The Washington herald., 1908-02-05

widest speculation the country had eveg
known He ridiculed various other rem
edies prOposed-the Aldrich bin among
them.
No Remedy for Panic.
None Of the remedies suggested com
mended themselves 20 3Ir. Hill II defy
any man 20 offer legislation that Will
stand for q minute before S5.G00.OJ0 scared
Americans. bent on boarding money" he
cried. Existing conditions were such. he
declared, that the passage Of crude. in
complete legislation was unnecessary as
we'll as Unwise. At the Treasury yester-
day there were requests on file for the
retirement Of national bank notes 10 the
amount of Sg7,5o0oJ0. call money in New
York is AZ per cent, time money ( per
cent and all you want.
Discussing the AIdrich BILL Mr. Hn
said an issue of circulating notes based
on bonds was vicious IN principle and
that the operation Of the bill would re-
suit in making a cold storage warehouse
of the Treasury for bonds awaiting a
market. That bill. he said. permitted the
redemption Of one note by the issue of
another. and the cost would be thrown
entirely upon the government No note
should be put in circulation by the gov
eTnmeut or by "a private corporation
which was not backed by sufficient gold
to warrant It's redemption in gold when
presented, However, said Mr. Hill If il
be desired to provide an emergency cur
rency while preparing a new and sCien-
tfc plan for "a permanent currency, the
suggestion Of Mr. Payne, of New York.
was the best he had heard. To remove
the limit now fixed to the issue of bank
notes to the capital Of a bank and let
the banks that want 20 Increase their
circulation and could find the proper Sc
cmity take out the balance now permis-
sible-about $250000C19.
lie Wants Central Bank.
Mr.. Hnrs own suggestion was tho or
ganization Of "a central bank of issue, to be
owned and operated by the banks of the
country. ana serve without compensation
as the financial agent of the government.
as the Bank of England now serves Great
Britain and the Bank OF France that
country. This. he asserted. would be the
great banking force in the world. with
seventy millions OF capital deposits ofS10D.
0OG coo and a circulation OF the same sum.
The deposits would be made up OF the re-
serves of other banks. upon which.
neithe, on the circulation should there be
tax
It was and would continue to be i'm
possible to secure harmony of action
among the 650o national banks said Mr..
Hin, in the matter of issuing or retir-
ing circulating notes. He called upon any
bank president or director to stand up and
confess that i'm either case he even con
sidered the general good. He admitted
that he had never considered but the
question Of pTOht and loss Of the bank.
But the country didn't need more
money now. Mr. Hu said The country
must recover from present conditions
only by the exercise of economy and by
iouidation We could not go on, he
said, in the way We were going, and ex-
pect God to bless as, He recalled the
story of Maine Quaker who answered
a suggestion regarding Sabbath Observ-
ance: God does not always pay on
Saturday night; but He pays"
After some further debate the com
mittee arose. and the House ordered q
further extension of general debate, 70 in
Clude four hours of to-day's session.