The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1907-11-16
APPEAL To LONG.
Kansas Senator Is Receiving
Many Letters.
$e0ple Want Financial Legisla-
ton by Congress.
WHAT WILL BE DONE.
Believed President Will AdVO'
cate Asset Currency.
Question of Patronage Is
Troubling Kansas.

Washington. Nov. 16.-since 1t has
been settled beyond a DOUBT that there
will be no extra session of congress
with reference to the financial situation,
there has been much discussion here,
and great interest among western mem
bers of congress who happen to be In
town, concerning the probable line of
action when congress shall meet in reg
ular session December 2.
It is quite possible that there will be
currency legislation. The president
favors it, nearly all the several mem
bers Of congress now in town insist
that there must be something done,
and petitions by telegram, by letter,
and by word of mouth are being heard
hrst-hand by the president and secre-
tary of the treasury, or brought to their
attention by members of congress,
daily This is particularly true in SEN
aeor Longs case. He has been In town
a for nearly three weeks, or some days
before the financial situation assumed
, it's serious aspect. There has not been
a day since then that he has not re-
ceived dozen kilograms on conditions
in Kansas; and the letters and tele-
grams touching an extra session were
emphatic and appealing in their nature.
They came from the leading bankers
and thoughtful men of the state. Sen
ator Long has been daily, and in many
cases twice a day, to the White House
and treasury department for two weeks
and has diligently sought to secure the
latest information each day from Kan
sas. The president has told him, as he
has Senator Hepburn of Idaho and
other western senators in town. that
there will be no extra session, and has
stated that he will strongly urge the
same kind of legislation he did in his
last message, nearly a year ago.
Here is what the president said in
III g. t.
ing daily to visitors and petitioners:
Il especially call your attention to
the condition of our currency laws. The
national bank act has ably served
great purpose in aiding the enormous
business development of the country;
and within ten years there has been an
increase in circulation per capita from
$21. Al to $3.50 For several years evil
dence has been accommodating that addi-
tional legislation is needed. The recur-
renee of each crop season emphasizes
the defects of the present laws. There
must soon be a revision of them, be-
cause to leave them as they are means
to incur liability of business disaster.
All commercial interests suffer during
each crop period. Excessive rates for
call money in New York attract money
from the interior banks into the specu-
latfve field; this depletes the fund that
would otherwise be available for COM
Inercial uses, and commercial borrowers
are forced to pay abnormal rates; so
that each fall a tax, in the shape of
increased interest charges, is placed on
the whole commerce of the country.
The mere statement Of these facts
shows that our present system is ser
iously defective. There is need of a
change Unfortunately, however, many
of the proposed changes must be ruled
from consideration because they are
hension, and tend to disturb existing
rights and interests. I do not press any
especial plan: various plans have re-
Gently been proposed by expert COM
mittees of bankers. Among the plans
which are possibly feasible and which
certainly should receive your consider
alton is that repeatedly brought to your
attention by the present secretary of
the treasury, the essential features of
which have been approved by many
prominent bankers and business men.
According to this plan, national
banks should be permitted to issue a
specified proportion of their capital in |
notes of a given kind, the issue to be
taxed at so high a rate as to drive the |
notes back when not wanted in legiti- |
mate trade. This plan would not per-
banks additional profits, but to meet |
the emergency presented by times of |
strin gency.
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 |
of the farmer and the |
merchant no less than from the stand
points of the city banker and the |
country banker"
Various western bankers are now |
appearing to look with more favor up |
on the asset currency proposition |
than before; and 1t would not be re- |
markable If they finally accepted it as
one of the avenues of escape from
the present emergency
Thoughtful Kansas men, whether
bankers or not, are presenting their
views to Senator Long, and he in turn
to the president daily, and out of 1t |
all IT IS not improbable that he and
other western members will know
what to do when congress shall con-
vene in about three weeks.
Kansas, with eight Republican
members of congress being one of the
largest solid Republican delegations
In the house, has finally recognized
hat ia 0P