| Show sec shawls warning in support of elastic currency cleveland ohio sept the ad dress of secretary of me treasury leslie M shaw ana the feature of the morning session today of the convention of the ohio bankers association he urged that an elastic currency system bo adopted air shaw said the fact that I 1 think the united states has the best currency system in the world does not apply that the currency system of the united states Is perfect that it cannot be improved it is as safe as any system in the world because it la established on the only safe basis to wit the gold standard it is the most convenient system in the world because it is constructed on decimal or metric system it Is not necessary to carry n lightning calculator in order to make change the system Is not perfect largely because it is non it tails to re spond in volume to the changing needs of seasons and of localities attention has been called to this many times oy many people that there will be no further currency legislation until we ahall have experienced a panic occasioned by chis want of elasticity I 1 am convinced the country does not appreciate he danger and until the danger is fully understood no remedy will be applied we came nearer such a panic september 30 1902 than most people appreciate the fact that we then escaped does not raise a presumption that we will always escape it A glaring defect at a will some time soon or late assert itself meantime a remedy should be discovered discussed and as tar as possible agreed upon so that it may be promptly applied when the people are ready for it annually we have an excess of money during the spring and summer I 1 months annually we pass through a period of anxiety as we dp the period of crop moving tor annually the volume ot money tn sufficient to make this sudden increase of business we do not need and musac not hae inflation the average amount of monay is in my judgment abundant the difficulty lies in the fact that the volume remaina stationary now what shall be the remedy shall it be asset currency in the popular acceptation of the term I 1 an awer no asset currency as commonly understood would mean inflation and we must not have asset currency as commonly understood would supported only by the solvency of bank of issue this must not be shall it be emergency currency in the popular acceptation of that term I 1 answer no the united states originates more commerce than any country on the map hut ofir chief commercial city 13 not the worlds clearing house it ought to be but H not one reason why it is not is fact that it has some times to clearing house certificates which a plea of guilty to an charging bad management locally bad legislation nationally and financial world charges both clearing house certificates must never authorized by law let those who love our country and choso who conserve her credit set their faces against such a course with the same intensity as they resist the free and unlimited coinage of silver clearing house certificates debase our currency with the consent 0 those who are supposed to be the bast financiers in the nation the tree coinage of silver would debase it through political upheaval the threat of both I 1 doubt not contributes to that which prevents foreign bankers from keeping their international balances in america whatever the remedy shall be it must not advertise our calamity or our extremity among the many remedies suggested none appeal to mo as strongly as the authorization of additional bank circulation This method involves the right of national tanks to increase their circulation inan amount perhaps equal to 60 per capt of their volume or government bonds secured in circulation on which the bank should pay a tax oe five or eix par cent the time it Is maintained and the government ern ment in consideration of this tax should guarantee its redemption you may call this it you please an emergency provision so it Is it injects into conr circulation no new form of money as an element of alarm by eliminating tho one statement on the present bank note this note la secured by bonds of the united states the additional currency could be identical with that based on bonds the comptroller of the currency and the bank issuing the cur rency would alone know of its existence it would not advertise its existence or our extremity and I 1 can scarcely conceive of conditions unda which it would remain out sixty days it could be printed and kept ready tor issue as occasion might require and it would be retired not by gathering up each individual bill but by a deposit of an equal volume of money with any sub treasury tha notes as they cam in would be charged against this deposit until it was exhausted after which redemption and reissue re issue would run on as before YALE now haven sept 28 yale university opened in all departments tor the college year the alon of the entering classes indicated a general increase SS enrollment though the number botne w students is not expected to be exceptionally large hie total attendance at the university Is at about for the year |
