
mean that there should be any extension of
Federal authority. for such authority al
ready exists under the Constitution In
ampiest and most far-reaching form; but
1T does mean that there should be an extern
sion of Federal activity. This is not ad-
vocating GENERALIZATION. 1t is merely look
1ng facts in the face. and realizing that
centralization in business has already come
and cannot be avoided or undone. and that
the public at large can only protect itself
from certain evil effects of this business
centralization by providing better methods
for the exercise OF control through the
authority already centralized in the National
Government by the Constitution itself.
To confer upon the National Government.
IN connection with the amendment l advo-
cate In the antitrust law. power OF super
vision over big business concerns engaged
In interstate commerce, would beneht them
as 1t has benefited the National banks In
the recent business crisis 1t is noteworthy
that the institutions which failed were In
stitutions which were not under the super
vision and control of the National Govern
snent. Those which were under National
control stood the test.
PURE FOOD LAW.
incidentally. in the passage OF the pure
food law the action Of the various state
striking fashion how mucn good for the
whole people results from the hearty CO.
operation OF the Federal and state officials
an securing given reform 1t is primaril.
TO the action of these state commissioner
that we-owe the enactment Of this law
for they aroused the people. first to demand
tho enactment and enforcement Of state
laws on the subject. and then the enact
ment Of the Federal law. without which
the state laws were largely ineffective
There must be the closest cooperation be
tween the National and state government
an administering these laws.
CURRENCY.
In my message to Congress a year ago
spoke as follows on the currency:
I especially call your attention to the con
dition of our currency laws. The Nationa
bank act has ably served great purpose Il
aiding the enormous business development
of the country, and within ten years ther
has been an increase in circulation per cap
fta from $21.41 to $33.OS. For several year
foSsi egisstion Oee Is needed The
of each crop season emphasizes the defect
of the present laws There must soon be
revision of them. because to leave them a
they are means to incur liability OF busines
disaster. Since your body adjourned ther
has been fluctuation In the interest on ca
money from per cent to 80 per cent. an
the fluctuation was even greater during IN
preceding six months The secretary OF ,tn IN
put q stop to the most violent period OF os
cillation. Even worse than such fluctuatio
is the advance in commercial rates and tn
uncertainty felt in the suffiency of cred
even at high rates. All commercial interest
sr ss ,ST Sprn aa snSS Ses R York
money from the interior banks into the spec
ulatiye field. This depletes the fund tha
uses, and commercial borrowers are force
to pay abnormal rates. so that each Fa
charges, is placed on the whole commerc
of the country.
The mere statement OF these facts show show
that our present system is seriously defe'
tive. There is need Of change Unfol
tunately. however. many. of the propose
because they are complicated, are not eai
of comprehension and tend to disturb exis
ing rights and interests we must aiso pa rs
the value OF the United States 2-per eel
bonds now pledged to secure circulation. u
issue of which was made under condltloi
peculiarly creditable to the Treasury. I
not press any especial plan. Various plai
mittees Of bankers Among the plans whit
are possibly feasible and which certain
should receive your consideration is tnat =
peatedly brought to your attention by u
present Secretary OF the treasury; tne e
sential features OF which have been a
proved by many prominent bankers and bu
lness men According to this plan Nation
banks should be permitted 10 issue spec
fled proportion OF their capital IN notes
a given kind, the issue to be taxed at
hikh a rate as to drive the notes back witt
not wanted in legitimate trade' THIS pi'
give banks additional profits but to me
the emergency presented by times OF stri
gency. ...,.,
again urge on the Congress the need
tpmediats attention to this matter
need a greater elasticity in our currenc
provided Of course, that we recognize q
even greater need OF a safe and secure Gu
rency. There must always be the me
rigid examination by the Nationai autho
tiles Provision should be made for
emergency currency. The emergency iss
should Of course. be made with an effecti
guaranty, and upon conditions carefully pi
scrfbed by the Government. Such emergen
issue must be based on adequate securli
approved by the Government ana must
fssued under n heavy tax. This would ps
milf currency being issued when the dema
for n was urgent. while securing Its retir
ment as the demand fell on. II 10 worth wn
Investigating to determine whether ofice
and directors of National banks shou
ever be allowed to loan TO themseN
Trust companies should be subject 70
same supervision as banks. iessor :,
this effect should be enacted ior tns ~
trict Of Columbia and the Territories
THE TARIFF.
rhfs country 10 definitely osnmitfsd