The daily telegram. [volume] (Clarksburg, W. Va.) 1901-1926, 1911-11-22
Banker Says Crops Ought TO
Be as Good Collateral as
Stocks and Bonds.

I II ne man VINO. C4A49 GuS A54O e4A -
this country is creating SIS, goo, 600
LOT new wealth every day. Joseph
q. Brown, OF the Citizens National
Bank; oF.Ra1eigh. n. C.. told the
5000 American bankers at their an
nuai convention here today. mo
plan OF banking reform can be CT
Efective that does not give fU1I con-
federation to the needs OF the
farms. Back OF ali commerce, all
lSankine. all manufacturing. all In
dustry,' lies agriculture, the real
basis OF prosperity"
Mr.. Brown said that country
bankers wanted. banking system
that would make 1t as easy for
Texas farmers to borrow nancy as
it was for wall zstreet Spectators;
4 banking system that would make
the stored crop of the southern
planter as good bank collateral as
stocks and bonds. and. banking sys-
tenn which would prevent money
panfcs, ais they are now prevented
in ali other civilized countries.
.Panics," he said, "hirt the far
mer Just as much as they do Wall
street. They make It more difficult
for him to raise and market his
crops. They, cause high rates fer
money and low prices for cotton
and grain.
some one has we'll said that
panics has cost this country more
tban war, and yet we know that
nanics can be prevented They are
prevented in other civilized coun-
tries. In our recent panic we were
forced to call upon England to help
us out of her gold reserve when in
our own vaults there was stored SIX
times as much. as she possessed.
The difference was that hers vas
concentrated and available and the
neop1e knew II; While ours. larger
than that OF any other nation, was
scattered among $4,000 different
banks, and therefore, Of no ser
vice.
with us the banks lost confidence
in each other, there was no practical
way of cooperation. the people
knew it, and the blighting panic en-
sued. Such will continue to be the
result until we reach the point
where we can lay aside sectional
iealousies and partisan prejud1ces
and unite in some plan by which
the vast resources of this country
may be readily utilized and be made
as they should be. mighty tower OF
strength.
1--WE need in this country a
financial system so strong that no
short crop, and no number OF mis-
managed Institutions can bring dis
aster upon those banks which are
honestly and conseTvatIvely man
aged. or bring about such a condI-
tlon OF affairs that the men VINO
are doing things In the world ana
who by their skill and ingenuity
are supplying the daily wants OF
mankind, must stop the wheels OF
their mills and their factories ana
turn their operatives adrift with no
means Of, procuring n livelihood LOT
their wives and children"
Mr.. Brown said that the Ameri-
can farmer as the producer OF nine
billion dollars worth of life's ne
cessities every year, was certainly
entitled to better banking facilities
than he had under the present sys-
tenn.
eve ought to have bonded ware
houses through the South ana
IUest,, said he, "where the farmer
sfborrow money on his crops as
easily as the Wall street man now
borrows at the bank on stocks ana
bonds. sMith bonded warehouses
in operation all over the country
ths farmer VIII occupy Almost inde-
pendent position in regard to the
OF his crop, for his ware
house certificates will be Just as de-
sirable as stocks and bonds, and IN
many cases, far safer. The farmer
will at last have that which mas
bsen denied him all these years, fa-
cities FOR borrowing, equal at least
to the man in the city who carried
his. surplus in the shape OF neso-
table securities
! ..This will bring about more cor
dial relations between the2 farmer
and the banker. and both will an
IpSrac3ate more fully the fact that
each has his place in the world 8
economy, that their interests are
,1,,tua1. and that whatever builds.
n a. to