Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1912-01-11
BUSINESS AAAP[R[D
BY LACK OF BILLS
GOVERNMENT CAN NOT KEEP UP
WITH DEMAND or, BANKS
FOR CURRENCY.
BILLS OF 81 AND e
DENOMINATION WANTED
Growth Of Population Responsible For
Greater Demand For Paper Money
Silver Currency Giving Way 70 Pa
per Over Most Of Country, Except
For Sinai; Change.
Especial Correspondence

Washington, Jan. 11-That the busi-
ness OF the country stands in danger Of
being temporarily paralyzed thru lack
Of an adequate supply OF dollar and
two dollar bills is the Information CIV
en- to the house committee on appro-
priations in a recent hearing which the
committee gave 10 Director Ralph Of
the bureau OF engraving and printing
and United States Treasurer Lee Nc
Chung.
The growing demand for bills OF
small denominations, as described to
the committee by these officials, is so
great that Uncle Sam is hardly able TO
make them fast enough for the public
to use them. For years the bureau Of
engraving and printing and the treas
.ury have been trying to build up re-
serve supply of these bills. 1t has been
found impossible. They are scarcely
of the presses before they have to go
out into the world and into the chan
tnels Of trade.
Fire Would Halt Business.
A big fire in the bureau Of engraving
and printing or like difficulty would
be disastrous TO the country. according
lyze the finances Of the country in the
circulating mediums and the internal
revenue stamps and the postage
stamps" Treasurer McClung said the
treasury was unable to give the banks
what they wanted in the way Of new
bills Of small denominations and that
the bureau Of engraving could not sup
ply them and he emph ASKED the en-
l.~ 81 <1,A
government money plant for any rea-
son had to be closed down. He pointed
out that out Of the total amount Of
paper money outstanding, SO per cent
is in ones and twos alone and 40 per
cent. or practically half, is in ones.
The notes OF small denominations pass
from hand to hand much more quickly
than the large bills and soon become
worn out and spoiled and have to be
sent back to the treasury for redemp-
ton.
Demand Growing.
The reasons for the growing demand
for small denominations Of paper
money, as related to the committee by
these two officials, are the growth os
the country's population, which has
caused the money, and especially the
smaller denominations. to circulate
moro rapidly. with corresponding wear
and tear: the growth of business ac-
tivtties: the tendency toward the use
OF small denominations: the publicity
given to uncleanliness and insanitation
OF soiled notes and the consequent de-
mand for cleaner money.
It was brought out in the hearing
wherein the officials were asking for
an increased appropriation for the bu
reau Of engraving and printing. that
the silver dollar, in fact silver cur
rency Of larger denominations general
iy. is giving way to paper money over
most Of the country. The explanation
is that in recent years the bankers
have to pay the expense OF transport
ing silver money from the subtreasur
les. Formerly the government bore the
expense. The banks, Of course, prefer
to pay for transportation of paper
money because it is much cheaper.