The Richmond Virginian. (Richmond, Va.) 1910-1920, 1914-01-12
New York and The
Regional Bank Question

The question of what New York is entitled TO
in the way of a bank is matter Of
even greater Importance 10 a large part of the
country than it Ns to New York. The argu-
ment for making the whole Eastern section Of
the United States merely of financial
suburbs to the metropolis is based on the I'M
douhtedy correct assertion that it is impossible
to change the natural channels Of trade and
finance by legislative act, But 1T does not fol-
low that the refusal to give New York such a
preponderating position would constitute such
attempt. That is of the facts to be de-
terntncd by the investigation going on, but
that fact is not to be settled by partisan aSser-
tons An effort TO NY in the face OF nature
might. conceivaby, injure New York, but it
would be likely to injure much more seriously
that part Of the country which she claims is
naturally dependent upon her. II is begging
the whole question at issue however. to assume
as proved the truth Of all that she claims Our
contemporaries the New York Times and the
New York sun build up their whole argument
for their city this assumption, and they
critcise Mr. McAdoo for not accepting an
undoubted and undisputed fact precisely the
point which it is his business g find out.
New York's commercial and financial primacy
cannot he denied but that does not necessarily
mean that the entire East, from Boston TO
Baltimore. should be kept in a condition OF
perpetual vassalage and dependence upon her.
So far existing conditions are natural. they
are not likely to he altered by any mere con-
RresSi0ndf proclamation or FedUlnS}U eftt fSui
great many people outside Of New York be-
eve that existing conditions are at least par
TALLY due 10 artificial and represent. to
some extent, a vicious and unhealthy and not
a natural growth New York is entitled 70
just what she legitimately and naturally repre-
SCENTS, and to more, and when she virtually
claims that she stands fer the whole East in
this regional bank fight, Mr. McAdoo and his
associates may be pardoned for taking time to
consider the proposition and endeavorne to es-
tabish it's accuracy.
+ One thing which New York seems 80 over
look is the fact that trade centers and fnanca,
centers have way of shifting from time TO
time This country is too young for anyone TO
assume that all its trade channels have become
permanently fixed. and too big and progressive
for even third of 1t to be controlled from
one point In the next twenty five years the
section served by Baltimore. for instance, will
have become tremendous empire in itself
ana 1T would be futile it wuud nc dam
gerous to attempt to tic 1t permanently New
Yor<s apron strings, What New York propo-
sition, boiled down. amounts to is the prac-
teal creation of a central bank for The East
the revival In practice of the idea which was
discarded in the construction of the new cur
rency law It would he equivalent a nullifi-
cation of the spirit of that act, and unless that
act il obviously all wrong the secretary Of the
treasury cannot well admit 1t untii II has been
demonstrated by conclusive testimony or by
. actual working experience. What that law
was frankly Intended 10 do was to omancipate
the various sections of The country. as far as
possible. from artificial domination from out
side and To permit them to develop on their
own lines and to be free to work out their own
destinies. The New York World takes q saner
and clearer view Of the subject than some
lbf It's contemporaries when 1t warns local fnan-
cial interests against the bad policy Of grasping
at what they have no real title to, and when
III emphasizes the danger to the counfy which
is involved in any attempt to concentrate its
money power in city.
Tho whole controversy comes back IN fact,
TO the point from which It started-the JUS
tice and the sonndness of he principles on
which the new currency law Is based and II
will seem TO most impartial thinkers that Mr..
McAdoo is justified in trying to give a con
sistent application TO those principles while recog-
nziRg all that may fairly be said In favor Of
New York or any other city.--Baltimore Sun.