The evening times. [volume] (Grand Forks, N.D.) 1906-1914, 1909-11-13
Wanted to Learn About Money!
Needed for Moving North
west Crops
SWEDISH SYSTEM OF BANK
NOTE ISSUE DISCUSSED
Western Sentiment in Favor Of ap
Elastic Currency-Aldrich Wants
System Suited to the Business,
Demands of the Wke!e Country.

Minneapolis, Nov. 13.-In this city
yesterday Senator Aldrich entered
upon a form of procedure somewhat
dlherent from that which he has pur.
sued elsewhere during his tour in tho
interest of the monetary commission.
ie was the principal guest at a noon.
day luncheon and at an evening din.
ner both given under the auspices OF
the bankers organizations and both
taking place at the Minneapolis club.
The innovation was made at the
midday meal. At that there was a
general exchange of views, and the
chairman of the commission took oc.
casion to ask number of questions
which were intended to bring out
facts bearing upon the currency and
banking problems. Heretofore the
day gatherings have been purely go
cial and at night MIR. Aldrich has been
the only speaker. Yesterdays after
luncheon proceeding took the form, Of
a symposium.
The subject of consideration was
the necessity for the increased n,ms
OF money with which to handle the
grain crops of the northwest. He ex-
pressed desire for information re-
garding fluctuations and was told that
from $30,000,0OO to $4,000, 900 are
sent west annually from Minneapolis
and st. Paul during the crop-moying
period. The further fact was de-
veloped that ordinarily this money
does not return until the next year.
The fact was brought out that after
the panic of 1907 there was especial
difficulty in getting the money re-
turned. Mr. Decker, who presided.
stated that it was withheld until the
bankers of Minneapolis and st. Paul
made an appeal to their brethren of
Chicago to stand behind them in in
surfing a return the next year of the
money to the various localities. This
assurance received, the cash came
pouring in in the usual volume.
Another thing" remarked Mr.. AID
rich, that credit is as good as cash."
Elastic Currency.
The Rhode Island senator found the
sentiment here to be very decidedly
in favor Of a more elastic currency.
There were many expressions in ad-
Vocacy OF system that would insure
a sufficient volume of money to meet
the demands Of the harvesting and
other shipments of the crops of the
region. The fact was also developed
that one Of the great difficulties the
bankers of the northwest have is in
handling foreign exchange. in which
many of the mills deal. One of the
speakers declared that after the panics
of 1898 and 1907 business had come
TO almost a standstill because of the
difficulty in handling the foreign
paper. This. he said. was true not
withstanding wheat had dropped to
point where it could have been milled
and the product utilized to bring back
to the United States the money which
was needed so badly
That" said Mr.. Aldrich, "is Just
the point l have in view"
Both in the day and the evening
meetings the visiting senator dis
cussed the questions of international
exchanges. in connection with the
credit systems of other countries. He
declared that of the two thousand
million dollars worth of goods which
we send out of this country eyery
year, ninety per cent is forwarded by
foreign banks. Now" he added. eve
are becoming such creditor nation.
and the men who come here are
growing to be so prosperous that in
another generation / do not know
where you are going to find your bor-
rowers. You may find an impecunious
railroad occasionally, ] suppose, in
want of money. But everybody, II
seems to me. has become a capitalist
In this country. And think, in any
event. that we can have a much more
satisfactory organization with refer
ence to our foreign business than now
exists. The time will come in the
future when the banks of the United
States. ] trust will do this business
and make the profit, instead Of per-
foreign institutions to do So"
Swedish Banking System.
Taking advantage Of the fact that
a large percentage of the population
of this section of the country is of
Scandinavian origin. Senator Aldrich
took occasion at night. in his after
dinner speech to review the Swedish
banking system as worthy in any
effort at reforming our own system.
He said that most important change
had taken place in Sweden within
the past two years. and he instanced
it with the view, evidently of showing
that there might not be such great
difficulty in bringing ordinary banks
to accept a central bank issue If de.
cided to be desirable Saying that
the central bank system had been
adopted in Sweden in 1902, he told
how the twenty-seven banks which had
the right of issue had been brought. to
surrender the right by what he termed
"a most peculiar revision" requiring
the national bank to discount the pa-
per of the other banks of issue at Z
constantly diminishing rate and ana.