Evening star., 1909-08-29

Improvement In money rates here, which
Is regarded as a certainty within the
next thirty days. and the prevailing quiet
condition of business abroad. fall In
the rate OF exchange will encourage the
importation OF foreign funds to this coun.
try for employment in the rapid develop
ment and the expanding demands of the
country at large
Mr.. Hepburn continued las to the pros
perity and rapid development OF this
country. and the greater needs for an in
creased circulation of money. Locally
many millions are being spent for in
creased passenger transportation facali-
ties. IN subways. submarine and subriver
tunnels and rapid transit facilities of all
kinds. and this demand is not confined to
New York. Other large cities throughout
the country are working in this direction
The demand for the transportation of the
greatly increased crops. year after year.
are constantly growing. and must result
In the building of mort railroads, especial
~ In the newer settled sections of the
west and northwest.
THE developments in building every
where in steel-making and manufactures
OF ali kinds. all call for a greater circu-
iation and employment of money. and
with the impetus given to business of
all kinds here and the safe and profitable
employment of money. resulting from the
natural prosperity of the country through
its tremendous annual yield in crops, II
countries where business is dull will be
attracted here"
Fears Bank of Issue.
Being asked by The Star representative
whether he was interested in the work
of the recently appointed monetary COM
mission, Of which Senator Aldrieh is
chairman, Mr.. Hepburn said
II am very much interested i'm it, and
\ hAlf fl,at fh. IL
bers of that commission are engaged
upon, and the recommends tions which
they will make to Congress will be of
material benefit to the banking interests
OF this country"
In reply to a question as to whether
he is I'm favor of the establishment o. a
national central bank of ISSUE such as is
contemplated or spoken of in connection
with the work OF the monetary commits
sion, Mr.. Hepburn said:
II am entirely in favor of it. and l
hope the recommendations of the COM
mission will be such as to bring about
the establishment of such institution.
The central bank Of issue would. TO my
mind, work a revolution, and be a power
for good in the banking interests of this
country.
.'It would have the effect of centraliz-
ing and controlling circulation, curtail-
ing the not infreouent exorbitant rates
of interests on call loans, and would i'm
many other ways regulate and control
times abused by national banks"
Banks Jealous of Powers.
Mr. Hepburn explained that the siren
uous opposition offered by SO many prom
inent bank presidents to the establish
ment of central bank of issue. is occa-
stoned principally by a knowledge of the
fact that il would be a curtaiment OF
their present powers. These men in times
Of stringency, or panic. would not be In
a position to dictate terms such as would
run the interest on call loans IN to 40.
so. so or 100 per cent, as has been the
case heretofore.
1.-The work Of the monetary commits
sion is of wide scope" Mr.. Hepburn con-
cluded. Much has already been done,
and a great deal more yet remains to
be done. but when the work is completed
and the recommendations of the commits
sion favorably acted upon by Congress a
great good will have been accomplished
for the business and banking interests
of the country"