The daily worker. [volume] (Chicago, Ill.) 1924-1958, 1930-01-04
The Crisis Brings More Bank
classification

available) but rather in the startling progress
made by particular groups throughout the
country particularly in the wheat states the
pacific Northwest, etc.
Because of the present banking laws this
amalgamation of group of banks on a state
wide or interstate basis is impossible 1t is
necessary to make use of the holding company's
mechanism for effecting Capitalization, that is,
holding company (not a bank) owns the
capital stock of the bank in the groups
The petty bourgeois has yeped less than
ordinarily about the growth of monopoly. The
new holding companies are reported to have
lists of scores of hundreds of unit banks asking
if the holding company won't please buy them
out. Nine lean years have made it seem a
godsend to thousands of unit bankers if a
holding company buys them out.
Wisconsin, the stamping ground of the La
Folettee petty bourgeoisie, has. recently passed
a law putting hurdles and obstacles in the
way of chain banking Which law will either
be declared unconstitutional or rendered i'm
potent through the cussess of some ingenious
lawyer in making possible monopoly banking
in Wisconsin despite the LaFollette petty bour-
geoisie.
The consolidation of the banking system of
the United States will proceed at a very rapid
tempo. This of course does not eliminate the
struggle within American finance capital. The
crisis will be an important factor in determin-
ing the length of this period during which
analgamation will proceed.
This monopozation will bring a degree of
banking concentration to the banking system of
the U. S. similar to that prevailing in Great
Britain, France, Germany, Japan and Canada
+ few years ago, while still secretary of
commerce., President Hoover, in an address
before the U. s. Chamber of Commerce re-
marked that U. S. Imperialism was almost
unnoticed going thru revolution in its econ
omic life mot to be mistaken, tho it sounds
quite similar, for the we'll known second in
dustrial revolution" of the Lovestoneites) and
that we were passing from period of ex-
tremely indivdualistic action into an era of
'associationaP activities. Mr.. Hoover is now
major domo for the capitalist class Of the
United tSates and its "associational" activities.
This step toward association" the spread of
. chain banking, indicates the concentration of
the finance power Of, Che country into fewer
credit pools. Co.,
& Investment banking houses, brokerage houses,
investment trusts, etc. are gradually becoming
closely aligned among themselves and with
the great city banks of the country
The spread Of chain banking is one phase
Of gthe growth of monopoly capital within the
I United States, C. B. Hazlewood retiring pres
ident of the American Bankers Association,
said.
elf i were to isolate what consider the
master tendency in recent months in the
banking business, should say it is the in
creased willingness of bankers everywhere
\ to consider no tradition too fixed no prac-
4 tice beyond reconsideration, no intelligent
criterion unworthy to be heard. When you
4 have such an attitude of humility and alert
ness-an attitude never SO true as now in
banking history-accelerated progress will
3 be made in a degree almost beyond pro-
{ phecy.",
In simpler language the American capital
list class under the leadership of finance capital
is extending it's power, is enlarging it's scope
of action. is preparing never before to figth
= for world markets