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Show The treasury department has ordered a fur- H ther withdrawal of government funds from the N national bank depositaries, and by the end of this Efl month more than eight millions will have been H thus transferred from the local banks to the re- H gional reserve banks. The government will lose H the two per cent interest which it now receives H on these deposits, but it is believed that the H transfer will have the effect of forcing the na- H tional banks to rediscount their commercial paper H with the regional reserve banks. This would en- H able the reserve bank system to pay expenses, H which it has never yet been able to do. But it H can hardly be argued that a banking system which H requires artificial forcing of this kind to make it H profitable is altogether an unmixed success. H |