Aberdeen herald. [volume] (Aberdeen, Chehalis County, W.T.) 1886-1917, 1914-01-02
THE OUTLOOK
FOR BUSINESS
W. S. Cousins, Editor Of the
American Banker Writes
of Business and Finance
CURRENCY BILL IS GOOD
Signs Of the Times Indicate
Fair Weather For the Year
In Business Circles

NEW YORK, Dec. 2S.-Those who
have been the most astute, as well as
the most critical, profess to see in
the present situation the promise of
the most encouraging prospects for
the new year upon which we are soon
to enter. The newspapers of the past
week have contained more of that par
ticular kind of information which
should allay the fears of those who
have lost faith in the future of the
country than thoes of any similar
period in many day.
When we read that the new tariff
schedules have been readily accept
able to the business interests of the
country; that the new currency bill
has been enacted into law; that the
policy of the Wilson administration
toward big business organizations is
to be one of helpfulness and not of
unreasonable persecution, and that
the leaders of these business organiza-
and desire to work in harmony with
the authorities at Washington. it is
not easy to conceive of more sub
stantial array of favorable conditions
for the transaction of the increasing
business of this great country
AIIays Financial Alarm
President Wilson has, in fact, al
layed alarm in business circles by his
moderate and conservative attitude to-
ward the larger concerns which come
under the provision of the Sherman
antitrust law. Instead of pushing
matters to extreme by hostile suits by
the department of ustice, the corpora
tions concerned have been inyited to
cooperate with the government in ad-
apting themselves to the require
ments of the Sherman law. The
course taken with respect to the Am
erican Telephone & Telegraph Com
pany, which combination has been
dissolved by it's own act without any
suit by the government, affords an
example which will be followed by
other large combinations.
At every opportunity the president
expresses his keen desire to so bring
about the breaking up of the large
concerns, as required by the Sherman
law, in a way that will disturbe busi-
ness the least. The results which
have followed the dissolution of the
Bell system makes plain that all
which is desired by the administration
can be accomplished easily smoothly
and amicably without upsetting ex
listing conditions. Through the ad
option of this moderate policy 1t is
now assured that the trust question
will be finally settled without the
occurrence Of anything more serious
than has marked the passage of the
tariff and currency bills.
Owen Currency Bill Law.
BY far the greatest achievement OF
the Wilson administration was the sue
cessful passage of the Owen currency
measure and the enactment of this
currency bill into law. Naturally, the
question now uppermost in the minds
of all Is, what will be the effect ol
this new system upon their particular
business? Most bank officers admit
that despite the strenuous objections
they have raised over some OF tht
points of the bill, it nevertheless
offers a much stronger financial sys
TEN than we have in operation.
The federal reserve act brings II
four major charges in our banking
system which may be enumerated az
follows: The issuing of federal re
serve notes against commercial papel
and incident retirement of our presen
national bank notes; the reduction o.
required reserve of member bank:
and the substitution of regional bank:
for the present reserve city agents
the establishment of national clear
ing house for the exchange OF al
checks of member banks at par
though this proposal seems to b'
somewhat mutilated in the senate
bill; and the empowering of bank
to enter the foreign exchange bus'
ness by establishing branches abroad
accepting bills OF exchange The bal
ance of the act has to do with tn
detail matters of organization and ad
ministraton.
Looking Up Reserve.
Perhaps the most important of th'
changes noted above is that affectin.
the reserve and it is there, too, tina
we can hope for the most direct bene
fit not only to the banker, but to tn,
business man as we'll. For the pres