Los Angeles herald., 1909-03-05
tected against lawless assault or in

tected against lawless assault or in
jury.
One of the reforms to be carried
out during the incoming admins
tration is a change OF our monetary
and banking laws, so as to secure
greater elasticity in the forms of
currency available for trade, and to
prevent the limitations OF law from
operating to increase the embarrass-
ments of a financial panic. The
monetary commission lately APP
pointed is giving full consideration
to existing conditions and to all pro-
posed remedies, and will doubtless
suggest one that will meet the re-
quirements of business and of pub
lie interest. We may hope that the
report will embody neither the mar
row view of those who believe that
the sole purpose of the new system
should be to secure a large return
on banking capital or of those who
would have greater expansion of
currency with little regard to pro-
visions for It's immediate redemp-
ton or ultimate security. There is
no subject of economic discussion so
intricate and so likely to evoke diff
fering views and dogmatic state
ments as this one. The commits
sion in studying the general in
fiuence of currency on business and
of business on currency, have wisely
extended their investigations in
European banking and monetary
methods. The information that they
have derived from such experts as
they have found abroad will I'M
doubtedly be found helpful in the
solution of the difficult problem
inducement to savings deposits
they have in hand.
The incoming congress should
promptly fulfill the promise Of the
Republican platform and pass
proper postal savings bank bill. 1t
will not be unwise or excessive
paternalism. The promise to repay
by the government will furnish an
which private enterprise cannot
supply. and at such low rate OF
interest as not to withdraw custom
from existing banks. 1t will sub
stantially increase the funds avail
able for investment as capital in
useful enterprises. 1t will furnish
the absolute security which makes
the proposed scheme of government
guaranty of deposits so alluring
without it's pernicious results.
Foreign Trade Important
sincerely hope that the incom-
ing congress will be alive, as it
should be, to the Importance of our
foreign trade and of encouraging it
in every way feasible. The posi-
bility of increasing this trade in the
Orient, in the Philippines and in
South America are known to every
one who has given the matter atten-
ton. The direct effect of free trade
between this country and the Phil
ippines and in South America are
known to everyone who has given
the matter attention. The direct
effect of free trade between this
country and the Philippines will be
marked upon our sale of cottons,
agricultural machinery and other
manufactures. The necessity of the
establishment of direct lines of
steamers between North and South
America has been brought to the
attention of congress by my prede-
cessor, and by Mr.. Root before and
after his noteworthy visit to that
continent, and I sincerely hope that
congress may be induced to see the
wisdom of tentative effort to es-
tablish such lines by the use of mail
subsidies.
The Importance which the depart
ment of agriculture and of COM
merce and labor may play in rid
ding the markets of Europe of
prohibitions and determinations
against the importation of our
products is fully understood, and it
is hoped that the use of the maxi
mum and minimum feature of our
tariff law to be soon passed will be
effective to remove many of those
restrictions.
The Panama canal will have most
important bearing upon the trade
between the eastern and far western
sections of our country, and will
greatly increase the facilities for
transportation between the eastern
and the western seaboard, and may