Brownsville herald. [volume] (Brownsville, Tex.) 1910-current, 1916-12-07

members banks and increases the SCOPE
and services OF the federal reserve banks,
Due to the transference of vault and 9TH
er reserves TO federal reserve banks. au-
thorlzed by the original act and ainenda-
tory act, the resources Of said banks are
now more than $500, 000. 900 while the to-
tai reserves held are over 500. OOO. 900.
and, IN addition, more than $3.50. GOT. 900
i held by federal reserve agents as spe-
cial security against federal rescrve notes.
About one-fourth of the country : stock Of
gold i thus modified in the hands Of the
federal reserve banks and agents.
"The increasing strength and efficiency
OF the federal reserve banks nave enabled
them 10 enlarge their direct service to the
business community through the introduc-
ton OF a definite and comprehensive sysG
tenn for the par clearance of checks
throughout the country.
"Rates of discount ut federal reserve
banks have continued low throughout the
year, and most of their open-market pap
er, consisting largely of acceptances grow
ing out OF foreign trade, has been taken be-
low a PIP per cent basis. Rates Of in
terest throughout the country have been
reduced and stabilized with great adyan-
tage TO the business Of the country.
1T would have been impossible 10 fl
nance our vast domestic and foreign trade
without the facilities provided by the fed
eral reserve system. Not only has it met
the normal and extraordinary needs of bus
mess, but II has established confidence Sc
curely. Business has been able TO 90 for
ward without apprehension and the sew
eral crises which the country has faced in
lis international rela'lons during tic past
two years have been accompanied by no
disturbance and have caused not even a
tremor in the financial world. The crops
of 1915 and 1916 were financed without
difficulty and 10 the great advantage OF
the farmers, and the industrial troubles
which at one time seemed imminent, be-
cause of the threatened railway strike last
summer, were not accompanied by the
slightest financial uneasinesS. Happily
the country has been at peace and bust
ness and enterprises have had the largest
opportunity for favorable development un-
der favorable development under The most
auspiciou conditions.
IF we make intelligent use of our great
power and exceptional financial resources,
we can cope successfully with any condi-
tions the future may develop"
One of the features of the report j. a
discussion of present methods of con
structing public buildings.
Il am convinced" says the secretary,
that the methods pursued by the con
gress for the past Is years Of providing
federal buildings through so-callcd omni-
bus public building bills have resulted in
the construction of many public buildings
are not needed. and at n cost which is
clearly uniustified by any actual require
ments of the communities in which they
are erected. The conclusion l. irresistible
that authorization for public buildings in
these small communities are too frequently
dictated by local reasons and without re-
gard TO the best interests of the govern
ment. The most serious aspect j. this The
annual operation and maintenance Of these
buildings impose on the treasury n perma-
nent and constantly increasing burden.
Common sense and business Judgment
would seem to demand that structures for
the transaction of government business