The Hattiesburg news. (Hattiesburg, Miss.) 1908-1917, 1913-09-16
COLLIER Defends
GLASS'-OWEN
BILL
PREcEDES EXPLANATION OF
MEASURE WITH ATTACK ON
PRESENT SYSTEM.
STEVENS ATTACKS TWO FEATURES
Will Vote For Amendments Refused
BY the caucus-Would Not Exempt
Capital Stock in Federal Reserve
Banks From Taxation.
IF. d. Lancer, Jr.)

Washington, Sept. 16.-The Missis-
sippi delegation in the lower house of
Congress have so far taken a more
active part in the debate on the cur
rency bill than any other delegation in
Congress. Five Mississippians spoke
on the bill the first three days of the
debate-a larger number than had ad-
dressed the House from any other
state.
The two latest members to speak
are Representatives Collier and Ste
vens. Mr.. Collier defended the bill as
a whole and went into considerable
detail as to each feature. Mr.. Ste
vens declared he was for the bill, but
attacked it on two vital points.
Representative Collier preceded his
explanation of the Glass-Owen meas
ure with an attack on the present sys-
tenn, which he declared antiquated and
useless, showing that it was instituted
only as a war measure. He said the
rigidity of the system is the cause of
recent panics and went into consid-
cradle detail as to the panic Of 1907,
showing that it was the result of over
speculation in New York. The New
York banks had loaned to spectators
the reserves which they had received
from the country banks. Overspecula-
ton caused stocks to be thrown on the
market, thereby depreciating their
price, and the New York banks were
forced to call in their loans to country
banks, who, in turn, had to call in their
loans to depositors. This series of
( operations resulted in the panic
Mr.. Collier divided his discussion of
the Glass-Owen bill into three parts:
: First, the Governmental control OF
l Federal reserve banks, which banks
+ have power to issue currency; second
2 the mobilization of reserves; third, an
D elastic currency automatically expand
{ ing and contracting as occasions re
+ quire He dwelt at length on the dis
+ tinction between government contro
e and private control.
+ Under the control of Government
t placed in power by the ballots of the
i American people and responsible tC
d. the will of that people the currency o
d the country must be available for tht
4 use of that people and adapted to iti
needs" he said. Without meaning t
discredit the bankers of the country
D Mr.. Collier said they would naturall!
be inclined to view all questions from
If the bankers standpoint, as part o
If their earnings would be invested il
d the banks, and that they are therefor
v incompetent to constitute the govern
n ing board.
n. son the other hand" he said, :"
il Governmental board placed there b
the people of the United States, actin
for them and in their interests, tn
tendency of this board would be
construe the provisions of the bill, nj
for the benefit of the bankers or an
other class, but for the benefit OF ii
- whole people"
Mr.. Collier answered the chars
~ that the board would become too po'
" erful politically and that it would d
velop enough influence to elect Pre-
NC ident of the United States, by shown
that of the four members appointe
only two may belong to the same ?
litical party, that they must be sele'
ed from different sections of the cou
10 try and cannot hold office in any bar
ID ing institution.
This board" he said, will be G.
ated by a statute enacted into law
the representatives of the Americ
ion people, and there is no danger that
fer child of the statute can become mas
the of its creator" He declared the pt
: to er of the federal reserve board
gra- not be as great as that now held b.
Post dozen bankers, and backed up this
t to sertion by the testimony of George
meet Reynolds before the Pujo money-tr
com- committee. Mr.. Reynolds, who
Continued on Page Eight.l