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Show WORLD'S GREATEST BANKING SYSTEM By CRAIG B. HAZLEWOOD President AsBoelation of Reserve City Bankers Conceived in the spirit of common good, for the best Interests of government, govern-ment, banks and public alike, based I . -IT, v L' on broad and correct cor-rect principles relating re-lating to the nation's na-tion's currency and credit, the Federal Reserve System represents repre-sents the greatest piece of economic legislation enact ed by an" American Ameri-can Congress. The System's C. B. Hailewood record of achievement through a world war, an Inflation period of diwy heights, and months of serious and costly liquidation. It Is a matter of greatest importance that very earnest and patriotic thought be given to the two questions: How far has the system sys-tem succeeded, and In what particulars particu-lars has It failed, to give our country as strong and as useful a financial system as human mind can devise? The hope and expectation of those who framed the Federal Reserve Act that the machinery set-up for the origination, distribution and automatic retirement of currency Issue, which should be entirely responsive to tbe needs of trade and the varying conditions of business, have been wonderfully won-derfully well realised. Every possible effort must be exerted to preserve the Federal Reserve System from political alliance and to keep 1U powerful influence in-fluence entirely devoted to the building build-ing up of the greatest banking system In the world. The first bank of the United States was established In 1791 and failed to obtain a renewal of Us charter in 1811, the opponents charging that the bank was a "money trust" controlled by foreigners, a tool in the hands of the Federalists, and that the act charter lng the bank was unconstitutional Note the use of the words "money trust" We have the idea that this Js a modern term. The suspicions which animate the demagogue today have not changed In a century. The second bank of the United States was chartered in 1818 and failed to obtain a renewal of Its charter char-ter In 1831, the reasons being a wide spread belief that the bank was uncon stltutional, the hostility of the statei, the opposition of the state banks, the rise of democracy, and the envy and hatred which the poor always feel toward to-ward the rich. Both banks functioned well and ac compllshed much for the country dur lng crucial times. The downfall ol both was caused simply and solely by attempts to place the determination of banking policies In the hands ol political authorities. The delicate handling of currency and credit, to the high end that the best interests of all may be served with special privilege to none, cannot be left to others than those who are competent through proven Judgment and experience. The danger of politics poli-tics In the Federal Reserve System Is a real one; upon us Is placed the grave responsibility of forever keeping the great system clean. |