The Marion daily mirror. (Marion, Ohio) 1892-1912, 1909-10-06
CENTRAL BANK
n PLAN OUTLINED
People Privileged to Buy
~ Stock at Will.
mo POLITICAL CONTROL

! Single Purpose Of Proposed Institu.
/ tlon ls 10 Safeguard Interests OF
y the Masses In Their Private Rela.
tlons--issue Notes In Time OF
Ne etrngeney Which Can Be With
r drawn From Circulation When No
Longer Needed.
" Washington, Oct. 9. - The coming
Congress must meet a situation born
Of the panic of 1907, when the issue
OF clearing house certificates was
made by the government to supply
currency to meet the demands of the
business interests in the country,
though Americas Golfers were over
flowing with gold. The temporary
legislation enacted during that crit
zeal period must be either supplanted
or re-enacted into permanent law,
and foremost among the various pro-
jects that have been advanced as a
proper solution OF the government
problem stands the proposed national
central bank AS It is the common
belief that 1t will form the basis Of
the curative legislation to be recon-
nendsd by the monetary commission,
President Taft in his recent Boston
speech signified his own favorable dis.
position toward the project c.rl
q Political control of the great bank
would be made at least extremely diff
ficult BY The life appointment OF the
officers. Integrity OF operation would
!. be assured by board of supervisors,
appointed by the president, the Sec
rotary of the treasury and the comp
troller of the currency, subject to the
approval of the senate, for alternate
terms OF at least eight years, to
( bridge over political mutations. Thus
would be met the objections founded
upon the history OF the old United
States bank, that the central bank
might be prostituted to political uses
and be made a powerful engine for
the perpetuation in power Of one
party.
The single purpose of this project
ed bank would be to safeguard the
business interests of the people in
their private relations. II there were
need for more money for business
purposes, the bank would supply 1t
by notes, and If there were a plethora
in dull times these notes would be
withdrawn. Governmental assistance
to the institution would be limited to
the deposit with the central bank Of
all government funds now in the ma
tional banks. The existing banks, 1t
Is hoped, would find their compensa-
ton for the loss Of these funds in be-
ing relieved from their present bur
Z, den of carrying the whole weight of
Z responsibility for increases in the cir
! culating medium, and in the tact that
the central institution would not re-
ceive deposits from individuals.
y AS to how the business man is to
benefit by central bank, the state
ment Is made that the project in.
eludes a provision for the acceptance
OF good commercial paper as basis
for the issue Of money. Such paper
would represent actual transactions
between solvent concerns-all short
time credits-and sure to be redeem.
ed whenever the transaction was con-
cluded. There would be a reasonable
coin reserve to maintain equilibrium.
That this plan will meet with pro
longed opposition when laid before
congress can not be doubted, al.
though the administration desires to
have the matter regarded as non.
political. q