The daily Gate City and constitution-Democrat. (Keokuk, Iowa) 1916-1922, 1919-08-13
BANKERS lOPINION
OF NATIONAL CRISIS
CONTINUED from page J.

sistent with Just treatment OF fnves.
tors and just treatment Of employees
I Railway investors are entitled to have
a fair return on their capital as COM
pared with investors in other indus
! tries and employees are entitled to falr
compensation as compared with en-
ployes in other industries. This Is the
general principle upon which the rail-
road problem should be solved.
81 don't believe the railroad men
want any more than that they believe
to be fair, but the leaders are in the
position Of advocates and attorneys.
They see one side of the case only add
are misled by the vast amount Of mis-
information, distorted statements and
half truths that are current.
"The owners of securities OF the
principal railroads have nothing to
fear from any fair inquiry into the
value of the properties. The railroad
investments of this country as class
are certainly as clean as any other
form OF investments.
Vastly more money has been made
by the people who have followed the
construction Of new railroads and land
and Industrial opportunities than has
been made by investors in railroads.
The rewards, ON the average, have not
been excessive, measured by the re-
turns upon other investments.
There have been INSCRIPTIONS pro-
moters in railroads as in other lines
Of business but the stock holders have
suffered most from them. The great
body of railroad financing has been
honest and sound on tbs whole, and
the public has received full value and
the best service in the world.
1.-The idea that the government can
borrow in billions of dollars at four
percent under present conditions Is
mistaken one With only small pub
lie debt, as formerly, government
bonds free Of all taxation were in de-
mand by a small class Of investors at
low rates That proves nothing IS to
the ability to float great loan.
Let anyone ask himself how many
people he knows who want four per-
cent investment 1t would be unjust
and practical reputation for the gov
eminent, after ascertaining the fair
cash value Of railroad property, to for
chilly take it over for a government
security which would not bring its face
value on the public market. Accord
ing to the argument of the railroad
men in their own behalf, money has
so deprecated that four percent on a
given sum Is no more than two per-
cent five years ago.
This Is not matter which directly
concerns commercial banks SO much
as 1t does saving banks, life insurance
companies and private investments.
but who ever has invested in good
faith in railroad securities should have
Just treatment.
Moreover it is necessary that the
present holder shall be treated in al
manner which will not repel invest
ments in the future. because vast
sums must be had continually to keep
the railroads up to the present needs
OF the country.
Questions OF this kind cannot be
settle,. by ex-parte statements on
either side. They must be threshed
out in fair, candid discussion and set
tied with a desire to deal justly.
Neither side can claim the right to be
the sole judge Of its own case, and that
is the first question to be settled.
LIT is not time for hasty action or
for any experiments which will tend
to prevent the speedy revival OF COL
fidence and industry. The world is
short of the common necessities OF
life and that is the first situation to
be dealt with"