Evening star., 1916-12-06
Rates of Discount Low.

Rates of discount at federal reserve
banks have continued low throughout
the year. and most of their open-mar-
ket paper. consisting largely Of ac-
ceptances growing out of foreign trade
has been taken below 2h per cent
basis. Rates of interest throughout
| the country have been reduced and
stabilized with great advantage to the
business Of the country.
1T would have been impossible to
finance our vast domestic and foreign
trade without the facilities provided
by the federal reserve system. Not
only has it met the normal and ex-
traordinary needs of business. but it
has established confidence securely
Business has been able to go forward
without apprehension, and the several
crises which the country has faced in
Its international relations during the
by no disturbances and have caused not
even a tremor in the financial world.
The crops of 1915 and 1919 were
financed without difficulty. and to the
great advantage of the farmers, and
the Industrial troubles, which at one
time seemed imminent because of the
| threatened railway strike last summer,
were not accompanied by the slightest
financial uneasiness Happily. the coun-
try has been at peace and business and
enterprise have had the largest oppor-
tunity for favorable development under
the most auspfciouS conditions
IL we make 1NtelIBenI use OF our
great power and exceptional financial
resources we can cope successfully with
any conditions the future may de-
velop."
The federal war risk insurance bu-
| reau, Mr.. McAdoo says. should be ex-
tended A year to September 2. 1918,
since Congress might not be in session
next September and 1t would be impos-
| European war still is in progress and
serious injury to American business
| might result. The report says up to
November II nearly LOO policies. were
of more than s14,61o,oOo and losses
amounting to $s33.924. Premiums re-
ceived amounted to $3.142.525
As to Customs Revenues.
In speaking of customs revenues
which increased about $3,400,000 over
the previous year. the Secretary says
the European conflict still is interfer-
ing with such receipts.
Before the breaking out of the
European war;" says the report. the
amount of the collections indicated
clearly that under normal conditions
the present tariff will produce all the
revenue 1t was estimated 1t would pro-
duce at the time it was drawn. and
since the war the receipts under the
tariff bill have been all that could be
expected under the present conditions.
Mr.. McAdoo points out that ior the
year the value of imports was about
s4s4. 900, 900 greater than the previous
year. and those Of exports $2,76S.5Ss,-
$40 greater.
Congress is asked to amend the anti
narcotic law in view of the supreme
Court Interpretation of the clause re-
lating to drugs in possession, and to
provide funds to care for drug aoolcts
through government treatment.
ITO cut off suddenly the supply OF
drugs without curing the addict OF his
cravings or making any provision Tor
the amelioration of his sunerings. says
the report, as not only inhup,ane, but
Appropriations are asked to enable
the public health service to prosecute
investigation Of infantile paralysis and
for the aviation section OF the coast
guard, authorised but given no funds
The report ends with resume Of
operations Of the various bureaus in
the Treasury Department.