The Oskaloosa herald., 1908-12-10
Many Subjects Of Public Interest
are Discussed.
Finances Of the Country are
Shown to be in Splendid Shape.
Corporations, Labor and Pub.
lie Uflitiesare Handled in an
Energetic and Character.
istic Way.

Washington, d. c., Dec. S.-Presi
dent Roosevelt delivered his annual
message to congress today, and in
part said:
To the Senate and House of Rep
resentatiyes: The financial standing
: of the Nation at the present time is
excellent, and the financial manage
ment of the Nations interests py the
government during the. last seven
years has shown the most satisfactory
results, But our currency system is
imperfect, and 1t is earnestly 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 /, 1901,
to September 80, 1908, there was an
increase in the amount Of money in
circulation of $902,991 1893. The in
crease in the per capita during this
period was $7O6. Within this time
there were several occasions when it
was necessary for the Treasury De-
partment to come to the relief of the
money market by purchases or re-
demptions of United States bonds; by
increasing deposits in national banks;
by stimulating additional issues OF
national bank notes, and by facilitat-
ing importations from abroad of gold
Our imperfect currency system has
made these proceedings necessary,
and they were effective until the mon
etary disturbance in the fall of 1907
immensely Increased the difficulty Of
ordinary methods of relief. BY the
middle of November the available
working balance in the Treasury had
been reduced to approximately $5,OOO,-
600. Clearing house associations
throughout the country had been OBJ
liged to resort to the expedient of
Issuing clearing house certificates, to
be used as money. In this emergency
1t was determined to invite subscrip-
lions for $50,000,000 Panama Canal
bonds, and 100000, 900 three per cent
certificates of Indebtedness author
ICED by the act of June Is, 1898. 1t
was proposed to re-deposit in the ma
tional banks the proceeds Of these
issues, and to permit their use as a
basis for additional circulating notes
Of national banks. The moral effect
of this procedure was SO great that 1t
was necessary to issue only $24,631,-
$50 Of the Panama Canal bonds and
$15,436,500 Of the certificates Of in
debtedness.
During the period from July 1, '01,
to September 80, '0S, the balance be-
tween the net ordinary receipts and
the net ordinary expenses of the gov
ernment showed a surplus in the four
years 1902, 1903, 1906 and 1907, and
a deficit in the years 1904, 1905, 1908
end fractional part of the fiscal year
1909. p The net result was surplus Of
$99, 2S3, 413.54. The financial opera
tions of the government during this
period, based upon these differences
between receipts and expenditures,
resulted in a net reduction of the in
terest-bearing debt of the United
. States from 1887, 141 ,040 to $685., 253,-
. 900, Notwithstanding that there had
been two sales of Panama Canal bonds
amounting in the aggregate to ssh
1880, and an issue Of three per cent
certificates Of Indebtedness under the
act. Of June 10, 1898, amounting to
SIS, 500. Refunding operations Of
the Treasury Department under the
act Of March IA, 1900, resulted in the
conversion into two per cent consols
OF 1880 of 5000, 1908, 400 bonds bearing
higher rates Of interest. A decrease
of $8,687,Y56 in the annual interest
charge resulted from these operations.
In short, during the seven years
and three months there has been a
net surplus of nearly one hundred
millions Of receipts over expendi-
lures, reduction of the interest-be
ing debt by ninety millions, in spite
: OF the extraordinary expense of the
Panama Canal, and a saving Of nearly
nine millions on the annual interest
charge. This is an exceedingly salts
factory showing, especially in view of
the fact that during this period the
nation has never hesitated to under
take any expenditure that 1t regarded
as necessary. There have been no
new taxes and no increases of taxes:
on the contrary some taxes have been
taken off; there has been a reduction
OF taxation .. ..
Corporations.
AS regards the great corporations
engaged in interstate business, and
especially the railroads, I can only re-
peat what ! have already again and
again said In my messages to the Con.
gress. believe that under the inter
state clause of the Constitution the
{ United States has csnrIete and para;