Albuquerque evening herald. [volume] (Albuquerque, New Mexico) 1911-1914, 1913-12-13

IBy Lcasod wire to Evening ncraia

Washington. Doc. ia proposal
that the United States call a confer
ence of the powers tu consider a
Worldwide basis of parity between
gold and silver was brought up In
the consideration OF tha administra-
tion currency bill today when Sen
ator Thomas Democrat, introduced a
resolution proposing that President
Wilson be- authorized To- invite Eng
land. France and Germany, whose
monetary system is based ON the gold
standard, To- participate, and that i've
delegates be- appointed from the Unit
cd States when any two European Hu-
tions had accepted the invitation. a
preamble set forth that rates Of cX-
change botwccn gold standard couu-
tries and the silver nations Ol south
und Central America fluctuated Woe
lcntly always 60 the disadvuntnrc oi
the gold standard countries.
senator Thomas cuntcndcd that his
resolution called for consideration In
connection with the currency bill.
The currency problem in any one
country can not bc satisfactorily set
tied without considering currency con
ditlnus throughout the world said
hr. Efforts for AN agreement Tor ou
early vote on the bin met with litUc
success today, Senator tummins. he
publican, continued his criticism of
the measure.
senator Root presented amend
mouts tu eliminate the guarantee at
deposits and revise the note issue sec
tlon tn provide for q graduated taN
ON reserve deficiencies la order 30
prevent imitation.
Il think this biI has many benefit
cial features which ought to bc en-
acted INTO law" hc said. "lt is un-
fortunnt, Tint thr circumstances uu-
der which tho hin comes before u9
hamper full discussion. h Is untur-
tuuuto that the Democratic caucus
action uu the measure was not delay
od untu tho bin had been thrcshcI
out I'm the senate. lu presenting
amendments We labor under the dis
couragnE idea that the bin has been
already passed"
Senator Root pointed out that there
was no limit on tho amount of new
currency which could bc issued under
the bin.
"Thi- provision" said ne, rcforriug
to the not. issue section, 'is simply
authority for tgo further Increase OF
our present gree ouhlCKF" TIE pointed
out that "a, government hts SN2i-
OO0. 600 of demand obligations, against
which g. holds 1891, 100000 iu gold
and silver lie argued that any FUR
thor increase of obligation should h"
authorized only on ample reserves
Predictions of "a big expansion ot bus
moss that would thrcutcu uu over
expansion of credit ana currency un-
der tho new Jaw were made hy Sen
ntur Root
1--WE started out 10 provide for an
elastic currency. but this bin provides
q D.
senator 1T provides for currcuC'
that may ho increased always in-
creased. hut thcre d. no provision
compelling ifg reductions"
While The federal reserve hoard
Senator Root admitted, had dlFcrc-
uouary powers 60 limit Tho issue Oi
rurrcnCv su far as tio proposed now
Inv itself is concerned there was no
specific restraint in the constant in
cronso of tho volume Of currency.
There viii hc an activity ~ cu-
terprisc that win absorb tho maxi
mum which tho reserves of the bank
win permit" hc said, "and it vii
require th' exercise. 90 the extreme
or tho authority ~ The federal ere
rorv board to hold Il In check"
Senator Root declared the now hii
sU far as snccific restraints ON tho oX
panslon of the currency were con
corncd would not help to check p1n
les ~ can see in this bill.' he 9aid
GRO end iutcrpuscd hy us to tho or
currcnCe az One of those periods col
false ana dclusivc prosperity that iu
Cvituhly ends in ruin ANA suffering !
has been the history Of this nnd othr
countries" ne said that panirs FOL
low 'cnsy money
"That was tho case IN 1897, IN 1857
Ia 1871 lu 1Ngg and iu 1907 " np Dc
clarcd
Senator Roots amendment woul,
tax an notes issued after thy gold &C.
serve dropped below 30 per cent J
would also provide th1t any new motto
issued gftof 5000 600, GOO hnd hcol
nut out should pay % special tax %
I 10 por cent ana that nftor 200.
OOO 600 notes hnd h"on issued tn
of five uer cent should he imposed o
o. flHhcr issues
'"rhis would allow the issue of som
a. Ita.N sarH "a