The Washington herald., 1913-12-12
The Currency Problem.
W.-What the Ideal System Is.

order carry general scope and and to COM
banks the bill authorizes IN
reduction of national banking at present eompes
More contrae of opinion has shown in Congress sns inc
dividend of pancapa of the banks ae
been paid The conference of Democratic Senators ada
this provision that after surplus earnings the extent OF 20 per n Dc
yond per accumulated earnings shall be d.
ded half and half be devoted guarantee fund for the
tax The Hitchcock would dividend the stock OF the FED
ea bank only provision being made for fund ior guar
slightly that laid down IN the owen
report r.
bill possible and at the same time
point defects in the measure Sincere re-
pret must therefore be again expressed that Congress
smaller institutions The
objection of public opinion the has been to central bank
promoters wholly controlled by
the government wholly An of this kind absolutely in
the hands of the with numbeies branches over the
rush from pO to point wherever was needed could issue feo
and could otherwise perform all the functions sought to DC
Oshed in the reform of with far greater ease than could
twelve regional banks contemplated 1t IS not 100 late or
Congress to look at this matter in the right light 800 go
expressed that the bill fails in the re-
of providing substantially and without l or Qualification what
immediate gold all points and places including the
Treasury of the United States of the Federal reserve notes issued VIII
calamity to our country The fact has been npn m ,T;
quality of system is its strength ana S ~
changed The bill the Federal reserve
obligations government and the provision for the guar
deposits Republicans and Democrats in the Senate
agreed very been pointed out the bills
obligations of the but are solely obligations OF the
local regional banks There gold provided for their
obligations of the government really
dine an pno wandering to the and
reenba ideas still latent in Congress Objection the bill
the of bankers than 'n ana
really enthusiastic banking support for the measure this phrase
The credit of the government should be lett untouched
national Just why seems need
bank deposits with method OF pro-
fexbiy of the currency beyond the telling OF sensible pp
guaranteeing deposits has been pced Oklahoma an
other parts failure Why should an attempt be made
to cngaf the nation?
the first draft of the currency bill was made
public the of the bill which bankers seemed to OBJECT 10 % OF al was
minority representation upon the Federal reserve
charge of the system lhi ooeon mas
Federal advisory council consisting OF
MANY members Federal districts each Federal reserve
bank sending Bankers however still far from ashed on the
and the Senate struck
of provision the OF at least hVe members OIL
compulsory laid upon one Fed
of other such banks 1t admitted
compulsory regional bank by another
op bank necessary that the banks VIII work
Nevertheless comuon should only beexercised with
great care restriction and the fact that the administration
with all restrictions harms rather than helps the
In view of these points, the opinion is here
those who looking for great things
the country business through great issue OF pa
m money and consequent imitation perhaps be disappointed