Bisbee daily review., 1908-05-17

 ARE VOTED F0R
 BY CONGRESS
To Go Junketing Over the Country Digging Up Curren- cy Statistics That in the End Will Be Useless.
Special Co Review.)

tSDcSldl UO~fbeFlcN.l ,
 WASHINGTON, May 16.-The house committee on banking and cur rency, having dangled along with the emergency currency measures, has at last laid allof them aside, including the Aldrich bill which passed the senate, and has ordered a report ana bill to create a currency commission to report to congress next December the United States.
 Also another bill has been agreed to by the house leaders providing for what may be called an asset emerg- ency currency based on the securities held by the bank, commercial paper bonds, etc. The bill also provides for a commission of IS members of whom six shall be named by the house, six by the senate, and six by the presi- dent.
 If either of these commissions is authorized by congress, it will be quite as difficult to get an agreement on general measure for the reform of the currency as the committee on banking and currency has found 1t to be. There are two schools of finance amongst the National bankers, one
  favoring a general reorganization of the financial system with bank assets as basis for currency-what they call a scientific system-and the other school intent on leaving our present. system much as it is, with an enlarge ment of the basis for bank currency to include municipal and railroad bonds as securities for emergency cur rency which is to draw interest. Then We have another and more rad ical school who want bank deposits secured by the government, which is being tried as an experiment by the the state of Oklahoma as far as her state banks are concerned, and such National banks as are willing to be included, with the abolition of bank rency. which is to draw interest issued by the government sI
 It will be very difficult for the pro posed commission to harmoniZe these conflicting interests unless other than bankers and those whom they can in- f1uence are appointed on the commis- sion.
 The president will probably be guided by leading Wall street bankers in selecting the members of the com mission he is called upon to appoint, not perhaps from a desire to give them the opportunity to control the financial situation, but because he re- gards most Of these princes of f. nance as the only oracles that under
 rend the r. al needs of the country and of the banking interests. Those members appointed by congress will undoubtedly be politicians, whose fit- ness and knowledge of finance may be very limited. The necessities of the people for sound banking and currency does not seem to be consid- cred by republican congressman, or the president, but it is a matter Of vast importance to every one.
 The present system of National bank currency was invented to force the sale and demand for government bonds, and there is no doubt that it is a constant inducement for the is- sue of more bonds, aod now that the treasury surplus Is being rapidly di- unfinished by the falling of in receipts from customs and internal revenue taxes in consequence of the business depression, there will be more Pan- anna canal bonds issued in the near future. and excuses found for other bond issues to preserve the National bank currency.
 As every bond issued by the gov ernment is a mortgage on the prop erty of the people that must be met, both for the interest and principle, by increased taxation, it Is of para mount importance to the taxpayers that the issue of bonds for public works should cease, and the neces- sary revenue for the government be raised by taxes. Under the bonding system the people pay twice over. They pay interest and principal, WhIIe the surplus in the treasury, the proceeds of taxes and bonds are loan ed without interest to the banks.
 A commission of bankers would naturally propose that any new bank ing law will favor the banks; but a commission composed chiefly of ex- pert financal economists and bust ness men of high character, with an eminent lawyer or two to pass upon the legal aspects of the new law would be more likely to conserve the interests of all classes. If a proC:F commission Is authorized 1t Is prcDa- be that congress will accept it's findings, and for years we would have to adapt the busness of the whole country to t, whether for veal or woe. There is nothing that requires so much foresight and care as the jaws that govern the financial affairs of the government and the people.