Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1914-08-05
MONEY ENOUGH
To MOVE CROPS,
SAYS NJ ADOO
Secretary of Treasury Issues
Statement on Financial Sit
uation of United States Re-
SuIting From War,
lsr MORNING. JOURNAL srse,., LEASED wta.i

Washington. Aug. AFTER two
days Of conferences with BANKERS
! from many sections and careful
/ Investigation of conditions through
out the country, Secretary McAdoo.
in formal statement tonight. declar-
! ed the situation to be excellent and
ANNOUNCED that there will be suffl-
cient currency to move the crops
and meet all the demands of bust
ness.
The secretary's statement said.
| The passage by unanimous vote
of the house and senate this after
eral reserve act, whereby the secre-
tary of the treasury is vested With
power to issue additional national
bank currency in such amount. ex-
ceeding even 100000, 000 as in his
judgment, may be necessary to pro-
tect the business situation in this
country, puts at rest any question as
to the ability of the banks to take
care of the situation.
Currency Enough for Crops.
There need be no fear whatever
of insufficient currency to move the
crops and to meet the demands of
business The bill as amended.
authorizes the secretary in his dis
erection to permit national banks to
have outstanding maximum of cir
culation notes equivalent to 10 per
cent of their unimpaired capital and
surplus. This provision will enable
banks which have now outstanding
circulation equal to their capital
stock to secure a large amount OF
additional circulation. Applications
have been received frcm number
of national currency associations
throughout the country for addition
al currency and these applications
are being prcmptly,responded to. Al
ready 100000, 900 of currency has
been shipped to the sub-treasuries III
New York, Chicago, st. Louis, en-
cinnati. San Francisco, Boston ana
Philadelphia in order that the needs
of the banks may be promptly SUP
Piled. In many cases banks nave
applied for additional currehry
merely as a precautionary measure
situation Excellent.
The situation throughout the
country is excellent and no greater
testimonial to the inherent strehGNh
of our financial and economic posN-
tion and condition could be given
than the way in which the county
has yithstood the shock of the great
ost Furonean disturbance in the lasl
three years.
"rhe unanimous vote in the mouse
and senate is an inspiring evidence
of the patriotism of the represent
tiyes If the American people, who,
whenever there is threatehtN
danger. forget party lines ana pref
sent a solid front in support OF the
common interest
The treasury department continued
today sending out additional cur
rency to associations throughout the
but the move, as the sccrc-
I,rv said. was looked upon as purely
New Bank system Soon. /
The fact that President Wilson TO- I
law nominated F. a. Delano Tor the
federal reserve board was taken as
IN indication that the administra-
ion is hopeful that the federal re-
;erve banking system can be put III
operation within a cofnpara'iNe9
short time.
The reserve board under the cur
.ency law has power to fix the as
.ount rate factor which IN Euro
,ean countries leads to the cohtfol
If the expectation or importation %
,old. 1t is expected here that Wheh
he board assumes office 1t VIII "'
,ble to go a long way toward Keep
ng American gold at home.
President Wilson tonight slehe"
he amendment to the Aldrich-N rec
and law vesting the secretary oil ,"'
reasury with discretionary power a.
O the amount of currency TO be IL
ued under that act.
Late today the secretary sent 10 '"'
,ouse a request for an emergency APP
Of $301, 465 for the
printing of eight thousand sheets oil
NATIONAL bank and United states
totes