Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-09-29
BANKING METHODS
MAY Be CHANGED
Convention to Hear Report
of Committee on Group
and Chain Plans.
BY John E. SINCLAIR.


Special Dispatch to The Star.
NEW YORK, September 90. - The
banking world turns its attention today
to Cleveland. where the American
Bankers Association opens its annual
meeting. Thousands of delegates from
every one of the 48 States and from
several foreign countries are in at
tendance.
A year ago, when the bankers met
in San Francisco everything was rosy
Stocks were selling high, call money
on Wall Street was at a premium bank
earnings were the most substantial in
history II looked as If the golden
era had really arrived.
A month later. in october. 1929. the
stock market crashed. A worldwide
depression set in. Industry Jagged
unemployment great, bank earnings
fell of.
What can be done about it? Can
the bankers help in any way? If SO.
how?
These are some of the questions that
will be asked at Cleveland during the
next three days.
The high-water mark of the conven-
ton will be the report of the Economic
Committee on Banking Changes, under
the craftsmanship of Robert Hecht of
New Orleans. Last year this committee
brought in a comprehensive report
showing the great expansion in bank
ing and chain banking in the United
States.
After another year of study by dis
tinguished committee of American
bankers, this report is expected to make
definite suggestions on group. chain and
branch banking.
1t should be an epoch-making gather
ing.
Rail Mergers Held Necessary.
william e. Ripley, Harvard Univer-
sity professor, who laid out 10 years
ago the first plan of railroad CONSOLE
dalton for the Interstate Commerce
Commission. declares in Worlds Work
this month that consolidation in trunk
line territory is necessary if the rail-
roads are to continue to operate.
Other forms of transportation, he
says, are becoming a real menace to
the integrity of railroad property, Wa
terways, bus highways, pipe lines for
gas and oil and the electrical super
power systems are among those men,
toned.
Think of new motor speedway be-
tween New York and New Haven to
cost 5000, 900, 000-good for speed, bad
for railroad revenue! Think of the
hundreds of millions being spent yearly
in better highways for bus tranSporta-
ton, and hundreds OF millions more
expected to go into the 15-year inland
waterways program, which Will ulti-
n1ately cost the United States more
than the entire construction of the
Panama Canal"
Prof. Ripley has changed his mind
in several particulars since he wrote
his first report on railroad consohda-
ton. He now approves, for example.
- - how a n
the Northern Pacific. He previously
recommended merging the Great North
ern with the Milwaukee and the North
ern Pacific with the Burlington.
Basically, the contention of Prof.
Riuley is that the competition from
new forms of transportation is grow
ing greater each year. and therefore
consultations in trunk line territory
has become necessity lin order that
railroads NAV not only stand firmly on
their feet, but also that they may be
enabled to run"
1t viii be good news to the friends of
Prof. Ripley to learn that he has fully
recovered from his long and severe
Illness His future contributions in the
field of railroad consolidation should be
invaluable.
Copper prices have again declined and
are now around the 10-cent-a-pound
level, as against 18 cents six months ago.
Surplus copper piles up.
A tariff on copper" movement Is
under way in vigorous style. The re-
cent development in the production of
electrolytic copper from the new. re-
fineries of Eastern Canada, which are
largely owned by British and Canadian
capital, has had something to do with
the new agitation.
1t seems these latest refineries have
started work in the Canadian copper
mines, in some of which large amount
Of nickel is also present. The copper is
being produced in many cases as by
product and at very cheap cost. It is
now coming to the American market.
Along with this, there are rumors of
mergers of various copper companies in
q new effort TO stabilize the industry.
An American tariff on copper is being
more widely discussed in big circles to-
day than ever before.
(Copyright, 1880. by North American News
paper Ailiance.l