The Wheeling intelligencer. [volume] (Wheeling, W. Va.) 1903-1961, 1913-11-13
Thursday. November 13. 1913.
CURRENCY BILL PROBLEMS.

n dificulieS which beSet President Wilson s currency bill con-
tnue to grow. A clear majority of the senate finance committee is
now opposed TO the bill, desired by the President. Two Democrats
acting with Republican members, have passed important amendments
which are distateful TO the White House. Four Democratic members
will report the original GlassOwen bill to the senate with few amend
ments. A majority of the senate finance committee will report an
entirely different measure. The most important points at issue seem
to be the following:
First-shall the emergency currency issued by the regional banks
be redeemable in gold" or in lawful currency" A majority of
the finance committee favor redemption in gold. The original Glass
Owen bill provided for redemption in lawful currency"
Second-Shal the number of regional banks be twelve. or a
hnanee committee favor the smaller number, four or six. The Glass
Owen bill, as it passed the house and as favored by the President,
provides for twelve regional banks.
Third-shar the control of the regional banks be in the hands
OF the banks who subscribe 10 their stock, or shall the control be in
the hands of the administration through the comptroller of currency
and the secretary of the treasury? A majority Of the finance com.
mittee OF the senate favors a strong representation of the banking
interests in the control of the banks. The Glass-Owen bill. as passed
by the house and as advocated by the President. places control of
me regional banks practically in the hands of the authorities at
Washington.
There are other points at issue, but these three seem to be vital
and they undoubtedly touch upon the usefulness Of the proposed
banks II view OF the fact that we have established the gold standard
in this country, the recognition of any currency redeemable through
any other method than gold is, to say the least. dangerous. II is a
step IN the direction OF a double standard and a deprecated currency.
OF business, but we might easily come TO them in times of panic and
depression. As the currency bill is intended primarily 70 n-oyiJe
against the possibilities of panic and of severe money contractions
1t would hardly seem, therefore, the part of wisdom TO introduce an
element OF weakness into the emergency currency which the bill aims
to provide. Redemption in gold is the only wise and safe provision
mere may be- very'ProPGly, division of opinion as TO the num-
Der of regional banks which the business Of the country REQUIRES and
the method of control. Government control is open 10 the accuse.
non Of political influence. Strict banking control may be open to
the accusation of selfish financial interests. A combination of the
two, ii would seem to the Intelligence, would probably be the most
enecuve and bring the best results. The multiplication Of the number
of regional banks will bring complications and increase the difficulty
of putting the law into effective operation. Probably for the time
being a smaller number of regional banks will insure better results
because the banks will in every case be stronger and management
may be more easily made safe and the currency issues will inspire
greater confidence.
congress before the conclusion Of the present extra session. and II
may be many months in the new year before it finally becomes a law.