Belding banner. (Belding, Mich.) 1889-1918, 1908-12-10

Banks.
Washington--In his message 10
congress, read in both houses Tues
Gay, President Roosevelt makes i'm
portant suggestions as TO what he
considers necessary legislation.
The president congratulates the ma
tion On its present excellent financial
standing, hut calls attention 10 the
need of fcmodying defects IL the cur
rency system. lie says:
The financial standing OF the nation
AT the present time is excellent
and the financial management Of tho ma
TONS interests by the government dur
ing the last seven years has shown the
most sa sisfactory results. But our cur
rency system is imperfect. and 1t 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 30. 1905. there was an increase
| in the amount of money in circulation OF
1902 99l, 800 The increase In the per capita
| during this period was SI06 Within this
| time there We're several occasions when
| 1t was necessary for the treasury de-
| partment to come to the relief of the
money market by purchases or redemp-
tons of United States bonds: by increas-
| ing deposits in national banks: by slim
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 We're 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 i'm the treasury had been reduced
| 10 approximately $4,000 600. Clearing
| house associations throughout the coun-
try had been obliged to resort to the
| expedent or Issuing clearing house GER
!, tificates. to be used as money. In this
emergency II was determined to invite
subscriptions for 600 Panama canal
| bonds and siOOOO000O three per cent.
certificates OF indebtedness authorized by
the act of June 49, 1885, Ii was proposed
to redeposit in the national banks the
| proceeds OF these issues, and TO permit
their use as a basis for additional circu
lating notes of national banks. The
moral effect OF this procedure was so
| great that II was necessary 10 issue only
s24. 631. $50 of the Panama bonds and SIS
| 436. 500 of the certificates OF Indebtedness.
During the period from July !, 1901, TO
| September go 1908, the balance between
the net ordinary receipts and the net
ordinary expenses Of the government
| SnONeu SURPLUS III the IOuT years lSV@.
1903 1905, and 1907, and a deficit in the
\ years 1894. 1906 1905 and fractional part
| OF the fiscal year 1909 The net result
was "a surplus of s99. 2SS 4l3.54. 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
$685.. 14l, 040 to 1897, 253 600. Notwithstanding
that there had b"sn two sales Of Panama
canal bonds amounting i'm the aggregate
to s54 ,6S1, $50. and an issue OF three per
cent certificates of Indebtedness under
the act of June Is. 1885, amounting to
I SIS 800. Reminding operations OF the
treasury department under the act of
March Il, 1900. resulted in the CONVEX
sion into two per cent. consols of 1880 OF
5000. 300 400 bonds bearing higher rates of
Interest," - decrease of sS.6S1. $50 i'm the
annual interest charge resulted from
these operations.
In short. during the seven years ard
three months there has been "A net sur
plus OF nearly one hundred millions of
receipts over expenditures. reduction
of the Understanding debt by ninety
| millions. in spite OF the extraordinary cx-
pense of the Panama canal. and a saving
, of nearly nine millions on the annual
interest charge.
The message reiterates the we'll
known views of the president that the
control of great corporations. espe-
cially the railroads of the country.
should be vested in the national gov
eminent. He says:
believe that IL is worse than folly
70 attempt to prohibit all combinations
as is done by the Sherman anti
trust law, because such law can
be enforced only imperfectly and I'M
equally, and its enforcement works al
: most much hardship as good
: strongly advocate that instead OF ar un-
wise effort TO prohibit all combinations
e there shall be substituted a law which
shall expressly permit combinations
. which are i'm the interest of the public
but shall at the same time give TO some
agency in the national government full
power OF control and supervision over
them.
The railways OF the country should be
put completely under the interstate com
mcrce commission and removed from
the domain OF the antitrust law The
I power of the commission should be made
| thoroughgoing, so that II could exercise
| complete supervision and control over
the issue Of securities as well as over
| the raising and lowering OF rates As
| regards rates. at least this power should
| ! be summary Rates must be made
as low as is compatible with giving prop
| er returns TO all the employees Of the rail
Il Il iIpHl TIE IikiitSi 10 the lowest
= and proper returns TO the areholders
but they must not. for instance be re-
| duced in such fashion as to ncccssitate
a. cut In the wages OF the employees OF
the abolition of the proper and legitimate
profits of honest shareholders.
Interests of the Wageworker.
Turning TO conditions affecting the
wageworker and the man OF small
means. the president says:
Posthl Savings banks will make II
: easy for the poorest to keep their saw
ings In absolute safety. The regulation
of the national highways must be sucf
| 4 that ~tireyT shall serve all peonle with
equnl Justice. Corporate finances must
be supervised so as TO make ID far safer
| than at present for the man OF small
7 tmeans TO invest his money in stocks
There must be prohibition Of child la
y Dor. ,4minution of women labor short
ching of hours OF all mechanical labor,
stock watering should be prohibited
y and stock gambling 80 far as is possi-
BILE discouraged. There should be a
progressive Inheritance tax on large
II fortunes. Industrial education should
4 be encouraged. AS far as possible we
: should Tighten the burden OF taxation
I on the small man. There should nc
longer ebe any paltering with tho