Forest City press. (Forest City, Potter County, D.T. [S.D.]) 1883-19??, 1913-10-31
The People Us. The Bankers
Why the Currency Bill Is Popular With the Masses, West
and South Particularly-Fixed Facts That
Must Be Dealt With.

I fury. but their banking systems did not
break down under the strain.
Most of our bankers would prefer q
central reserve bank, controlled by the
banks themselves. There is much to be
said in favor of this idea, and the banks
may be right in claiming that 1T is the best
and will be the ultimate solution of the
problem. But bankers are accustomed to
dealing with fixed facts, and they should
deal with this one, namely, that the peo-
pie of this country are not prepared to
nave congress establish q central reserve
bank. The will of the people is as inn
portant as the banker fraternity.
By establishing q dozen reserve banks
TO be practically directed by a single fed
eral reserve board at Washington a long
step In the direction of the central bank
Idea has been taken. What this bill pro-
poses to do can easily be undone or
changed in the direction of establishing a
single central bank or cutting down the
number of reserve banks to five or less as
many bankers suggest. This will call for
a campaign OF education for the purpose
OF removing from the minds OF the peo-
pie the prejudice against the central bank
idea that has existed ever since President
Jackson destroyed the great Bank of the
United States in 1887. We nave changed
the constitution of the United States
twice within the last year or SO, and the
task of converting the public to the CEN
trail Idea presents no insuperable difficult
ties II the arguments in favor of 1t are
sound and can be demonstrated by ex-
perience arising out of the regional re-
serve bank system which this currency
bill will establish IL passed.
AZ {. Political Control.
One of the strongest objections to the
bill that was voiced at the Boston con-
vention was that the establishment of a
federal reserve board means political con-
troll of the currency and banking country.
This would be IN evil thing IL 1t came to
pass that the control of this board became
a pawn in the political game, and there is
much force in the objections that banks
made to the bill in its original form, but
the federal administration the friends
of the bill in congress have modified this
Section of the measure. to some extent.
and seem to be quite willing to listen to
further suggestions on this important SUBJ
ject.
A 20 Banker Control.
Broadly speaking. however. the people Of
this country prefer even political control
to banking control Of the currency and
banking system Of the country. They may
be illogical in this. but those who have
suffered from pantcs, those who have been
unable to get money they had deposited
IN perfectly solvent banks. which did not
fail or even close their doors. but which
simply refused to pay out money that they
had takenlin. ave an idea that the fed
eral reserve benks would treat them no
worse than the clearing house system I'M
der which banks substituted pieces of
paper not recognized by law for real
money. 1t Is true thai the banks could
mot help themselves. but. having been un-
able to help themselves In times Of stress,
the friends Of this bill think that a fed
eraI reserve board at WASHINGTON would
prove more efficient than the great bank
ers did when they sat on the boards of
the clearing house OF this country and
stopped paying out money in 1907.
Destructive criticism of this bill will do
no good. The bankers are wasting time.
II they have suggestions to make let them
put them In shape at once. The Senate
committee Is now in session, and all will
have q chance to. be heard. Some of the
leading bankers Of the country are giving
the committee the benefit of their opinions
and adv:ce. but 1t is a strange fact that
zone OF these witnesses have set before
the committee the objections to the bill
which were voiced at Boston.