The Irish standard. [volume] (Minneapolis, Minn. ;) 1886-1920, 1912-12-07
RADICAL CURRENCY
REFORM IS URGED
MAC vEAGH HoLpo PREsEN7
METHODS REsPoNslsLE
FOR DlsAsTERs.
AN ADEQUATE SOLUTION.
Estimated Deficit for Wilson's Fjrsa
Year in Office is $52,73o,455.
Recall Bill 10
Un

Washington. Dec. 5.-Strongly urx.
Ing radical reform of the "unreasoned
and unscientific" banking and curren.
cy system OF the United States. Frank.
lin MacVeagh. secretary of the treas.
ury, freely warns congress in his an.
nual report that the federal govern.
ment, as long as the present scheme
exists, Will he exclusively responsible
for the commercial, industrial and 80.
cial disasters which flow from panics
and attack. directly or indirectly, every
home in the nation.
The present system promotes aud
developers panics and legislation is ur-
gent. declared Mr.. MacVeagh, in out
lining his idea Of the necessary zen.
ernl provisions Of an adequate relief
measure. Aside from affording flexible
and elastic currency and reserves, such
a revision. he says. would bring the
bank into organized cooperation and
provide for central agency through
which they could work together, free
OF political or trust control.
According to the estimates Of the
treasury department the secretary
foresees a deficit Of $22,556,023. ex-
elusive Of Panama canal expenditures.
for the fiscal year ending June 80, 1914
the first fiscal year of President VIII
SONS administration. Including the
canal expenses the deficit is estimated
at $50, 730.455. The canal expenditures
ne adds. however. may be paid under
the law from bond sales. The esti.
mated receipts for that year are 371o,.
100000. while the ordinary appropria.
tions are estimated at $732556. O2s,
and the canal expenditures at $3O,174,-
432. Undoubtedly having probable
tariff revision in mind the secretary
announces that these estimates are
based upon present conditions and
laws
In connection with financial reform,
Mr.. MacVeagh says the people are
helpless under existing evils. The
present system never permits free &C.
ton at any time. because its liability
to sudden constraint and restriction
is always a part OF the nations f1nan.
cial consciousness.
Features Of Relief Measure.
A relief measure reforming the bank
Ing and currency system. the secretary
declares must include. among it's
necessary features, provisions for new
er-failing reserves and never-failing
currency. and for the perfect elastici-
ty and fiexibility of both; for the per-
manent organization and organized CO.
operation Of the banks, which are now
suffering and causing the nation to
suffer by reason of their unorganized
state; for a central agency. to repre-
sent and act for the organized and CO.
operative banks-this agency to be Sc.
curely free from political or trust con-
troll. but with the government having
adequate and intimate supervision Of
It: for Independent banking units SO
Independent that no one bank can be
owned. controlled or shared in any de-
gree, directly or Indirectly. by any
other bank; for the equality Of all
banks. national or state. both as to
standard and as to furctions-so that
every requirement made OF q national
bank must be compiled with equally
by state bank, and every function or
privilege enjoyed by state bank shall
be enjoyed by national bank; for tho
utilization ana the auidity Of bank as
sets; for tho scientific development OF
exchanges-domes este and foreign; for
foreign banking az an adjunct Of our
foreign commerce.; and for taking the
treasury department ont Of the bank.
ing business.
Money Probe Opens Monday.
Richard White. deputy sesssant-at-
arms of the house, returned after serv-
Ing slbpoenaes on witnesses who will
appear before the house committee on
banking and currency. on Monday, for
the opening of the money trust" In.
vestigation. Seven witnesses have
been summoned to testify.
Recall Bill 10 Introduced.
The Initiative and the recall Of IT,
dicial decisions, as amendments to the
federal constitution were proposed by
Senator Bristow in resolutions laid be.
fore the senate.