The Norfolk weekly news-journal., 1908-04-17
BRYAN ON GUARANTEE.
Protection of Deposits under Govern
ment Supervision.

ment supervision.
Denver, Walter Wellman today says:
Chicago. April 1.-Writing from
1T is certain that insurance and
guarantee of deposits in national banks
under government supervision will be
one of the planks of the democratic
national platform this year, provided
Mr.. Bryan controls the Denver con-
vention, as is highly probable. Even
If he should perchance fail to secure
two.thirds vote and his nomination,
there is no reasonable doubt that he
will write and secure the adoption of
the platform.
What have the republicans to offer
the country as an Offset to this plank
as a means of winning votes. The
Aldrich bill?
in any consideration of the chanc-
es of the parties in the coming strug-
gle for control of the government
these highly important facts must not
be overlooked. At the present time,
it is true, the republican leaders have
little conception of the significance of
this issue. They do not realize the
advantage which advocacy of deposit
guarantee is sure to give the democ-
racy. But they will realize it before
the campaign is over. If they fail to
provide an adequate offset, either by
| legislation or by like declaration in
their own platform. they will regret
| it before election day next November.
"Mr. Bryan never did shrewder
thing in his life than when he filed a
caveat upon the suggestion of compul-
sorry insurance and guarantee of de-
posits in national banks. The leaders
of the republican party at Washing
ton may go on with their heads in the
/ sand: the big bankers who do not want
| the little bankers to gain the advant-
age of equal security may pooh-pooh
as much as they like; the historians
may point out that the idea is not
original with Mr.. Bryan; the theor-
lists may sneer at what they choose
10 call socialistic proposition. These
things do not change the facts. And
the facts are that deposit insurance
and guarantee under the supervision
Of the government and at the expense
Of the banks or their customers has
taken a deep hold upon the public-a
hold so deep that II one political party
favors it and the other does not, the
first gains a distinct and possibly de-
cisive advantage in the compaign.
And Mr.. Bryan was clever enough to
make sure that his name was associ-
ated with the idea.
IF anyone doubts that this princi-
pie OF deposit insurance has taken
possession of the country he should
travel through a dozen states, as
have done. The people have perceived
that the trouble with the present bank
ing system is the isolation OF the
units; the facility with which conf
dence in one of these units, standing
alone, may be impaired; the rapidity
with which confidence dissolves once
dissolution has begun; the magic way
in which it overruns the country, from
ocean To ocean. They have perceived
that the government, having compelled
the banks to make absolutely safe one
twentieth of the system, that repre-
sented by the circulating medium or
money, should now compel the banks
to make absolutely safe the remaining
nineteen-twentieths represented by
the deposits. They have perceived
that as government compels safety OF
note issues through the maintenance
OF a guarantee fund at Washington, Sc
It should compel safety Of book cred
its by the maintenance Of a guarantee
fund somewhere, both under govern
ment control and both at the expense
'of the banks or their customers"