The Glenwood post., 1908-12-12
HEAR MESSAGE
OF PRESIDENT
DOCUMENT FROM CHIEF ExEcU-
TIVE READ IN CONGRESS.
URGES CHANGES in LAWS
Present Currency System Declared
mperfect-control of Corporations
the Province of the National Gov
ernment-Conduct of Labor Lead
ers criticised-For Postal Savings
Banks.

ers Crltic1sed-For Postal Savings
Banks.
Washington.-In his message to
congress, read in both houses Tues
day, 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, but calls attention to the
need of remedying defects in the cur
rency system. He says:
The financial standing of the nation
at the present time is excellent
and the financial management 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 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 1908. there was an Increase
in the amount of money In circulation of
1902 %, 1899. The increase in the per capita
! during this period was s7.O6 Within this
time there were several occasions when
1t was necessary for the treasury de
partment to come TO the relief of the
InoneS ny OF Ttutflp-
tions 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
hnIn to-
to approximately 5000 900. Clearing
house associations throughout the coun-
| try had been obliged to resort to the
expedient of issuing clearing house GER
tifcates. to be used money. In this
emergency 1t was determined to invite
subscriptions for $50. .O0O. 900 Panama canal
bonds. and 800 o00. 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
great that 1t was necessary to issue only
4.63l $50 of the Panama bonds and Sl5.-
436. 500 of the certificates of indebtedness.
During the period from July /, 1901. to
September 30, 1905. the balance between
the net ordinary receipts and the net
ordinary expenses of the government
showed a surplus in the four years 1902
lSu5 lSpn. anu ITVs. anu Ii ueIc1I IN tne
years 1904. 1905. 1908 and fractional part
of the fiscal year 1909. The net result
was a surplus of S99. .2s3 4l3.54. The fnan-
cial operations of the government during
this period. based upon these differences
between receipts and expenditures re-
suited in net reduction of the interest
bearing debt of the United States from
S9s7. ,040 to 1897. 253, $50. notwithstanding
/ that there had been two sales of Panama
canal bonds amounting in the aggregate
c npn
cent. certificates of indebtedness under
| the act of June Is. 1898, amounting to
SIS, $500. Refundng 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
1900 Sos. 400 bonds bearing higher rates Of
] interest. decrease of 81. .6S7, 1856 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 Understanding debt by ninety
millions. in spite of the extraordinary ex-
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
ernment. He says:
believe that 1t is worse than folly
to attempt to prohibit all combinations
As IL done by the Sherman anti
trust law. because such a law can
be enforced only imperfectly and un-
equally, and its enforcement works al
most as much hardship good. 1
strongly advocate that instead of an un-
there shall be substituted law which
shall expressly permit combinations
which are in 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
merce commission and removed from
the domain of the antitrust law. The
power of the commission should be made
thoroughgong, that 1t could exercise
complete supervision and control over
the issue of securities 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 is compatible with giving prop
er returns to all the employees of the rail-
road. from the highest to the lowest
and proper returns to the shareholders.
but they must not. for instance, be re-
duced in such fashion as to necessitate
a cut in the wages of the employees or
the abolition of the proper and legitimate
profits of honest shareholders.
Interests Of the Waeeworker.
Turning to conditions affecting the
wageworker and the man of small
means, the president says:
Postal 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 such
that they shall serve all people with
equal Justice. Corporate finances must
be supervised 30 to make 1t far safer
than at present for the man of small
means to invest his money in stocks.
There must be prohibition of child la
Dor. ..minution of women labor short
enin8 of hours of all mechanical labor
stock watering should be prohibited.
and stock gambling SO far as is possi-