Evening star. [volume] (Washington, D.C.) 1854-1972, 1908-07-28

ton. 1t Is expressly but a temporary
measure and contains a provision for the
appointment of currency commission to
devise and recommend new and re-
formed system of currency. This in-
adequacy OF our present currency
system. due to changed conditions and
enormous expansion, is generally recog-
nized. The republican platform we'll states
that we must have more elastic and
adaptable system to meet the require
ments OF agriculturists, manufacturers,
merchants and business men generally.
must be automatic in operation. recogniz-
ing the fluctuations in interest rates. In
which every dollar shall be as good as
gold and which shall prevent rather than
aid financial stringency in bringing on
panic.
Postal Savings Bank.
Elm addition to this. the republican
platform recommends the adoption of a
postal savings bank system in which, Of
course, the government would become
| responsible to the depositors for the pay
ment of principal and interest. 1t is
will bring out of boarding places much
money which may be turned into wealth.
producing capital and that it will be a
great incentive for thrift in the many
small places in the country having now no
savings bank facilities which are reached
by the Post Office Department. 1t will
bring to every one, however remote from
financial centers. a place Of perfect safety
for deposits. with interest return. The
bill nov pending in Congress. which Of
course the republican convention had in
mind. provides for the Investment of the
money deposited in national banks in
the very places in which 1t is gathered
or as near thereto as may be practicable
tanned In the democratic platform that
under the system the money gathered in
the country will be deposited in Wall
street banks. The system of postal saw
ings banks has been tried in so many
countries successfully that it cannot be
regarded longer as q new and untried ex-
pertinent.
Insurance ofSBank Deposits.
"The democratic platform recommends.
a tax upon national banks and upon such
state banks as may come In, in the ma
ture of enforced insurance to raise
guaranty fund to pay the depositors of
any bank which fails. How state banks
can be included in such a scheme under
the Constitution is left in the twilight
zone of states rights and federalism so
frequently dimming the meaning and
purpose of the promises of the platform.
If they come in under such a system,
they must necessarily be brought within
the closest national control. and so they
must really cease to be state banks and
become national banks.
The proposition Is to tax the honest
and prudent banker to make up for the
dishonesty and imprudence of others.
No one can foresee the burden which I'M
der this system would be imposed upon
country by this obligation to make good
the losses caused by the reckless, specu-
lative and dishonest men who would be
enabled to secure deposits under such a
surance; as in its present shape the pros
posal would remove all safeguards
against recklessness in banking. and the
chief, and in the end probably the only,
benefit would accrue to the Spectator.
who would be delighted to enter the bank
ing business when it was certain that ne
coald enjoy any profit that would accrue.
while the risk would have to be assumed
by his honest and Woodworking fellow. In
short, the proposal is wholly impracti-
cable unless it is to be accompanied by a
complete revolution in our banking sys-
tenn, with q supervision so close as
practically to create government bank.
II the proposal were adopted exactly as
the democratic platform suggests 1t would
bring the whole banking system of the
country down in ruin. and this proposal
Is itself an excellent illustration of the fit
ness for national control of a party which
will commit itself to a scheme of this ma
ture without the slightest sense of respon-
sibility for the practical operation of the
law proposed
THE democratic party announces its ad-
hesion to this plan. and only recommends
the tried system of postal savings banks
as an alternative If the new experimental
panacea is not available. The republican
party prefers the postal savings bank as
one tried. safe and known to be effective.
without banking facilities than the new
system proposed.
Voluntary Plan for Guaranty.
A plan for guaranty Of deposits by
the voluntary act of the banks involved
has been favorably reported to the House
of Representatives. This course is entire
ly different from the scheme in the demo-
cratic platform. emitting. as it does. the
governmental guaranty This proposition
will unquestionably receive the thought
full consideration Of the national none
tary commission.
Policy as to Dependencies.
THE republican party has pursued con-
sistently the policy originally adopted with
respect to the dependencies which came
to us as the result of the Spanish war.
THE material prosperity of Porto Rico
and the progress of its inhabitants toward
better conditions in respect to comfort of
living and education should make every
American proud that this nation has been
an efficient instrument in bringing hap
piness to a million people.
Cuba.
I'm Cuba the provisional government
established in order to prevent q bloody
revolution has so administered AFFAIRS and
initiated the necessary laws as to make
1t possible to turn back the island to
the lawfully elected officers of the re-
public in February next.
Philippines.
'In the Philippines the experiment of
a national assembly has justified itself
both as an assistance in the government
of the islands and as an education in the
practice of self-government to the Ieo-
pie of the islands. We have established
government. with effective and honest
executive departments, and q clean and
fearless administration of justice; we
have created and are maintaining a COM
prehensive school system which Is educat-
ing the youth of the islands in English
and in industrial branches; we have con-
structed great government public works.
roads and harbors; we have induced the
private construction of eight hundred
miles Of railroad; we have policed the
islands so that their condition as to law
and order Is better now than It ever has
been in their history. It is quite unlikely