The Idaho recorder. [volume] (Salmon City, Idaho) 1886-1927, 1914-08-13
FINAQAL
CONDITION
EXCELLENT

Washington, Aug. 4.-After two
lays of conferences ~ith bankers
rom many sections and careful in
vest!gation of conditions throughout
The country, Secretary McAdoo In
formal statement tonight declared
the situation to be excellent and an
nounced that there would he suffic-
lent currency to move the crops and
NEE, all the demands Of business.
The Secretary's statement said:
The passage by unanimous vote OF
the house and senate this afternoon
OF the amendment TO the federal re-
serve act, whereby the secretary OF
the treasury is vested with power to
issue additional national bank cur.
rency In such amount, exceeding
even $500, 0O0,OO as. in his judg-
ment, may be necessary to protect
the business situation in this coun.
try, put at rest any question rs To
the ability II the banks totake care
OF the situation.
The bill as amended authorizes the
secretary, in his discretion, TO per.
init national banks To have outstand.
ing maximum Of circulation notes
equivalent to l25 per cent OF their
unimpaired capital and surplus.
This provision will enable banks
which nave now outstanding circula.
tlon equal IN :helr capital stock to
secure large amount OF additional
circulation. Applications have been
received from number of national
currency associations throughout the
country for additional currency, and
these applications are being promptly
responded to. Already slOO, 000. 600
OF currency has been shipped to the
subtreasnry offices In New York, Chi
caRo, Sc. Louis, Cincinnati, San
Francisco, Boston and Philadelphia
In order that the needs Of the banks
may be promptly supplied. In many
cases banks have applied for addi-
tional currency merely As pfecau.
tionary measure.
The situation throughout the
c1untry Is excellent and no greater
testimonial 10 the Inherent strength
of our financial and economic POSI-.
tlon and condition could be liven
than the way Ia which the country
has withstood the shock Of the great.
est European disturbance In the last
100 years.
The unanimous vote In the house.
and senate Is an inspiring evidence
OF the patriotism OF the representa-.
tives OF the American people, who,
whenever there Is a threatened dan.
ger, forget party lines and present \
solid front in support OF the common
interest.
The treasury department continued
today 10 ship out additional currency
to associations throughout the coun-
try, but the move, as the secretary
said, was looked upon as purely pre-.
cauti0nary.
The fact that President Wilson to-
day nominated h. A. Delano for the
federal reserve board was taken az an
indication that the administrator Is
hopeful that the federal reserve bank
ing system can be put in operation
within a con paIatively short time.
The reserve board, under the cur
renvy law, has power TO FIX the dis.
count rate, a factor which In Euro
pean countries leads 10 control OF
The eGport1tioa or Importation OF
gold 1t is expected here that when
the board assumes Office II will be
able To 20 long way toward keeping
American gold al home.
President Wilson tonight signed the
amendment 10 the Aldrich- Vreeland
Law yesting the secretary OF the treas
ury with discretionary power rs 10
the amount of currency 20 he issued
under that act.
Late today the secretary sent TO the
house a request for an emergency Ap-
ropriation Of toJl, 465 for the printing
of 400 sheets OF national bank and
/ Unite States notes.