The Barre daily times. (Barre, Vt.) 1897-1959, 1916-01-12
Senator Criticises Banking
and Tariff Re-
forms
LEGISLATION
TOO RADICAL
Wilson the Party's Hope in
the Next Election
He Is Praised

,, his party's record in the Senate yester
,, day, delivering long prepared speecl
, in which he criticised the tariff ant
, banking reforms--the chief Legislative
achievements of the Wilson administra
ton. He declared that because there haC
been industrial and commercial depres
of legislation, the party would be il
danger of defeat at the next presidential
election unless the European war con
tinued and made the presidents saga
cious and firm" handling of foreign af'
fairs the overshadowing issue.
Although he characterized the general
: trend of Democratic legislation as com
mendable, the senator asserted that the
party was too radical, and expressed the
conviction that mo special party can
hope to remain in power which adopts
radical instead of evolutionary methods
of reform"
Danger of Democratic defeat in the
Congressional elections of 1914, he said.
was "ayerted only by the European war,
which brought into sudden contrast the
presidents policy of 'watchful waiting
regarding Mexico, with the mad haste Of
the European nations as they rushed
into war, which made that policy as
popular as it had Heretofore been UNI
popular.
"The realization that similar prudence
would keep US out of European compli-
cations" he added, Saved the party at
the last election from the defeat which
would have surely come as the result
of the general prostration OF business,
popularity attributed to our economic
legislation.
1T would not do to charge this to
the European war, first, because that
war, though injurious to our production
and trade in its inception, has since
become stimulant to production and
export; and second, because the com
mencement of this depression antedates
the European war and was eontempo-
raneous with our legislation regarding
the tariff, banking and trade.
1--WE are about to face united Repub-
lican party, chastened by adversely and
eager to persuade and the question is
whether the Democratic party, having
done much under this administration in
the interest of genuine reform, is again |
to be thrown out of power and deprived |
of the opportunity of continued useful |
ness simply because an intervening pc
riod of depression subjects us again to
the charge of Democratic hard times |
with its accompanying loss of votes.
1T is safe to say that the manufac-
turing, the banking and the large cor
porate interests are hostile to the Dem
ocratic party and that their employees
are also preparing to throw their weight
against it simply because its admins
tration has not brought good times, but
On the contrary has, in their judgment,
brought bad times.
Regarding the tariff, my view was
that our undertaking was not to imme
lately adopt theoretically correct tar
fl system, but simply to climb gradual
y down from the protective heights upon
which the Republican party had placed
he manufacturing interests of the eoun-
,ry-not to jump down at the risk of
but to climb down slowly
md laboriously with view to preserv-
ng, as far as practicable, every Ameri-
an industry and injuring none.
when we came to practical reali
alton of what we had promised by legis- J
alton we were inclined, / thought, to 90 t
90 fast and too far.
"The effect of the tariff legislation ]
vas what ] feared it would be- The ty-
ng up of production in this country e
vas the result not of malicious eff
ort OF the manufacturers to teach the =
ountry a lesson, but of the caution and q
imidity which can in many cases be d
roved to be without reason, but which
evertheless always exist under like =
onditions.
so also with the banking legislation.
instead of providing some simple meth
for modelling the banking reserves
state and national banks under the
Dntrol of non-partisan board or com
lission resembling the interstate com
lerce commission, which would gradual =
Z, through powers of investigation, pub :
city. correction and Recommendation to :
ongress, work out further reforms, we ].
ere intent upon legislation which :
larmed the banks by the largeness of
lr proposals" :
1--WE failed to make the reserve board
On PARTISAN tea 10 IL an executive ue-
artment through the membership of
ne secretary of the treasury and the b,
subjected the member c,
inks TO the investigating and correc- h
onal powers of single partisan comp &C
oller instead OF the composite judg
ent OF a quasi-iudieial non-partisan C
,ard. and exacted additional and un g
,cessary capital from member banks, II
nus organizing the reserve associations
to profit making institutions. a pur =
'se entirely foreign to their nature y
protective organizations. The result ~ ~
that the union Of banks is ineom- -
etc, the state half being outside and =,
e national half inside the reserve or =,
with the prospect that those ..
Itside win remain 50 unless the law ~
modified M
Il think il would be wise 10 shape h,
e way for legislation during the next ri
ssiou BY making the reserve beard be
merging the comptroller's eli
ice with al the powers and duties IN 10
r reserve board and doing away with 20
capital requirements beyond the per- Ill
ntsge Of reserves Of member banks
" required al
senator Newlands said that while ne
ere was no need Of hysteria upon the Or
biert Of rational defense. BE- favored T.
national scheme Of preparedness %