The Idaho Springs siftings-news., 1908-12-12


In for critieism-Respect for Law
Vital to the Well-Being Of Country.
I
Washington.-Them 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-
eatives: The financial standing of the
nation At the present time Is excellent,
and the financial management of the ma
|on's interests by the government dur
TnG the last seven years has shown the
most satisfactory results. But our cur
Fency system 10 imperfect. and it is ear
nestly to be hoped that the currency
commission will be able to propose a
thoroughly good system which will do
away with the existing defects.
During the period from July l. 1901. to
September 80, 1903. there was an increase
In the amount of money in circulation of
90, ,S91 10. The increase in the per capita
during this period was $7.06. 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-
eions 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
eency system has made these proceedings
necessary and they were effective until
the monetary disturbance in the fall Of
1S07 Immensely increased the difficulty of
ordinary methods of relief. By the mid
de of November the available working
Balance in the treasury had been reduced
60 approximately $5.0Oo.0Oo Clearing
house associations throughout the coun-
49,
0xpedient OF issuing clearing house GER
dhcates. to be used as money. In this
emergency It was determined to invite
subscriptions for $50. 100000 Panama canal
oonds. and S1o0. .0oO0 900 three per cent.
certificates OF Indebtedness authorized by
the act OF June Is. 1898 1t was proposed
60 rsdeposit in the national banks the
proceeds of these issues. and to permit
their use az . basis for additional circu-
aating notes OF national banks. The
moral effect OF this procedure was SO
great that II was necessary to issue only
34.631 $50 Of the Panama bonds and t15.-
- 800 Of the certificates of Indebtedness.
During the period from July l. 1901. to
September 90 1908. the balance between
the net ordinary receipts and the net
Adinary expenses of the government
VAowed . surplus In the four years 1902
1905. 1906. and 1907. and q deficit in the
years 1904. 1905. 1908 and fractional part
Of the fiscal year 1909. The net result
vas a surplus of $ss 2s3 .4l5.54. 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
oos7. .04o to eS97. .253. $780, Notwithstanding
that there had been two sales of Panama
canal bonds amounting in the aggregate
to ss4,s3l, $50. and an issue of three per
oent. certificates of Indebtedness under
the act of June l3. 1898. amounting to
e15. .436.5oo. Refunding operations of the
treasury department under the act Of
March u, 1900. resulted In the conver-
sion into two per cent consols of 1880 Of
500. 30s. 700 bonds bearing higher rates of
interest. A decrease of $685., ,956 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-bearing debt by ninety
millions. in spite of the extraordinary ex-
pense of the Parama canal. and saving
Of nearly nine millions on the annual
interest charge.
Control Of Corporations.
AZ regards the great corporations en-
gagged in interstate business and espe-
cially the railroads. 1 can only repeat
what have already again and again said
in my messages to the congress. be-
1isvs that under the interstate clause of
the constitution the United States has
complete and paramount right to con-
troll all agencies of interstate commerce,
and I 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,
great corporations which are the
Most important factors in modern busi-
ness. I believe that it is worse than
0-yl, No ~ at,fG Ill
binations as is done by the Sherma a
antitrust law, because such a law can
be enforced only imperfectly and un-
equally. and its enforcement works al
most as much hardship as good. I
strongly advocate that instead of an un-
wise effort to prohibit all combinations,
there shall be substituted a law which
shall expressly permit combinations
which are in the interest OF the public.
but shall At the same time giv3 to some
agency in the national government full
power Of control and supervision over
them. One Of the chief features of this
control should be securing entire pub
Ncity in all matters which the public
has . right to know. and Furthermore.
the power. not by judicial but by execu-
tive action, to prevent put stop to
every form Of improper favoritism or
other wrongdoing.
The railways Of the country should be
put completely under the interstate COM
merce commission and removed from
the domain OF the antitrust law. Tho
power of the commission should be made
thoroughgoing. SO that 1t could exercise
complete supervision and control over
the issue Of securities as we'll as over
the raising and lowering of rates A.
regards rates. at least. this power should
~ summary. Rates must be made
a. low a. II compatible with giving prop
sf returns to all the employees of tho rail-
read, from the highest to the lowest,
and proper returns to the shareholders.
but they must not. for instance. be re-
Auced in such fashion as to necessitate
. sut in the wages OF the employees or
the abolition of the proper and legitimate
1eohts Of honest shareholder.
Telegraph and telephone companies en-
gagsd in interstate business should b
Dut under the Jurisdiction Of the inter-