Daily capital journal. (Salem, Oregon) 1903-1919, 1908-02-12

ferred from private hoards to the
Postal Bank would equal, II not ex-
coed. the amount required for con.
struction bonds for many years to
come; and secondly, because the is
susnce of bonds by the Treasury to
the Postal Savings Bank would not
raise the public objection that would
protest against a similar issue to
private banks.
In the splendid address by the
French ambassador today we were
told that France would expend a.
600, 100000 francs in constructing
canals and inland waterways. I wish
he had gone a step further and told
you of the great system for encour-
aging the economy and thrift OF the
people which has made France the
strongest nation financially on the
face Of the earth today The great
fund that paid the war debt of
France to Germany and from which
the French government has been
building their vast system of intern.
al improvements has largely come
from the stockings OF the French
peasantry, deposited first In the
Postal Savings Bank and finally re-
turned to the depositors In the form
of French rentes. The French
rente, which is 3 per cent nonre-
deemable certificate or government
bond, is so popular with the farmers
and peasant class that 22,221,600,-
644 francs, or $4.2SS.7S0,504 in
rontes have been bought. principally
by the working people of France.
and the total debt OF the French ma
tion amounts to only $5,S7S,S22.-
COS. the figures being for 1905.
rhe great objection or difficulty
TO be overcome, which has hereto.
fore stood in the way OF the adop.
ton OF Postal Savings Bank In this
country has been that no specific
plan was presented or seemed feasi-
bile for the investment OF the depos-
It's in such n Postal Bank, IL Is
only very recently that the Ameri-
can people have walked up to a re-
alization OF the immensity OF their
own problems. and showed their
willingness to engage upon such
stupendous undertakings as the
Panama Canal, or a great system OF
internal waterways. requiring vast
sums for their construction.
This time has now come and the
need for the money for such use by
the National Government creates the
opportunity for investment OF large
sums OF money by the government,
that removes the only fundamental
objection to a Postal Savings Bank
in the United States.
II we had such a Postal Bank In
this country, there would be de-
posted in II, as rapidly as the gov
ernment needed the money for con
struction, moro than S1.OOO.0OO,-
900. a considerable part OF which Il
now withdrawn from circulation.
The bonds OF the United States
which would be deposited with tho
Postal Savings Bank. would repre-
sert a debt TO a large body of small
d'vidual dcposItors. when the in
terest on tho coupons was paid by
The Treasury Department 10 the
Postal Bank. Il would In turn be
paid out through the Postal Bank 10
the multitude OF people who were
iepositors therein.
There is no doubt whatever OF the |
Dractioability of the plan | have slg-
sested. In other countries expert
aIee has demonstrated that a Posta!
Bank, instead of injuring the Dri-
iate banking system, has benefited
L; and the Postal Savings system
which has been for years In success
'ul operation in 80 many other
countries points the way 10 us 20
provide all the money We need for
Internal improvements without run
ling counter TO any fixed convictions '
n the mind of the people AT large