The Grenada sentinel., 1908-12-12

In for Criticism-Respect for Law
Vital to the WeII-Being of Country.
WSshington.-The message of Presi-
dent Roosevelt was read in both
houses of congress Tuesday. In sub
stance the document was as follows:
To the Senate and House of Represen-
tatives: The financial standing of the
nation at the present time is excellent,
and the financial nagement of the ma
tion's interests by the government dur
ing the last seven years has shown the
most satisfactory results. But our cur
rency system is imperfect. and it is ear
nestly to be hoped that the currency
commission will be able to propose
thoroughly good system which will do
away with the existing defects.
During the period from July l. 1901 to
September so. 1905, there was an increase
in the amount of money in circulation of
1902 ,99l 399. The increase in the per capita
during this period was $7O6 Within this
time there were several occasions when
1T was necessary for the treasury de-
partment to come to the relief of the
money market by purchases or redemp-
tions Of United States bonds; by increas-
ing deposits in national banks: by Stim-
ulating additional issues of national bank
notes, and by facilitating importations
from abroad of gold. Our imperfect cur
rency system has made these proceedings
necessary. and they were effective until
the monetary disturbance in the fall of
1907 immensely increased the difficulty of
ordinary methods of relief. BY the mid
die of November the available working
balance in the treasury had been reduced
hAhn
house associations throughout the coun-
try had been obliged to resort to the
eNpedient of issuing clearing house GER
tificates, to be used as money. In this
emergency it was determined to invite
subscriptions for $50 900 Panama canal
bonds, and s1O0, 900 three per cent.
certificates of Indebtedness authorized by
the act of June 13, 1898. 1t was proposed
to redeposit in the national banks the
proceeds of these issues, and to permit
their use as basis for additional circu-
lating notes of national banks. The
moral effect of this procedure was so
great that 1t was necessary to issue only
$24, ,631, $50 of the Panama bonds and $15,-
436,500 of the certificates of Indebtedness.
During the period from July 1, 1901. to
September 80. 1908, the balance between
the net ordinary receipts and the net
ordinary expenses of the government
1903, 1906. and 1907. and a deficit in the
years 1904, 1905, 1908 and fractional part
of the fiscal year 1909. The net result
was a surplus of S99, 2S3, ,41354. The finan-
cial operations of the government during
this period. based upon these differences
between receipts and expenditures, re-
suited in a net reduction of the interest
bearing debt of the United States from
s9S7 .141. .040 TO $780,, ,253.9 $50, Notwithstanding
that there had been two sales of Panama
canal bonds amounting in the aggregate
to $54, ,631 $50, and an issue of three per
cent. certificates of indebtedness under
the act of June 13, 1898, amounting to
SIS 436, 500. Refunding operations of the
treasury department under the act Of
March A. 1900, resulted in the CONVEX
sion into two per cent. consols of 1890 of
s200. 800 400 bonds bearing higher rates of
interest. A decrease of S., ,6S7 $50 in the
annual interest charge resulted from
these operations.
In short, during the seven years and
three months there has been a net sur
plus Of nearly one hundred millions of
receipts over expenditures a reduction |
of the interest-bearng debt by ninety
millions, in spite of the extraordinary ex-
pense of the Panama canal and saving |
of nearly nine millions on the annual |
interest charge.
Control Of Corporations.
AS regards the great corporations en- |
gagged in interstate business, and espe- |
Cially the railroads, ! can only repeat |
what have already again and again said |
in my messages to the congress. I be- |
lieve that under the interstate clause Of |
the constitution the United States has |
and paramount right to con-
troll all agencies of interstate commerce,
and l believe that the national govern
ment alone can exercise this right with |
wisdom and effectiveness so as both to |
secure justice from, and to do justice to-
the great corporations which are the
most important factors in modern busi-
ness. l believe that it is worse than
folly to attempt to prohibit all COM
Oinations as is done by the Sherman
antitrust law, because such a law can
be enforced only imperfectly and un-
equally, and it's enforcement works al
most much hardship as good
strongly advocate that instead of an un-
wise effort to prohibit all combinations,
here shall be substituted law which
shall expressly permit combinations
which are in the interest of the public.
out shall at the same time give to some
agency in the national government full
power of control and supervision over
hem. One of the chief features of this
control should be securing entire pub
icity in all matters which the public
las right to know, and furthermore, |
he power, not by judicial but by execu-
i've action, to prevent or put a stop to
every form Of improper favoritism or
)ther wrongdoing.
The railways of the country should be
put completely under the interstate COM
nerce commission and removed from.
he domain of the antitrust law. The
power Of the commission should be made
so that it could exercise
complete supervision and control over
he issue of securities as we'll as over
he raising and lowering of rates. As
-egards rates, at least. this power should
,e summary. Rates must be made
is low as is compatible with giving prop
II returns to all the employees of the rail-
,oad, from the highest to the lowest,
md proper returns to the shareholders,
,ut they must not, for instance, be re-
luced in such fashion as to necessitate
cut in the wages of the employees or
he abolition of the proper and legitimate
profits of honest shareholders
Telegraph and telephone companies en-
gagged in interstate business should be
,ut under the jurisdiction Of the inter-
state commerce commission.
1t is very earnestly to be wished that |
,ur people, through their representatives,
should act in this matter. It is to