Republican farmer., 1920-08-13
tcontinued From Page Twoo

determined by the London Quotatlohs The price in the British metropoIs is a. stated figure less the cost or trans portation. The routing Of these coni- modities by water would eiIect d sa"
 ins of approximately eight cents bushel. which means that Amer1can grain would net just that much lnore-
 For more than forty years before woodrow Wilson was elected president in 1912. a. reform of our banking anu currency system had been almost oni- versalIy demanded and had been year after year deferred or refused py the stand-pat element of the RePuoiiSaAA marty in obedience to orders. Ahs control of money and interest ra-es had long been held by favored groups who were thus able to dominate mar kets, regulate prices, favor 1rIenos, destroy rivals, precipitate and eno panics and in short through their H. nancfaI.. social and political outposts' be the real rulers of America The Federal Reserve act was originated advocated and made a law by a DeIh
 ocratic president and congress, against the bitter protests of the Repubilcan standpatters, who almost without eA- ception voted against IT, Ahohs these men are the familiar names or Senators Lodge, Penrose and Smoot' the>inside senate caba1 responsible Tor the existing status in the leadership of their party. The Federal Reserve act is admitted to be the most con structive monetary legislation in his tory. At a stroke it transferred the mower over money and credit and all they represent, from one financial district out into the keeping of the people themselves and instead Of one center to which all paid tribute, there are 12 citadels of financial freedom where every citizen has an equal right and Where the principle that the credit of American business shall be free is the basis of administration Every citizen should be alert to guard this great institution which is his guarantee of credit independence. It should be kept from the hands of those who have never been its friends, and who by changes in a few ob- ecure phrases could translate it into a greater power for evil than it ever has been for good It is almost un- necessary to speak of the Federal Re- serve system in connection with the :winning of the war, as, next to the conSecration of our manhood and rwonnanhood itself, the greatest factor was the marshalling into one unit through the Federal Reserve banks of the stupendous wealth Of America To those of vision who look out beyond our shores into that ommercial do- main where we are so justly entitled to enter in a time of peace, latent power of the Federal Reserve system can be seen promoting in every quar- ter of the globe an overwhelming flow of American commerce. We will soon have a merchant marine fleet of Ill., 000, 900 tons aggregate, every ship flying the. American flag and carrying in American bottoms the products o1 mill and mine and factory and farm This would seem to be a. guarantee of continued prosperity. Our facili- ties for exchange and credit, however in foreign parts, should be enlarged and under the federal reserve system banks should be established in impor- tant trading centers. am impressed also, with the importance of improv- ing, if not reorganizing our consular service. The certain increase in for eign trade would seem. to demand it This suggests another change. Oul am bassadors to foreign countries have had assigned to them a military and 9 naval attache. The staff should bt enlarged so as to include an officer of the government whose exclusive duty would be to make observation and report development and improve ment in educational and social prob lems generally.
 Government Bureaus during tn, war had close contact with the bus mess organization of the country That experience revealed the moderI need of reorganization along purel. business lines. The advantage of democracy in government need no be recounted. It has been held by ex perts that it involves the disauvantag of disbursements, authorized by tn w-making power without sufficien Knowledge of the need of the service or the possibilities of extravaganza The answer to this is the budget sys tenn. No successful business enter prise of any size can operate withou 1t. For a hundred years, the fed eral unit, and the states as we'll mad appropriations without determinin
 the difference between departmen need and caprice, at the same time paying little attention to the relatio as between income and expense. Man
 of the states have adopted a budge system, and with success that car .ries no exception. Efficiency has bee improved-departme responsibil
 ity has been centered, and economic
 have been effected. The same ca
 be- done by the federal governmen
 The system will reveal at once, a
 it did in the states, a vast surplusag
 of employees. It awakens individ us
 interest, encourages greater effor
 and gives opportunity for talent to as
 sert itself. The normal course ( heast resistance, develops in govern jment bureaus a hardpan, which rt ltards progress. When the reorganizs Ition is made, pay should be commer lsurate with service M=ny federal de 1 lpartments whose ramifications touc | the country generally, have lost va. { uable men to business. This has bad ly crippled rostoffices, the railwa
 nnaIr service and other branches.
 am convinced after considerab
 study of the subject that the expen. of the government can, without To.
 of efficiency, be reduced to a max
 mum of four billion dollars, inclus
 ing sinking fund and interest on u
 national debt When we enter tf League of Nations, we should at u tame time diminish our cost for arn
 ament- To continue expenditures