Pine Bluff daily graphic. (Pine Bluff, Ark.) 1893-1942, 1908-02-23

Washington, Feb. "a new
money milestone of the nation, the
seventh since George Washington
vas !naugurated president, which
will be- set up by this Congress, like
the others will point the way to
Drosperity-in this case to more as
assured prosperity.
Currency legislation has right Of
way in Congress, new page Of
American history will be turned. It
is so gravely important that pro-
-longed debate aud consideration are
due-and there will be plenty Of
both. Each previous milestone has
been slowly and laboriously set up.
but each one. with one exception,
marked a step forward or,as now, a
reimbursement to new conditions, put
ting the financial affairs Of the, peo-
PIE upon a sounder basis than be-
fore. After the country has cross
cd a rough and perilous path Of
panic, each new milestone, but one.
has shown the way to firmer,
smoother roads.
The development Of the United
States during the years which have
elapsed since tho civil war existencie5
caused the creation Of the present
currency system Is probably most
3orcibly shown by the existing evil
dences of funded debts-the munic-
spal and railroad bonds now out
standing. At the outset Of the pres
ont discussion of currency reform
Speaker Cannon took steps to secure
these figures, which then we're not
available.
The results show that there is at
present tho enormous total of 49,
616,184,000 of railroad and munich
pal bonds in the country which
would comply with the terms of the
A'drich bill, as a basis TOR emer-
gency circulation. These figures
arc authoritative and were furnish
ed to Speaker Cannon at his request
by N. w. Harris. senior partner Of
N. w. Harris & Co., of New York
and Boston, and president of the
Harris Trust and Savings Bank Of
Chicago, an authority on bonds
among the bankers of the country
The detailed figures are as follows:
railroad bonds 100000;
municipal bonds, $1,543,1S4.0O0.
This includes the Indebtedness Of
counties as shown by the census re-
port of 1900. A statement of actual
county Indebtedness to date, if it
could be had, would Increase the
municipal total still further.
Nations First Fiscal Milestone.
The first money milestone was
the establishment of the first United
States bank. in 1871, as the result
Of the efforts of Alexander Hamll-
ton, then secretary of the treasury.
Prior to this time and in the COLO
nial days banking in the modern
sense, was hardly known. Massa-
chusetts had a bank as early as
1714, which issued notes secured on
real estate and other "imper 'shable
commodities" This bank failed,
but some of It's successors succeeded
although they were under no proper
legal regulation and engaged In
many hazardous ventures.
The founding of the United States
bank and chartering Of banks In
various states put an end to inlis-
eliminate and unregulated banking
and laid the foundations for a sta
BILE and adequate currency system.
The bank was capitalized at $780,
100000 and was allowed to assume
liabilities to an amount not exceed
ing its capital. AS deposits were
not reckoned among its liabilities,
1t was enabled to issue nearly $10.-
100000 Of notes, but in practice 1t
kept about half that amount out
The first hank was thoroughly
successful but 'ts charter was not
renewed in 1911 and for Ave years