this MUKiiu utiSOUHUAH, rKiOAY, utrv JSUIBKR 22, 1907-
BRYAN
'S PLAN TO
MAKE BANKS SAFE
Proposes Government Guaran
tee Deposits in All the
National.
GIVE IMMEDIATE RELIEF
Criticises the Postal Savings Bank
Scheme and Offers Alternative.
States Might Guarantee De
posits In the State Banks.
WASHINGTON, Nov. 21. William J.
Bryan arrived here today and attended
the wedding of the daughter of a friend,
Cutter P. Bride. He held a conference
with several other friends. To reporters
Mr. Bryan said:
The administration Is prepared, so we are
Informed, to recommend a postal savings
bank. While this would doubtless encour
age deposits and while those deposits could
In turn be handed over to the banks, it does
not furnish complete relief, because the
plan as presented limits deposits and does
not contemplate the opening of circulating
accounts. The business community, there
fore, cannot use the postal savings banks
to any great extent, and besides it would
take some time to Inaugurate a postal sav
ings system and secure the necessary num
ber of employes to make the plan effective
throughout the country.
Let Government Guarantee.
I believe It is possible for the Government
to give Immediate relief by an act of Con
gress providing for the guarantee by the
Government of all deposits In all Natiojial
banks, the banks thus guaranteed to agree
to reimburse the Government for any losses
Incurred and to make this reimbursement In
proportion to their deposits. The advantage
of this plan is:
First. That every depositor In such guar
anteed bank will feel secure.
Second. The expense of It will be paid
b the banks which get the benefit of It and
this expense will be small compared with
the benefit gained.
Third. It can be put Into effect immedi
itely, thus restoring confidence and enabling
business to be resumed.
Banks Would Be Willing.
It Is probable that al! tho National banks
would be willing to take advantage of this
guarantee, because the additional security
given to their depositors would be of great
advantage to the banks. During 40 years
the average annual toss to depositors has
been small, less than one tenth of 1 per
cent, so small that It would be an insig
nificant tax upon the four or five billion
dollars of deposits. The Government would
have ample security in the capital and sur
plus of the banks which would voluntarily
Join in the plan.
The only objection that occurs to me is
that state banks might be less attractive
to depositors If National banks are guaran
teed. But there are two answers to this
objection. In the first place, state banks
are Ukely to suffer. If this financial string
ency continues, and they are therefore inter
ested in restoring confidence; in the second
place, there Is no reason why state banks
should not be protected by a similar sys
tem under which the state would guarantee
depositors in state banks and collect tha
expense from state banks guaranteed.
FAVORS GREAT NATIONAL BANK
Andrew Jackson's Famous Veto Un
fortunate, Says Shaw.
NEW YORK. Nov. 21. The Chamber
of Commerce had as Its guests and
Fpcakers at its 139th anniversary dlnnef
tonight, J. J. Jusserand, French Ambas
sador: Baron Rosen, Russian Ambassa
dor; ex-Secretary of the Treasury Iieslle
M. Shaw: John C. Spooner. cx-Unlted
States Senator from Wisconsin, and Pres
ident George Alexander, of Union Col
lege. Mr. Shaw said:
"I am disposed to believe that the most
unfortunate act of Andrew Jackson's ad
ministration was his veto of the act re
newing the charter of the United States
Hank. I say this recognizing that no act
of his was more popular at the time and
that from then until now none has been
more universally approved by the Amer
ican people.
"A large central bank, clothed with
authority to discount commercial paper
and to issue currency against the same,
as In other great commercial countries,
would do much to prevent a repetition
of conditions such as we are now ex
periencing, but the American people are
against such centralized commercial
power and I don't believe 5 per cent of
either house of Congress could be In
duced to vote therefor and whatever
per cent should vote for such a measure
would be probably retired to private life
at the next election. And it must be con
ceded that there are some valid objec
tions to such an Institution.
"Much good would be accomplished If
the banks of this country were permit
ted to indorse acceptances drawn against
actual values and In ordinary course of
trade without reporting tho same as rediscounts."
SAYS PANIC WILL BE BRIEF
EASTERN EXPERT WRITES OF
FINANCIAL, SITUATION.
Ititcrostinfr Letter From Max Holtz,
of Dry Goods Economist, to His
Brother in Portland.
A. Holtz. of the Meier & Frank Com
pa ny, yesterday received the following
letter from a brother. Max Holtz. of the
Dry Goods Economist, a recognized au
thority in the dry goods markets of tho
East. The letter gives a splendid state
ment of conditions in general and will
prove interesting reading to merchants
In general:
The peculiar and stringent monetary condi
tion which have prevailed throughout the
United States during the past few weeks,
breaking out with com banking troubles
which were largely local to New York, and
spreading with lightning rapidity through the
United States-, caused an immediate and op
pressive contraction in the amount of ready
money in circulation, due to the hoarding of
cash by thousands of people who wilfully,
or from pure Ignorance of the true conditions,
believed that the only way to safeguard
their funds was to force the banks to disgorge,
and to lock the money away In bureau
drawers, safety deposit boxes and old stock
ings. The peculiar nature of our currency
laws and their lack of elasticity to meet such
a condltlor has brought about a great scarcity
of cash in many center, and resulted In the
substitution of certified checks and other
forms of temporary currency to meet the pre
vailing situation.
We are firmly of the opinion that thta
money panic, so to speak, will be of short
duration. We have none of the conditions
which tended to retard recovery In ISM. and
made the business and general conditions of
that trying period long remembered. The
period from 1803 to 1896 was one of suc
cessive crop failures, political excitement
baaed cm lha . aUvxr aue&ilpn, .jvlUi lie re
flection on the value of' silver and paper
money, together with low prices for agricul
tural commodities and all kinds of manufac
tured goodf, and a tremendous mortgage in
debtedness on Western farms and homesteads.
The railroads were bankrupt, both financially
and physically, and with it all a depleted re
serve In the United States Treasury, which
was being pumped out until it became neces
sary to issue Government bond, in order to
provoke gold Imports. None oS these condi
tions have we with us at the present time.
A gold import movement at the present writ
ing of upward of Z50.000.000. largely pro
duced by natural conditions and the sale of
our commodities, a Nation which is largely a
creditor of Europe instead of a debtor, with
the tremendous accumulation of wealth, pro
duced during a period of long prosperity and
large individual money circulation, good sound
agricultural conditions, will all tend to make
"ton present situation a matter of history be
fore many weeks.
In 1893 our cotton crop was worth $230,000.
000. against $650,000,000 this year. In 18&3)
our wheat crop was worth $225,000,000, against
$630,000,000 In 1907. Our corn product that
year was less than $600,000,000. This year
it is $1,250,000,000.$ Our foreign credit bal
ance is estimated at $400,000,000, against a
debit balance of $36,000,000 in 1896. and so on
through all lines of commerce and Industry.
A certain and perhaps beneficial contraction
of certain lines of Industry Is bound to fol
low; prices eoared to points where merchants
In self-defense were obliged to reduce their
commitments, feeling that the prici of sta
ples -was getting beyond the purchasing power
of the people. The writer touched upon this
point very strongly In his review of trade
conditions throughout the United States which
was mailed to all clients of the Economy
Service Company about August 15. for the
feeling was then apparent that a reaction
which would bring production and consump
tion into greater harmony and prices within
the bounds of reason, was necessary, unless a
greater disturbance than has actually taken
place was to follow. It will do no good to
discuss all the causes which lead up to the
present financial outbreak you are familiar
with all of them, what's more Important is a
clear understanding of the situation, with ef
fective co-operation towards the restoration
of normal conditions.
We urge upon each one of our clients to
continue to pursue the same steady, conser
vative course that has marked the general
policy of dry goods merchants throughout the
United States and Canada during the past
year. It Is safe to say that this trade, as a
whole, was never !n better condition to stand
a whirlwind, such as we have gone through
for the past few weeks. The tendency to
wards "plunging" has been noteworthy by its
absence. It semis as if nine merchants out
of 10 saw the storm coming and trimmed their
sails to meet It. The temporary currency
stringency will soon right itself, as hoarded
money -begins to flow back into the proper
channels of trade. And here Is a point that
should be kept In mind by every dry goods
man throughout the country: There Is more
actual cash in the hands of the people today
than at any previous period In our history.
If the money has left the banks, it can only
go Into the pockets of the people, and the
millions in gold which have been Imported
within the past few weeks are a very sub
stantial addition to the sum of ready money
available to the people over the amount on
hand only six weeks ago, when everything
was smooth sailing.
Dry goods merchants, as a class, are among
the largest receivers of currency in the coun
try; probably as much actual money passes
over their counters as any other form of trade
or industry- Now. if the money Is In the
pockets of the people, or locked up In bureau
drawers, who stands In a better position to
help bring it back into its proper channel
than the dry goods merchant, who supplies
a good part of the actual necessities of life
which the people must have and are able to
buy with that hoarded money? One New York
store, realizing the logic of this proposition,
made a very strong bid for business during
the worst period of the stringency by offering
exceptional inducements in the way of tempt
ing values, advertising In an unusually ag
gressive manner, and the result was that the
store was packed with eager buyers who were
exchanging their cash' for merchandise right
at the time the newspapers were running
their biggest scare heads about bank runs,
etc. We understand that the receipts In cer
tain depart men te of this store were doubled
during this event, and while a good many
lines of goods were sold at considerable con
cessions from previously prevailing prices, this
store was quickly and effectively turning mer
chandise into money. We believe the way is
open to a greater or less degree to every
aggressive mrchant.
While retrenchment and economy may be
the order of the day, tho progressive merchant
Is gotns to say to himself: "Now is the time
when I want to hustle for business and hustle
hard," and to the extent that his advertising is
the strongest and most effective bid that he
can make for business, he will strengthen his
arm and not alone increase his advertising,
but will make It more effective by offering
the people better Inducements to do their
shopping in his store.
One of our Western clients who called at
this office" a few days ago, when asked how
business was affected in his town, said so far
as present conditions go, "We are gslng to
take the sting out of them as much as possi
ble; we are using a two-page ad every day,
and we are giving the people some corking
values, and we are getting more than our or
dinary share of the business. All I want my
competitors to do Is to sit quiet and pursue
the policy of economy and cut down their ad
vertising, while I keep sawing wood, and I'll
wager I will get the business." This senti
ment is worthy of careful consideration.
It requires no wonderful -skill as a mer
chandiser to get a good Increase In sales when
the demand Is heavy and hard to satisfy -but
when the current of trade slackens the
skilled merchandiser comes to the front and
proves hU ability as a money-getter. During
the rocky times of '93. 94 and 95. It was very
eaer to distinguish between the "real mer
chant" and the "near merchant" In a com
munity, for real merchants kept their doors
open and pounding away for more business.
The usual percentage of net profit might have
been cut. but they sold goods every day. and
those same merchants are in business today,
bigger, stronger, more powerful and more
progressive than ever before. The "near mer
chant" has fader! away.
Sunday as Seen in Boston.
Boston Herald.
How It changes! A Jewish congrega
tion In Boston uses Sunday for worship
In addition to the historic Hebrew Sab
bath. New York financiers assemble to
maintain credit. Boston politicians hold
political rallies. Mr. Taft. in Manila,
dedicates a Protestant church, is guest
of honor at a Roman Catholic banquet,
and attends a reception of the Japanese
consul in honor of the Mikado's birthday.
HIS NOTES NOT PI
25 per cent off on cut glass at Metzger's.
COAT SHIRT
you will find the highest
degree of comfort as well
as shirt economy
They're well-made in
white or color-fast fabrics.
SI J0 and More.
CLUSTT, PEABODY . CO.
MAKERS Or ARROW COLLARS
Walsh Only Renewed Them
With Old Security.
DEFENSE GAINS NOTHING
Attempt to Prove Banker Paid What
He Borrowed Falls. Bank Eiam
iner Showing Nearly $2,
000,000 Still Due.
CHICAGO. Nov. 21. That 20 of tho
memorandum notes discounted by the
Chicago National Bank, representing
$1,840,000, f remained unpaid when the
bank suspended in December, 1905, and
that many of the notes declared by the
defense to have been paid at maturity
were not -paid, but simply renewed,
were facts brought out today in the
trial of John R. Waish, charged with
misappropriation of the bank's funds.
On the redirect examination of Na
tional Bank Examiner E. P. Moxey, the
same process of identifying entries in
the books of the bank which was pur
sued in the direct examination was
crrled out. The witness identified
entries showing discounted notes paid
to show that the obligations were met
when due. Another register, however,
indicated that on the precise dates that
payments were made new notes for the
same amounts were made. The, col
lateral book also was used to show
that the security for the new notes
was the same as for the old ones.
Evidence was also introduced to
show that the notes were drawn and
signed in various names, as previously
indicated by bank employes, at the
direction of Mr. Walsh.
The first inquiries of John 8. Miller,
attorney for the defense, related to the
sale of other bonds than those used
as collateral for the various memo
randum notes mentioned by Moxay on
his direct examination. It was mown
by the defense that these bonds had
been sold to the public at prices equal
to those received for them from the
Chicago National Bank."
CANNON RESERVES OPINION
Will See President Before Talking
on Currency Bill.
WASHINGTON. Nov. 21. Speaker Can
non, of the National House of Represen
tatives, arrived this evening, and will
confer with members of Congress as they
arrive In regard to the organization of
the new House.
Speaking to a representative of the As
sociated Press, Mr. Cannon carefully
outlined his views on the financial situa
tion. "Many people have in mind that imme
diate legislation should be enacted touch
ing the currency question," said Mr.
Cannon, "and there are almost as many
schemes presented as there are Individ
uals to present them. There are, how
ever, very few. If any, who could put in
black and white legislation amending our
currency laws that would be satisfactory
to the man who wrote the amendment or
to the great mass of the people, ron
gress will meet on the second day of De
cember, and the question of what legis
lation is practicable no doubt will be pre
sented to both houses. I do not care at
this time to suggest my opinion in detail
A man who knows the actual finan
cial benefit of always appearing in
up-to-the-minute clothes is imbued
with "clothes wisdom."
A Dunlap Hat purchase is the
greatest economy; we have any num
ber o smart shapes from which to
choose. (
"Cambridge Correct Clothes" in
clude business suits, dress suits, over7
coats (cravenelte and cloth) J every
thing for a particular man's ward
robe in the choicest grades.
Men's furnishings of all kinds but
poor kinds.
Our low prices amaze the exacting
man who is accustomed to paying
much more for good grades, elsewhere.
ROBINSON 8 GO.
289-291 Washington Street.
Distinguished Clothes for Men.
as to what legislation should be enacted.
I prefer to await the recommendations of
the President, the Secretary of the
Treasury and the action of the appro-
I priate committees of the House and Sen
ate.
BRIEF NEWS BY TELEGRAPH
Cincinnati. The Limits LipP Company'
establishment at Winton Place, a suburb of
Cincinnati. Wll destroyed by fl re -"Wednesday
night. Loss. $80,000; partially insured.
Chicago. Fire destroyed the Baltimore &
Ohio freight sheds at Eighty-sixth and Erie
avenue Thursday. Eight freight cars loaded
with merchandise were burned, loss $50,000.
Chicago.- Henry Toppen. a Chicago stu
dent, said to be the son of wealthy French
parents in Switzerland , Btood before the
lions' cage In Lincoln Park Wednesday and
shot himself dead
Marietta. O. Edgar Grubb, his wife and
1-year old baby, were cremated in their home
near Beverly Thursday morning. It Is be
lieved that Grubb had killed his wife and
baby and set Are to the house. .
Los Angeles, Cal. Louise Williams, a
young mulatto woman, was arrested hero
Wednesday night on a charge of throwing
a 5-months-old baby girl from a Santa Fe
train at Cucamongo last Monday night. Tha
child sustained injuries from which it died.
Newton, Mass. Mrs. "William T. Hedges
killed herself and her two sons, William,
aged 11. and Butler T., aged 6, by asphyxi
ation at her home in Newtonville Wednes
day night. All the cracks In the doors and
windows had been plugged and the gas
turned on.
Chicago. Charges that Chicago is rapidly
becoming the greatest "white slave" center
nf Y,a n-nrlil onH frint fi nna-Arfnl evndlcntp
! for traffic In young girls exists In this city.
has stirred religious ana settlement workers
to form a large organization to Join In a
crusade against the traffic.
Helena, Mont. George Melville was placed
on trial Wednesday on the charge of killing
Wlnfteld Guthrie, at a mine near here, the
victim boarding with Melville. The defense
is 1hat Guthrie abused Mrs. Melville, whose
testimony aided in convicting a former hus
band of murdering her father.
Chicago. Mrs. Evelyn Romadtka. the
wealthy Milwaukee woman who confessed
to various burglaries and larcenies in this
city, In which a negro man was her accom
plice, was taken to the penitentiary at
Joliet Thursday to begin her sentence of
from one to 20 years for burglary.
San Francisco. After a desperate flight
Into the mountains of Salvador and weeks of
perilous Journeying in the Jungles of Hon
duras, John Molssant. upon whose head the
government of Salvador has set a high
Great Special Sale
Boys' School Suits
660 of the Best Make of School Suits in
Every Size 7 to 16 years All This
Season's Style, at prices that should
march them out of our store in short
order Thrifty mothers will take advan
tage of this unprecedented Sale
$5.00 SCHOOL
$6.50 SCHOOL
$8.50 SCHOOL
$10.00 SCHOOL
$12:50 SCHOOL
SUITS,
SUITS,
SUITS,
SUITS,
SUITS,
SALE PRICE
SALE PRICE
SALE PRICE
SALE PRICE
SALE PRICE
$3.35
$3.95
$5.65
$6.85
$8.35
We rarely have a Sale When we do, the reduc
tions are great and genuine
Ben Selling
LEADING CLOTHIER
price, has returned to San Francisco, his
former home. While the Salvadorean navy
was searching ships for him on the Pacific
he embarked on an Atlantic steamer, made
liis way to New Tork and came across the
contltent to San Francisco.
New York. The Board of Education ha
ordered that no hymn or carol In any way
mentioning Christ or Christmas shall be
sung henceforth in the public schools of
New York. The srng books In use in the
schools are now In the hands of printers
for revision so that they may be free from
all sectarian reference, even the words
"Christ" and "Christmas." The board's
action is the result of agitation a year ago
by Jews, who complained that the Christian
festival as celebrated In the schools was
essentially sectarian.
San Francisco.' The motions to quash the
IS Indictments AtyUnst the Southern Pa- !
rifle and Pacific xfill 'ornpnnles for Illegal '
rebating were set by Judgw De Haven In
the United States District Court for a wek
from Saturday.
Washington. The monthly statement of
the Collector of Internal Revenue shows that
for October. 1907. there was an increase of
receipts compared with October, 18.06, of
$$71,309, and the Increase for the four
months of the prsent fiscal year amounted
to M.T 10,347 over
of ipoe.
the corresponding period
QUR GREAT MONEY-RAISING SALE
Is gaining prestige every day. Throngs are buying. Are you sharing in the great bargains'? We've planned some sensational selling for
Friday. Values you have seldom met with, here or elsewhere. Circumstances compel us to sacrifice our mammoth new stock of Ladies'
Stvlish Ready-to-Wear Apparel at less than the manufacturers' prices. We quote here a few of the wonderful specials for Fridav, BUT
BEAR EST MIND, EVERY ARTICLE EST OUR STORE IS LIBERALLY AND DECISIVELY REDUCED.
Your choice of any $30.00
Coat m the house
$15.00
Children's Coats, regulai
$7.50 values
$2.25
VERY SPECIAL
Your choice of a bier assort
ment of pretty Waists values
up to
$15.00 ,
MB V ai
$3.95
LADIES' SUITS-
Regular $15 values. .$4.50
SILK PETTICOATS
$12.50 values $4.75
$ 6.50 values $2.65
CAPE GLOVES
$3.50 value $2.00
STREET GLOVES
$1.50 value $1.00
SILK HOSE Values up to
$6.75, choice $2.95
KIMONOS Regular $1.50 val
ues, choice 69
$&.Gt xfH
Your choice of any $30.00
Suit in the house
$ 1 5.00
Skirts, values up to $15.00,
choice
$5.95
EXTRAORDINARY
VALUES
FUR TIES
Regular prices
up to $15.00.
S5.00
WF HAVE CUT GOOD AND DEEP ON ALL MILLINERY
200 TRIMMED HATS Values up to $3.50, at 95
200 TRIMMED HATS Values up to $6.00, at $2.49
ALL PATTERN HATS AT HALF PRICE.
ODDS AND ENDS IN LADIES'
Jersey Ribbed Vests and Pants
Wool, silk and wool, silk and cotton, all sizes,
including extra sizes. Values up to 7Cn
$1.50 f Ob
Ladies' Muslin Drawers
Plain, hemstitched and lace-trimmed, values up to
$1.00. Your choice
MISSES SUITS
Regular $15 values. .$7.75
BATHROBES Gray, pink,
blue, red. Values up to
$7.50 $3.35
UMBRELLAS
$1.25 value . 75d
$3.00 value $1.50
ELASTIC BELTS All colors,
steel buckles, 50c values 25
ODDS AND ENDS IN FANCY
LEATHER BELTS
Values up to $1.75
Choice 17C
Wholesale and
Retail
THE J. M. ACHES0N CO.
Corner of Fifth
and Alder