Show eckels and secretary carlisles comptrollers plan well received effective in green backs and foundation for currency issue washington D 0 dec 7 mr carlisles and comptroller eckels currency plans atre attracting much attention A prominent senator a recognized authority on financial matters explains his viada 0 the two plans aa follows mr carlislee Carl islea plan for currency reform when applied to practice will tor duco the following purpose of illustration the ex ab ot a banat ne capital C bould be entitled to issue I 1 diotis up to the limit of 75 per cent of capi before doing deposit legal tender notes to the amount ct 80 per cent ot latius lati effect would be equivalent to ft net issue of in circulation bv the bank or received in irom the government minus 22 w in notes deposited govern ment upon this of currency the bank would earn its profit provided it could beep in circulation after dejecting costs for redemption tax for administration of comp ra bureau aa a plan for relieving the general government from tho burden and charge for fedec dunst united states notes it would according to tho secretary estimate result in securing the temporary of ol 01 theao kotc a with the government it the national aad state banks now in should take out circulation to ilio full amount let ns how this rould be arrived at at present capital of all national lanka in existence is about i it to ghisla added aa the capital of state banks availing themselves of the privileges a capital of would evl ans the basis upon which to issue currency assuming that all alie hanks possessing ali ia capital currency tall limit of 75 per cent we will have an issue of hank tho amount of against tills legal tenders to tho of 30 per cent of circulation must be deposit t ed or what will bethe effect of this upon the volume of money in circulation add bank notes issued lesa les 3 national bank currency retired teudori deposited and withdrawn from circulation total I 1 anet ia creaso in circulation I 1 assuming that this increase could be kept in circulation a withdrawal ot ot united states notes ie effected temporarily but as thero are 0 these altogether oat Bt andinE eherd would still remain out at anding a major portion of the mass to harass the trea by for redemption in gold if the is not kept in circulation the amount of legal tender secured by redemption of circulation would be added to the lario sum not funded again if abo legal deposited by the banks is to be used for ledeme tion of these notes on presentation there would be no difficulty in procuring any amount of them by presenting bank notes ECKEL so much for the practical working the pl anand we now take a boote ailbe plan proposed droller eckels As be gives few fleuren mi which to base compilation i but din ply outlines the principles of his plan only s hypothetical illustration 0 its workings can bo raade taking a bank with capital in the other case the comptrollers plan appears to that the bank deposit with the treasury tren sury in united states or bezal tenders lor cancellation cel lation in exchange for which it will immediately receive in bank notes for the current redemption of the bank notes of this class upon the failure of liquidation of the bank i tois feature therefore there fora is neither nor contraction of the currency alie exchange oi kind of currency for another j ast good but for the purpose and will the effect of entirely relieving alie government of burden and cost of current redemption luring the existence of the re biving and issuing the same kiider thia branch ot the comptrollers plan with the present capital of national bank viz of legal tenders would immediately bo re tired and withdrawn from the possie pos sib ity of being redeemed in gold by tho beneral government while a banking capital of tl would serve the basis for retiring the entire issue letb of united hotca and sher act notes amounting together to about while using the bic ret arye plan a capital of would effect a withdrawal according to ills own mate of only should not the bank notes issued against begil tenders be available for lawful money reserve against deposits as are 11 tenders thin would operate to them froin redemption Past tu to the other feature of mr found that a bank with W capital could also issue as much ae of safety fund note constituting a arst lien upon its assets nd upon its liability of its ere and redeemable upon the failure of the bank promptly out ol 01 a faud created by a tax upon 11 arthe banks issuing this kind ot cecula cucula alon it is upon abis class of notes that the banks should make a profit which would bo ft clear one over and above the liblit expenses tor cost of redemption and taxation jor the safety fund and for ost of the comptrollers a bu acau it is ou this class of currency also that tle element of elasticity would ba for which a bank could issue cither nono at all or as much as 50 per cent of ita capital of tha national bank capital 50 per cent bould be or a eum greater than the total of present national bank circulation via while a capital of 1000 gouid provide for ot alila safety fund circulation a benm than the present bank isun within the limits of would be the expansion or contraction of tills currency and toils limit aoud easily be extended in future if cece esary by reducing the percentage of 11 leizure lei dure currency to be ap ported the inks binks b and extending ext endine tha linnit for safety funds beyond 50 per cent of the capital the legal tender currency out ol 01 alie way by mr ebbels plan of bab of bank note the result would be that all the paper currency would bo redeemable only hi noid or coin for there would exist only bank notes gold certificates and silver |