Tonopah daily bonanza. [volume] (Tonopah, Nev.) 1906-1929, 1911-10-27
CONGRESS SHOULD AMEND SYSTEM.

Mr.. Hill Of the Great Northern railway adj
mitS that have anic-breeding banking Sys
TEN, but he asserts that the congress of the
United States has not the intelligence to work
out the reform that the business men of the coun-
try are demanding. This, it seems to me- is an
astounding statement. | believe the great ma
jority of the people Of this country are ready to
leave this vitality important non-partiSan work
of reform with congress. confident that 1t Will
be performed for the good of all the people.
Isidor Straus the new York merchant, treas
urer of the New York state branch of the Ma
tioual Citizens league, thus answered James j
Hills Springfield Ill.,, speech
"a sound banking and currency system IS
one of the foundations of national prosperity,
continued Mr. Straus :. Mr.. Hill says we have
an unsound system But he thinks it should be
made sound by the bankers, and not by the PEG
pie through their representatives III congress. II
we wait for the bankers to give us IA modern
banking and currency system we will have an
other panic as disastrous as that OF four years
ago this month.
The millions of men who work in the pro
,uctye industries of this country whether as
merchants. manufacturers. farmers or wage-earn
,rS-the men who have suffered from our pane
breeding banking S.}stem-are going to demand
that this reform be effected by them and in their
interest rather than by the bankers. as Mr. Hill
would have it.
= 1t is IA problem that touches too closely the
welfare of every citizen to be left to few
thousand bankers for settlement The fight for
sound money was fought and won by the people
must be the fight for sound credit And |
believe the bankers Of the country are ready to
take counsel with business men.
Mr.. Straus said he was glad to see man
OF Mr.. Hills great business ability criticize the
proposed plans Tor cooperation banking asSo-
citation. Only by frank discussion, he said
could the reform be effected for the best interests
of the country. He agreed with some of Mr.
Hill s criticisms
Mr. Hill says National Reserve association
would be fine thing if it could be kept free
from politics and ambitious fnancirrs. : he said
II agree with him. but / believe that we vii
have no difficulty in keeping dangerous influences
out OF such an association. The business mel
OF the country, banded together in the National
Citizens league are going to make strenuous
fight against any banking reform plan that does
not eliminate political and Wall street contro
OF the credit machinery of the country We al
know that our present system encourages ambi
touS POLITICIANS and financierS to seek command
OF the credit machinery. If are going to pre-
vent the rise OF Il money trust in the IniteC
States we must reform our banking system -
MIR. Straus said were far behind Other
great commercial nations in banking and cur
rcnrcy.
This is the only country in the worlc
where we have money panicS. he said. do yol
know that the same conditions in this country
as existed i'll Germany in the past few week.
would have caused panic? a war scare sweep
over Europe French capital suddenly withdrew
from Germany The Bank of Germany rapid,
increased its loans by 1910, 0000 600 and lost at thu
same time T60,00O,000 cash. 1t met the emer
gency by increasing its note issue ~ 5000 900 600
In the last week of September the banks avail
able resources suffered the enormous loss o
T2OOo0000O. Here, in times Of peace. we hav
panics resulting from much less violent strain
ON our banks. But Germany has had no PAM
because she has sound banking system
The United States ought to be the crcdi
center of the world Instead. we are years be
hind Europe, struggling along with an archai
banking system