The Washington herald., 1908-03-02
March came IN like a sea-llon.
Mr. FowIer,s financial Bill.

Chairman Fowler. OF the House Com
mittee on Banking and Currency. has
achieved an almost impossible feat in
securing from his committee favorable
report on his financial bill This measure.
as is well known, contemplates a thor
ough-going revision Of our financial and
currency system according 70 what is
known as the banking principle OF note
issues. It would If enacted, operate to
retire both the greenbacks and the pres
ent bond-seeured bank notes, In place of
which would be substituted an asset bank
currency redeemable in gold. Both notes
and deposits would be guaranteed by a
reserve fund in the United States Treas
ury- Our actual money supply would
then be composed of but two classes.
outside the smaller copper, nickel. and
silver coins, namely, gold and silver coin
and bullion and their paper representa-
tives and bank notes. Mr., Fowler
urges in behalf Of his bill that it is time
for genuine and complete reform Of
our financial and currency practices" and
that the system he proposes is scientific.
sound and wise" In q summary Of his
report given TO the press Mr.. Fowler as
serts that the new banking system will
accomplish the following results:
'Unify the banking interests Of the United States
uniform and adequate reserve in gold coin
to Prove al bank credits and thereby protect the
interests Of all depcsitors establish scientific and
simple monetary system: give The country a tine
credit currency system by which current credits VIII
always increase AID decrease in strict accordance
with the demands Of business, give 10 laborers
farmers. producers. Manufacturers. and merchants
ami ali others having bank accounts the night 10
have their credits IN the form which will best serve
their needs; give to the masses of the people Just
as economical and cheap credits as the rich and
powerful have: establish a currency based on the
products Of labor and redeemable in gold coin give
to producers ard merchants the opportunity 70 coin
their commodities into the currency which the banks
viii be compelled to redeem in gold coin: establish
in the United States Treasury a fund Of approxi-
matcly S7l0.G00.oo0 to glarnntee the redemption Of
these notes IN gold coin and protect all depostors
Of national banks. thereby preventing PANTS and
storphas the boarding Of money; completely divorce
the operations of the United States Treasury from
the trade and commerce q the country. and there
hy preFcnt their continuance as a disturbing factor
IN busine1s "
All these are commendable purposes
and theoretically possible Of accomplish
ment under the terms of the Fowler bill
But the theoretical excellence of the bill
is Of not so much consequence Just now as
the practical question whether II stands
any chance of enactment at the present
session. Even should Mr. Fowler's con-
ceGed powers of persuasion and leader
ship. so signally shown in his successful
handling Of his own committee. be sue
cessful in pushing his measure through
the House, It would be almost certain 70
fail in the Senate, where there are few
symptoms of sentiment for radical re-
form OF the currency 1t has been noted
by a shreWd commentator on the course
OF financial legislation in the past that
none of our important financial measures
has been passed immediately in the wake
Of a panic. Undoubtedly. so radical bill
as that sponsored by Mr. Fowler would
fare better in Congress after the pres
ent wave OF feeling against the banks has