Little Falls herald. [volume] (Little Falls, Morrison County, Minn.) 1889-1950, 1908-12-11

0houId BE Lett to the National
Recommendations Leaders Come
IN for criticjsm-Respectf for Law
Vital to the WelLeeine Of Country.
Washington.-The 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-
tatives: Tho financial standing Of the
nation at the present time is excellent
and the financial management Of the ma
tons interests by the government dur
Ing the last seven years has shown the
most satisfactory results. But our cur
Hency system is imperfect, and it 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 80. 1908, there was an increase
IN the amount of money il circulation of
@oo1 9e1 $685. The increase in the per capita
during this period was SOS. Within this
time there were several occasions when
Il was necessary for the treasury de-
Dartment 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 hank
notes, and by facilitating importations
from abroad of gold. Our imperfect cur
rency system has made these proceedings
necessary, and they were effective nntjl
tho 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 in the treasury had been reduced
to approximately $1,000 00 Clearing
house associations throughout the conn-
try had been obliged to resort to the
expedient of issuing clearing house GER
t1hcates, to be used money. In this
emergency it was determined to invite
subscriptions for 100000 GOO Panama canal
bonds. and $l00, GOO GOO three per cent
certificates of indebtedness authorized by
the act Of June 10, 1893. 1t was proposed
to redeposit in the national banks the
proceeds Of these issues, and to permit
their use as basis for additional circu-
latinE notes of national banks The
moral effect Of this procedure was so
great that it was necessary to issue only
$24, $50 Of the Pasama bonds and SIS
4S6,5oC Of the certificates OF Indebtedness
During the period from July l. 1901 to
September 60, 1908, the balance between
ordinary expenses Of tie government
showed surplus in the four years 1902
1903. 1906. and 1877. and d deficit in the
years 1904 1905. 1908 and a fractional part
Of the fiscal year 1909 Tie net result
was a surplus Of so3,2 1854. The tinari-
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
1857, al ,o40 to $S97, 253,990, notwit his, anding
that there had been two sales OF Panama
canal bonds amounting in the aggregate
to 50 ,63l $50, and an issue of three per
cent. certificates of Indebtedness under
the act of June 10. 1885, amounting to
$l5, 43650O. Reminding operations of the
treasury department under the act OF
March a, 1906. resulted in the CONVEX
sion into two per cent. consols Of 1890 Of
$500, 3o9, 400 bonds bearing higher rates of
interest. A decrease of IS. 1856 in the
annual interest charge resulted from
these operations.
In short, during the Seven years and
three months there has been d 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 saving
of nearly nine millions On the annual
interest charge.
Control Of Corporations.
AS regards the great corporations en-
gagged in interstate business, and eSpe-
cially the railroads. l can only repeat
what have already again and again said
in my messages to the congress- | be-
lieve 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 ! 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.
the great corporations which are the
most important factors in modern bust
ness. I believe that it is worse than
folly to attempt to prohibit all COM
binations as is done by the Sherman
antitrust law. because such a law can
be enforced only imperfectly and I'M
equally, and its enforcement works al
most AS much hardship as good. 1
strongly advocate that instead of an I'M
wise effort to prohibit all combinations,
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 this national government full
power OF control and supervision over
them. One OF the chief features Of this
licity in all matters which the public
has a right to know, and furthermore,
the power, not by judicial but by execu-
tive action. to prevent or 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. The
power Of the commission should be made
thoroughgoing, so that it could exercise
complete supervision and control over
the issue of securities as we'll 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
Or 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-
dvced in such fashion as to necessitats
. cut in the wages Of the employees or
the abolition of the proper and legitimate
profits Of honest shareholders.
Telegraph and telephone companies en-
gagged in interstate business should b
put under the jurisdiction Of the inter-
atafA c0YornArcA c0rnmiSRf0n