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3172 B A N K IN G AND CU R R E N C Y . a bill in Wilkes Barre I sent my Ithaca check down to a dealer in Wilkes Barre. He would deposit that check in his bank and that bank would send it to Philadelphia. That Philadelphia bank pos sibly would send it direct to Ithaca, or perhaps to Ithaca through Syracuse. Moreover, I understand that the custom is—I am not speaking of the Ithaca bank specially, but of any local bank—a common custom is to have an arrangement made with the Philadelphia bank, so that when the Philadelphia bank sent that check in for collection they would charge the Philadelphia bank with 2 or 3 cents of the 10 cents, we will say. They insist that if it comes in in that way they will make a charge, and they do get some part of their profits out of that. Moreover, I am told it is usual in a small town, where there are only two or three national banks and trust companies, for the banks to combine and agree that none of them will do that work short of a similar charge, and the charge is high enough to give them a profit. I think this bill should stop that kind of thing. I think it is perfectly proper, as provided in this bill, that the actual ex penses of collection should be covered. Beyond that I do not think they ought to be allowed to make profits on the checks on their own banks. Senator Crawford. Let me break in there to say that in the Pujo committee they made a special investigation of the matter of charg ing on out-of-town checks, and it amounted to a great deal of money and became the subject of more or less abuse, and it is one of the things regarding which the Pujo committee makes a specific report. We ought to keep that in mind in dealing with the question here. Senator O ’G o r m a n . I think it is said that $6,000,000 is charged on the commerce of the country. The C h a i r m a n . That is not really true, however. Prof. J e n k s . May I make another suggestion? I think this bill as it is, providing that the regional reserve bank shall act as a clear ing house under this law, will, to a very great extent, lessen the actual expenses, as I intimated before. Senator O ’G o r m a n . I know; but it will diminish the opportunity of the small bank to increase its earnings. Prof. J e n k s . Exactly; but it seems to me that while that is true, so far as the small bank’s profit is dependent upon collecting checks drawn upon itself, it ought not to have that profit. It does, however, under the present circumstances. Senator H it c h c o c k . Let me put another suggestion to you right there. Suppose there are 1,500 towns in the United States, and I believe there are many more, where a bank of $10,000 capital could not exist by the simple process of loaning 80 or 85 per cent of its deposits to the borrowers in the community, and if it were compelled to confine itself to the interest on 85 per cent of its deposits it would go out of existence and the community would be thereby deprived of a place to deposit its little savings and would have to go back to stockings and hiding places under carpets, in bedticks, etc., and lose that little public utility. What will that bank do if it be not permitted to eke out an existence by this method of charging just enough, as the evidence shows it does, to pay the reasonable salaries of a couple of officers and a very moderate income on the capital invested? B A N K IN G AND CU BBEN CY . 3173 Prof. J e n k s . I think I would answer that question b y asking another. Is it not entirely possible, and in fact probable, that in those cases where a bank needs some extra advantage in order that it may carry on its business it can get it in some other way than b y interfering with the course of commerce along those lines ? Senator H it c h c o c k . It is absolutely not----Prof. J e n k s (interposing). Just one moment. If we go back into commercial history a little, we shall find that there are a good many cases where the banks actually charged for the receipt of deposits. I may say, along that line, that if it became a case of necessity it might be better that that town should pay enough for the privilege of mak ing deposits and the other work the bank did, and pay for the trans mission of drafts and services of that kind than to interfere with the general commerce of the country by this roundabout system of collec tions you have now. Senator H it c h c o c k . Of course, that is a very good theory, Prof. Jenks, but the fact is the people would not do it. The people of that community would not pay for that, and it is only by this indirect way that it is possible to build that bank up. Those little banks eke out an existence by doing a little collecting, by writing insurance, by one of the officers acting as notary, and in that way they furnish a very valuable little utility. The great difference between one of our western towns of a few thousand population and a town of Europe of a few thousand population is that ours is a little town and there it is a village, because they have not this facility which we have in the United States. Prof. J e n k s . May I make another observation? I happen to have had some experience in the small towns of the Middle West, towns of 1,000 and 2,000 population. My own observation is that the local banks by doing this notary business, and particularly by shaving notes and doing other local business that it has a chance to do along monetary lines, not merely ekes out an existence, but a very good existence. As a rule, they are making very high profits; hardly any body else in the community is making so good profits. This collec tion business that you speak of is often done, and may just as well be done by some lawyer or other person who sets up a collection agency. I do not believe there are very many cases in the Middle West in these smaller towns of 1,000 or 1,500 inhabitants where the bank needs this special exchange charge in order to live. I think they will be able to get their living in other ways that are perfectly proper and much easier for the community and that will not inter fere with the general course of business. Senator S h a f r o t h . I s not this charge very irksome to the people,, and resented by them very largely? Prof. J e n k s . I think it is. Take, for example, my own case. When New York City is charging 10 cents for the collection of outof-town checks, and I send down to New York for $10 or $15 worth of books and have to write a check for $15.10, I do not like it. It seems to me that the provision to allow them to make a reasonable charge covering their cost is reasonable. Senator C ra w fo r d . The New York Clearing House has a regula tion that these banks must make this charge, and if they do not do it they are subject to discipline. S. Doc. 232, 63-1—vol 3----- 79 3174 B A N K IN G AND C U R R E N C Y . Prof. J e n k s . I know that is true, but when this bill is put into effect I think it will not be true. Senator S h a f r o t h . In the Pujo report there was a good deal o f criticism on that, too. Senator C raw fo rd . Oh, it was the subject of special inquiry. Mr. Untermyer claims that the agreement is in restraint of trade and in violation of the antitrust law. Senator R eed. I think Mr. Untermyer claimed a good many things in that hearing. Senator C raw fo rd . That may be, but I wanted to call attention to it as one of the matters upon which they made a special report. Senator S h a f r o t h . The report, as I remember it, was to the effect that the compensation the bank got by holding the money in the meantime was sufficient to reimburse it for the expense of collection. Senator O ’G orman . I should like, Professor, to put another ques tion to you. Prof. J e n k s . Will you pardon me a moment until I answer a ques tion that was put earlier? That was the question raised bv Senator Reed with reference to the personal pwnership of the capital of the central bank. I agree with the general position that Senator O'Gorman took on that, because I do not see that there is any essen tial difference between the two, excepting this: I think, if the na tional banks in New York or any other locality are themselves put ting in their capital, and—what is still more important—are them selves selecting the managers of the local Federal reserve banks, they will take an immediate interest in that work and will look after the workings of the Federal reserve bank in a wav that will tend to increase very decidedly the security of the whole system as compared with what would be the case if the subscription, as has been suggested, were to come from private individuals all over the country with preference given to smaller contributors. One word further. I think also that with this added confidence and the added skill we could get in that way, presumably, we should have the confidence of the people throughout the country a great deal more. Now, a good deal has been said—and, I think, with justice in part, but in part only—to the effect that this Federal reserve banking system and the Federal reserve bank ought to be run not simply for profit, but for patriotic reasons—the good of the country. I quite agree with that, and I think we ought to prevent their making too much money; but at the same time we all know, as a matter of fact, that any one of us takes a »ood deal more interest in any work if we do have some little financial interest there also. We do look after our own money affairs. I think, myself, that on that account it is desirable to have the skilled bankers, as long as they have not the power to harm, given enough interest in this system so they will be watching it carefully all the time. And it is for that reason also that I favor the proposition that they should have a share in the profits above 5 per cent, because I do not think they can get any exorbitant profits and it will give them the opportunity and put upon them the necessity of watching and seeing how the work is done. I do not think there is any like lihood of abuse under the provisions of the bill, and their interest, I think, is very desirable. B A N K IN G AND CU RREN CY . 3 175 Moreover, I may say another thing with reference to the appoint ment of the boards of directors of the Federal reserve banks. It is a fact, speaking generally, that if you have a great institution that is a Government institution pure and simple, with the people ap pointed by the Government to run its business, it is likely to be more expensively run and not to be run so scientifically or carefully as a private institution. I think we ought to guard against any such abuses, and in the svstem before us, as I think is fully provided in this plan, so far as we can get skilled supervision of a private nature with a small amount of private interest in it we shall get a better system than if we depend entirely upon the Government. Senator B r is t o w . Now, Professor, I suppose you and I have very different opinions as to the control of the banking system of the country by a feAv men in New York. I think they practically will control it'under the system that is proposed in this bill much more than they do now, and I think they control it too much now. I am perfectly willing to say this: That I do not propose to favor any reserve bank system that permits the banks of the country to control it. If we are going to have an independent banking system and preserve it now is the time to do it. And if it is insisted that we are to have these regional banks instead of a bank of the people, which has been suggested, then I think the Government should appoint the officers that administer the reserve banks. There is no more reason for appointing the Federal board by the President than appointing the administration of the regional bank by the President, because that is actually the operating force that does the business. Now, do you think it would be better to have the regional banks, or the branch banks—whichever system may be adopted—governed by appointees of the President, or the board, regardless of the stock— that is, would you prefer to have the banks own the stock and have nothing to do with its management, or to have the people own the stock and have the management. I will put that differently. Would you prefer that the banks own the stock and the Government manage it, the branches as well as the central bank; or would you prefer that the people own the stock and the Government manage it? Which would be the best? Prof. J e n k s . I should prefer in any case that the banks own the stock. May I comment a little upon what you suggest? I do not believe that under this system as it stands the banks in New York are going to control the system. As a matter of fact, the Federal reserve board is entirely appointed by the President, so there is no question about that. So far as the Federal reserve banks are concerned, the regional banks or the branch banks under the system proposed here, two-thirds of the directors are really absolutely under the control of the Federal reserve bank; so that while, as I say, under the system that is pro posed in this bill as it passed the House, we can be sure of skilled supervision, we can also be sure that the Government prevents any abuse by private bankers. Now, I do think that the bankers in New * ork and the other bankers throughout the country are going to have a good deal to say about the management of the system, not because fhey have any power, not because they will be permitted to exploit the system for their own ends, but because they are men of training, men of character, men of weight in the community, and men that people 3176 B A N K IN G AND CU R R E N C Y . would be glad to consult with because they are persons of that type. But, in either case, I should prefer they own the stock. Senator B r is t o w . Of course, I differ with you very radically as to that. Now, in connection with Senator Reed’s question that he asked a while ago as to maintaining the gold reserve, I can not see why Mr. Vanderlip, and I simply carry on the illustration which he gives, could not now come down here and demand $10,000,000 in gold for national-bank notes, and the Government would have to give it, because we are pledged to maintain the gold standard. But it is not done. To my mind there is no more danger of it being done under the new system of notes than under the present system. We have no gold reserve at all now except against national-bank notes, and we have a reserve against the greenbacks. Now, they could de plete that gold reserve any day if they wanted to, but the banks do not do it. But to avoid the danger, as suggested by Senator Reed, should we not provide that the banks that were the beneficiaries of this system should maintain a gold reserve and replenish it when ever it is depleted? Prof. J e n k s . I do not quite see what you mean, Senator. We could make the provision now, of course, if we wanted to, that a certain proportion of this reserve that the banks are required to keep shall be held in gold. Is that what you mean ? Senator B r is t o w . Say we had a 50 per cent gold reserve behind the notes that are issued, and there should be a run on that gold re serve through these notes. Now, of course, if they could get enough notes together they could run the gold reserve out, but can we not make a provision that as these notes are redeemed the banks that are the beneficiaries of the system shall maintain a certain gold reserve in the Treasury and put the burden on the entire banking system of the country to maintain the gold reserve? Prof. J e x k s . A s I understand the matter, that is done now under our present law, and it is provided in this bill. It is provided in this bill that each bank shall keep 5 per cent of its note issue in gold in the Treasury, and as fast as that is taken out it shall be renewed. The consequence is that under the present circumstances, supposing they present $100,000,000 of these new bank notes, as fast as they come in the Government would itself provide that the amount be supplied by the banks by calling upon them to make good the sums paid out. Senator B r is t o w . Why could not the same provision be carried in here to protect the gold reserve of this Federal reserve bank? Prof. J e n k s . I understand it is carried. Senator B r is t o w . That being the case, the suggestion of Senator Reed, it seems to me, falls to the ground. Senator R eed. I am talking about the Vanderlip plan, which was a central bank owned by the people, the gold reserve to be main tained in that bank, without any provision in the bill, as I recall it, that the banks of the United States should in any way contribute. Senator B ristow'. But we can put such a provision in the bill as will remedy that defect. Senator R e e d . In other words, your idea would be that the banks should keep on deposit in this Federal bank a certain percentage of gold ? Senator B r is t o w . Yes. B A N K IN G AND CU BBEN CY . 3 177 Senator H eed. And when they drop below a certain amount they must replenish it ? And if they do not replenish it, what then ? Senator B ristow. Then there would be penalties. I do not know what penalties we have now, but we could fix a penalty. P ro f. J enk s. Y ou c o u ld p u t th e m in to liq u id a tio n . Senator B ristow. Yes. Senator R eed. It is perfectly clear to me that we have to impose upon the member banks the duty of helping to maintain this reserve. Senator B ristow. I agree to that. Perhaps they are----Senator O ’G o r m a n (interposing). I do not want to interrupt this conversation, but a good deal of this talk is naturally what will very often come up at our executive conferences, and perhaps if Prof. Jenks has concluded his observations we may resume the work we intended to take up. Senator Crawford. He has not answered this question I brought up in connection with these questions by Senator Bristow. Now, I want----The Chairman (interposing). I think the questions ought to be put to the witness and he be allowed to answer them. Senator Crawford. The question I had in mind is, What objection is there to letting this bank, under the system provided in this bill, or any other that may be created, discount for individuals as well as for member banks? Now, this whole propaganda has been put before the people as adopting banking practices of the old country, on the ground that our system is not up to date and is inefficient and all that, and every one of these banking systems after which we are copying, or from which we are expecting to take the best, contains a provision that this Government bank, or central bank, can do business with in dividuals, and it does. Now, I do not see why, in building up a sys tem here, we should rest it alone upon the theory that it is to be an accommodation to the member banks. It may be a very great ac commodation to an American citizen that has prime commercial paper of the class described here that he can go to this reserve bank or central bank and discount his paper; it may be a mighty wholesome check upon the banks of the country to give him that privilege as they have done it in the other countries. What objection is there to allowing him that privilege? Prof. J e n k s . I think there are two objections that can be made. In the first place, unless I am entirely misinformed, in none of these European countries where the central national bank does this work have they anything like so Avidely developed a system of local banks all through the country as we have here. Wre have built up a system of something like 25,000 small national banks all through the coun try, to say nothing of the private banks. At any rate, we have enough of them so that the business is pretty well looked after now. They are rendering a good service to the country as a whole, and there is not the need for it that there is there where they have not any such system as that developed. Our present local banks, in my judgment, are serving the people, and serving them fairlv well. I think that with the control that is put in this bill, there is no danger of their abus ing their powers, and it is a much wiser policy for the managers of these reserve banks to devote their energies strictly to seeing to it 3178 B A N K IN G AND CU R R E N C Y . that the paper which comes in from these different banks is of the right type. As a matter of fact, if we gave that privilege of dis counting for individuals to our reserve banks, it would mean that the only persons who would go to the reserve banks to get accom modations directly would be the large corporations that wanted large sums; and the other people would be more likely to go to their small banks, anyway, for the small banks are really the only ones that can look into the individual credit of the small borrower. Senator C r a w fo rd . I do not suppose if the reserve bank had that power it would, to any great extent, rediscount paper, and I do not think they have in the other case of which you speak, but it seems to me that it might be a wise thing to let them have that power for use in emergencies, as we are linking together all the banks of the coun try—that seems to be the purpose of this bill—practically bringing savings banks, and State banks, and trust companies, and national banks into one system, and tying them all together. Prof. J e n k s . That is right. Senator C ra w fo r d . And if this system becomes unified, they are practically going to be one big banking trust. Prof. J e n k s . That is right. Senator C ra w fo r d . It may be a good thing for the country, but it may also be a good thing for the country to allow this reserve bank to have the power, in emergencies, to discount the paper of individ uals. How would it hurt them if this bank had such power? Prof. J e n k s . I think the being hurt would be in the public senti ment in connection with the matter. Senator C ra w fo r d . Would it not be better for the public? Prof. J e n k s . I question if it would. Under the system provided by this bill the public can get its accommodation directly from their local banks, and the rate it can charge can be practically controlled by the central bank anyway. I do not see that there would be any very special harm done, to be frank about the matter, but on the whole I think it would not help the system to turn public sentiment against it. Senator C ra w fo r d . It seems to me it is difficult to find a parallel. P ro f. J e n k s . I th in k there is no exact parallel. Senator C ra w fo r d . Because when we created the first bank in Philadelphia, and the Bank of North America was created a State bank, and those two banks competed with each other, they got along very well together? Prof. J e n k s . Yes. Senator C ra w fo r d . We are creating this big combination o f banks and giving them exclusive control o v e r rediscounts in taking that power away. Senator W e e k s . I think you will find that that statement is not quite justified, that they got along well together. Senator C ra w fo r d . The Bank of North America and the First Bank in Philadelphia got along well together, although there were disputes, political disputes. They got along wTell together. Senator P o m e r e n e . There w a s m is m a n a g e m e n t. Senator C r a w fo r d . There was mismanagement, but I am speaking of the reciprocal relations. Senator H itchcock. Congress is very probably justified in going in and organizing a great concern for the purpose of caring for the re- B A N K IN G AND CU RREN CY . 3179 serves of the banks it has created to distribute currency to the people, but Congress has no more business to go in and establish a bank any more than it has to start a railroad or start a bakery or undertake any other line of private enterprise. Prof. J e n k s . Y ou are referring in your remarks to the fact that it is not politically expedient? Senator H itchcock . It is not desirable, but it is the function of Congress to provide a means of safeguarding the reserves of the banks it has authorized. It is legitimate for it to provide against panics and to provide a means of supplying currency to the banks which it has recognized. Senator Crawford. But we have a novel proposition here, not of the Government or Congress establishing a purely governmental bank; it is creating a bank through the capital stock of other banks. It is taking no stock in it itself; it is excluding the public from having any stock "in it; it is securing its capital from member banks and limiting its business to the business it transacts with those banks. That is unique. Senator H itchcock . That is not the point I was referring to. Senator Crawford. No ; I suggested that as distinguished from the statement made by Senator Hitchcock. Senator M c L e a n . Did y o u , Prof. Jenks, retain in your amended bill the provision in the Glass-Owen bill that these notes shall be the obligation of the Government? Prof. J e n k s . Yes; the obligation of the Government. But, as I understand it, under the provisions of this bill the Government, after all, is so little likely to be called upon that it is only practically a guar anty that is certain never to be asked to meet. Senator M cL e a n . In your opinion there is no objection to that? Prof. J e n k s . In my opinion there is no practical objection to that, though I would prefer to see bank notes. I think it is a good deal a matter of sentiment, Senator M cL e a n . D o you look upon it as a matter o f sentiment, purely ? Prof. J e n k s . Practically so; yes. Senator N e l s o n . I call your attention to a section of the bill o n page 31, and I will read to you the paragraph upon which I want light. You have not touched upon it in your amended bill. [Read ing:] Whenever Federal reserve notes issued through one Federal reserve bank shall be received by another Federal reserve bank they shall be returned for redemp tion to the Federal reserve bank to which they were originally issued, or shall be charged off against Government deposits and returned to the Treasury of the U nited States, or shall be presented to the said Treasury for redemption. No Federal reserve bank shall pay out notes issued through another under penalty o f a tax of 10 per cent upon the face value o f notes so paid out. N otes pre sented for redemption at the Treasury of the United States shall be paid and returned to the Federal reserve banks through which they were originally issued, and Federal reserve notes received by the Treasury otherw ise than for redemption shall be exchanged for law ful money out of the 5 per cent redemp tion fund hereinafter provided and returned as hereinbefore provided to the reserve bank through which they were originally issued, etc. N°w, the point that has been troubling me is this: After these notes have been returned to the bank that issues them and have been redeemed, after they are redeemed have they a right to put those 3180 B A N K IN G AND C U R R E N C Y . notes into circulation again, and if they had such a right would it not lead to endless inflation ? Ought not those notes to be canceled when they are redeemed? Prof. J e n k s . As I understand the bill, when the notes are brought in and redeemed they are legally canceled. Now, if they are paid out again, they are paid out just as if a new note was issued, and it is simply a question as to whether you shall reprint the notes and put other numbers on them. Senator N e l s o n . Have they not got to, based’u p o n new security? Prof. J e n k s . They have to be based upon new security; that is why I say when they are redeemed I should consider them canceled. If, instead of tearing them up, the Federal reserve agent puts them aside into a separate pile, and when there comes in some more security he takes those same notes instead of asking for newly printed notes; it is really a new issue. Senator N e l s o n . It is really a new issue. That is, after they have been returned and redeemed their function is ended. Unless you take that course it would lead to an endless inflation of currency? Senator P o m e r e n e . And th e collateral was surrendered. Senator N e l so n . If they are issued, they must be issued as new notes, and the mere cost of printing would be a mere bagatelle in re lation to the question of safety. Those notes ought to be destroyed and those new notes printed. Prof. J e n k s . May I add a word there? If the suggestion you make is carried out, it would also be practically an absolute bar against counterfeiting them. Senator N e l s o n . And the mere cost of printing would be a baga telle compared with the question of safety. We would be sure that there could not be any inflation of *the currency. To get new cur rency they will have to put up new securities, and they will have to go through the process again. If you leave that the other way, there is great danger of inflation. Now, another question, and then I will have finished. Senator H it c h c o c k . I want to ask another question on that same line. Senator N e l s o n . I would like to ask one more question, and then I will be through. Senator H it c h c o c k . The question I would like to ask is in line with the very questions you have been asking, Senator Nelson. Senator N e l s o n . Very well. Senator H it c h c o c k . Suppose, Prof. Jenks, a bank in your town discounts paper with a reserve bank in New York and receives notes, currency, and these notes are put up as collateral security or segre gated as collateral security for the other notes; I believe that is the process. Prof. J e n k s . Did I understand you to say that the bank in m y town puts up personal notes? Senator H it c h c o c k . We will say it rediscounts $100,000 of com mercial paper with the reserve bank in New York City. It receives notes, currency of the Government, through the reserve bank? Prof. J e n k s . Yes. Senator H it c h c o c k . The notes which it has discounted and which have been, as a matter of fact, due for 90 days, have been segregated B A N K IN G AND CU R R E N C Y . 3 181 and turned over to the Government. The bank in your town takes this currency home, and within 10 days they get back to the reserve bank in New York City. -Must those notes be retired 80 days betore the collateral security matures? . Senator N elson. Your proposition involves this: You assume the notes come back to the reserve bank in New York City, and it is the duty of the reserve bank to present them for redemption; they must not hold them. Senator H itc h c o c k . The collateral is there. Senator N elson. They would not hold those notes. . Senator H itchcock. The reserve bank has invested its funds in these notes, which do not mature for 90 days, but the cuiiencv may come back in 10 days. Senator N elson. Come back where? Senator H itchcock. T o the reserve bank. Senator N elson. The bank that issued them ? Senator H itchcock. Yes. Senator Nelson. That is all right. Senator H itchcock. The collateral security of $100,000 which the reserve bank has invested in the 90-day notes will not remain in those notes for 80 days. Prof. J enks. I should say, so far as that matter is concerned, that that example which you cite will never happen in actual practice. If it should happen, what you say will be true. This would be the situation: These notes—that is, the personal notes that have been put up as collateral—represent loans to private individuals. They have had the use of the money, and those notes, when they are collected, would be collected by the Federal reserve bank through the local bank that took them to begin with. The chances are 100 to 1 that before the 90-day notes are paid off finally, the local bank that has taken them and deposited them in the Federal reserve bank will have made a good many more loans, and have others it can substitute for these if it wishes. The process will thus go on indefinitely. But in case, we will say, at the end of the 90 days the local bank, instead of loaning $100,000 more, has loaned, we will say, $80,000, and then when the commercial paper is paid off the currency will be contracted by that $20,000. If, however, it has been able to loan $120,000, when it substitutes the new commercial paper for the $100,000, it will probably ask for more circulating notes. And in this continuous process of the substitution of these local personal notes the collateral, continuously, the Federal reserve bank will adjust itself and the currency to the needs of the country. Whenever the amount of circulating notes which come back to the Federal reserve bank from its district in the course of any 90 days is less than it issued 90 days before, it means there has been a slackening of business and the currency has been contracted as much as it ought to contract. Senator H it c h c o c k . Suppose, instead of coming back in 90 days they do not come back for six months ? Prof. J enks. That is all right. The implication would be that the business demands have been enough to keep those out, and, 3182 BANKING AND CURRENCY. quite likely, still more. Under those circumstances there will be more commercial paper deposited, and there would have been a call for more notes. As I understand it, that is one of the most valuable features in the entire bill—that by depositing securities in the form of com mercial paper with the reserve bank we can expand the currency to meet the demand, whenever the business demand increases, and it will, of itself, normally contract as the demand lessens. Just along that line, I would like to suggest----Senator H it c h c o c k (interposing). The reserve bank has really no control over its outstanding currency? Prof. J e n k s . The only control the Federal reserve bank has is ,his: It has the right to determine whether the commercial paper jffered is good or not. It has also the right to determine, subject ■:o the review of the Federal reserve board, what rate it shall charge to the local bank. If it feels that the local bank, when it comes and asks for this $100,000, is trying to push out more than the demand warrants, it will put up its rate of discount. Senator N e l s o n . Note this expression in the bill----Senator P o m e r e n e (interposing). I was going to offer this sug gestion. Assume that there is $100,000 of new notes issued. That means, of course, that $100,000 of commercial paper has been hypothecated. Now, assume that that $100,000 of notes was sent to the reserve bank and canceled before any of the collateral was matured. Necessarily, it would seem to me, the collateral would all be returned, if part of it is----Senator H it c h c o c k (interposing). The Senator from Ohio mis understands the situation. That is the loan to the bank; that is the* paper that is rediscounted, and those notes are now owned by the reserve bank absolutely, and the bank can not get the money on the notes until they mature. Senator 0 ?G o r m a n . Then, wThat difference does it make whether they are redeemed in 10 days or not? Senator N e l s o n . The bill says: N otes presented for redemption at the Treasury of the United States shall be paid and returned to the Federal reserve banks through which they were originally issued, and Federal reserve notes received by the Treasury other w ise than for redemption shall be exchanged for law ful money out o f the f> per cent redemption fund hereinafter provided, and returned as herein before provided to the reserve bank through which they were originally issued. Why should they not be canceled ? What right have they to issue them? Would that not be a most dangerous power? Prof. J e n k s . I think they are canceled under the law. Whether they should be reprinted or not is another matter. My own judg ment is that----Senator H it c h c o c k (interposing). I misunderstood Senator Pomerene’s question. What he meant was that when the notes came in the reserve bank would then take down the notes which it had placed as collateral. I did not understand what he meant. Senator N e l s o n . The country banks at the Boston meeting adopted some resolutions, and among others they recommended this substi tute for the clearing-house provision of the bill—I call it the clearing- B A N K IN G AND CU R R E N C Y . 3183 house provision. Here is what they recommend as a substitute for that provision: It shall be the duty of every Federal reserve bank to receive the deposits at par and w ithout charge for exchange or collection of checks and drafts drawn by any of its depositors upon any other depositor and checks and drafts drawn by any depositor in any other Federal reserve bank upon funds to the credit of such depositors in said reserve bank last mentioned. That is what the country bankers want as a substitute for what is in the bill. Can you see any objection to that matter ? Prof. J e n k s . My impression is they have left out o f this the col lection of the local checks of one bank upon the bank of another region. I think the clearing-house provision ought to be broader than it is put in here. S e n a to r N e l s o n . Y ou d o n o t f a v o r th is ? Prof. J e n k s . No. Senator H it c h c o c k . I wanted to ask you what provision you ~ ake in your substitute for the retirement of national-bank currency' Prof. J e n k s . I made no change beyond the provision that is “Hade in here. Senator H it c h c o c k . Y ou have left the bill as it is? Prof. J e n k s . Yes. Senator H it c h c o c k . Then, I want to ask you what you would think of the idea, in addition, of having a standard rate of discount charged from day to day, available to the banks of the country, equal in all parts of the country? What would you think of a provision providing that any bank, as a matter of right, should be entitled to discount paper up to the amount of its capital stock at the minimum rate of interest ? Prof. J e n k s . What do you mean by the minimum rate of interest? Senator H it c h c o c k . The lowest rate established. And also a pro vision that any bank requesting more than the amount of its capital stock should be subject to a higher rate of interest, in order to equal ize. to some extent, at least, the volume of discount available to each bank ? Prof. J e n k s . I think, as regards the discount rate, that that should be made dependent only upon the reserve. I think that by making it dependent upon the reserve only you would give the elasticity that the system would not have otherwise. Senator H it c h c o c k . You mean the reserves of the reserve banks? Prof. J e n k s . Yes. Senator H it c h c o c k . That is all right, so far as the total volume of discount is concerned, but it makes no provision for equalizing the discount among the various applying banks. The reserve bank might discriminate against one bank, and my object was to try to devise this as a means of equalizing the discount, to put the brake on against their getting an excessive amount. Prof. J e n k s . I had understood by the bill that the directors of the Federal reserve banks were to make a uniform rate of discount in their own district. Senator H it c h c o c k . Exactly. Prof. J e n k s . And the Federal reserve board had a right to recog nize the fact that it was different in different districts, but otherwise they had the right to change it under the bill. As I have seen it, the 3184 B A N K IN G AND C U R R E N C Y . Federal reserve board would not make only one uniform rate of dis count throughout the country unless the local Federal reserve board could give some valid reasons for so doing. The C h a i r m a n . I think the Senator from Nebraska intends to make this suggestion, that in extending accommodations to member banks, that when a member bank has received a certain amount of accommodation at the lowest rate of interest, then if it desires addi tional accommodation a rule might be imposed to increase the rate of interest upon such paper, to keep one bank from being too greedily disposed to get accommodation at the expense of other banks. Prof. J e n k s . My opinion on that is that is not necessary. I think it is within the power of the board of this Federal reserve bank to say whether a bank shall have accommodation or not, and I think also it has the power to pass upon the quality of the paper. It seems to me that it might very well happen that, within one Federal district, there would be very large demands in some one region—say, perhaps, some farming region—while in another region 100 miles from there the demand would be less. It would be desirable, if the demand came in that way, that the loans be made in the region where the demand was greater, at just as low rates, or even lower rates than in the other place, and I do not think the amount of loans there should be fixed rigidly according to the amount of capital. I think you had better leave that to the districts competing. Senator H it c h c o c k . Take two men in the banking business on op posite sides of the street; they have the same amount of capital and practically the same volume of deposits. One man wishes to swell his business, and he makes loans with the idea that he can discount a large amount of paper with the reserve bank, and the other man across the street is more conservative in his disposition and more careful with his loans, and he may, when he applies for rediscounts, find that the reserve bank is not disposed to rediscount his paper. He may get none. Prof. J e n k s . I think, so far as that is concerned, we shall have to trust the board of directors of the Federal reserve bank. The chances are, I should say, that if one bank is enterprising enough so that it wants to discount more of its paper, as long as it can satisfy the board as to the quality of its security, it ought to be given the privilege. Why shall we say that one man shall be penalized for his enterprise? Senator H it c h c o c k . Is that not going to tend to inflation ? Prof. J e n k s N o ; I do not think so. It depends upon the quality of his paper. If the quality of the paper is right, there is no danger of issuing too much. Senator H it c h c o c k . That is a matter of judgment? Prof. J e n k s . Yes. Senator H it c h c o c k . It seems to me a bank should be guaranteed equal treatment. Prof. J e n k s . Surely, if we do not make any further provisions. Senator H it c h c o c k . One bank may be refused discount. One bank may come in for rediscounts after another has discounted a large volume of paper and the rate may have been raised, and the conservative man is discriminated against because he has been con servative and careful. Prof. J e n k s . That is, I should think, a condition of affairs that we ought to encourage. B A N K IN G AND C U RREN CY . 3185 If a man who is a business man chooses to be rather overconservative and go a little more slowly than his competitor, he ought to take a penalty for his conservatism. The other man, as long as he can keep up the quality of his paper—and that can be inspected by the Federal reserve bank—ought to have the benefit that comes from that enterprise. I do not think it is necessary to penalize him. It seems to me the principle is wrong. If you say the more enterprising a man is, as long as he keeps up the quality of his paper, the more he shall be compelled to pay as he asks for more discount, I think the principle is wrong. I think the test ought to be the quality of the paper. Senator H it c h c o c k . That is a mere matter of judgment, and there is no standard. I am thinking that something ought to be put in there to avoid favoritism. You propose a plan by which it is left to the judgment of the reserve board. Prof. J e n k s . That is the way it is in the bill. Senator H it c h c o c k . What is the objection to having a provision in there guaranteeing equal treatment? Prof. J e n k s . The objection is this: I do not think it is equal treat ment, because I think the people who could ask for the loans are people of the same type. Senator H it c h c o c k . D o you not think it would be safe to say that any bank entering this system shall at all times be entitled to dis count good paper to the extent of its stock? Prof. J e n k s . I should have no objection to putting that minimum. I should say I would have an objection to putting on a penalty. Senator H it c h c o c k . What other brake are you going to put on the expansion of bank credits except by raising the interest rate? Prof. J e n k s . That is all, except the quality of the paper. Senator R e e d . If you do not put any provision in there, he might get $100,000,000. P ro f. J e n k s . I f the board w ould let him . Senator R e e d . I would allow him the amount he would get, and give everybody an equal chance, and if the demand is strong the rate of interest will rise. Prof. J e n k s . That is already provided for as regards the reserves. Senator C r a w fo r d . Do you think there will be always available in this banking system money enough to give to each member bank an amount equal to its capital stock? Senator H it c h c o c k . N o ; that would be 1.000 million dollars if all the national banks came in, but it is unthinkable that all the banks would want it at the same time. The demands are seasonable and they are regionable, but I think a bank must be assured that if it goes into this system it is going to get something; that it has some thing definite, and that it is sure, in time, to get a certain amount, and there is no power to refuse it. I do not want to give discretionary power to a board of directors anywhere to say to a country bank that they can not have discounts. Prof. J e n k s . A s regards the minimum rate, I am inclined to agree W1th that, but I do not think I would agree in regard to the maximum. Senator C r a w fo r d . Would you have a minimum as large as that suggested by the Senator? 3186 B A N K IN G AND C U R R E N C Y . Prof. J e n k s . His suggestion was that any bank making a demand would get loans equal to its capital at a minimum rate. Senator C r a w fo r d . Equal to its capital. Senator H it c h c o c k . T o discount paper equal to its capital. Prof. J e n k s . I do not see any objection to that. If the demand is toe strong the rate of discount will have gone up. Senator H it c h c o c k . What do you think about making the notes legal tender? Prof. J e n k s . I think they should not be legal tender. Senator H it c h c o c k . Why? Prof. J e n k s . Because if they are made legal tender it is going to bt a very strong influence toward preventing their rapid redemption. If you make them full legal tender it would be difficult to exclude them from the right to be held as reserves. Senator H it c h c o c k . Suppose we did that arbitrarily and made thfcm legal tender? Prof. J e n k s . I think it is better not to have them legal tender, because it is a very desirable thing that there be a prompt and ready redemption continually. Unless you can secure that promptly you are almost sure to get an expansion of your currency system, so that it vvill expel gold from the country. In fact, I should be inclined to make them poorer in desirability than they are now, in the provi sions of this bill, by putting other penalties on them. The principle of Gresham’s law is one that always works. The poorer you keep the quality of the notes, as long as they are good enough so that people will take them, the more certain you are of getting a prompt and ready redemption, and that, I think, is a very desirable thing. Senator R e e d . N o w , about the matter of retirement; that is the main thing with you. The method now is that when the notes of one region get into the Federal reserve bank of another region they are retired. What is the matter with this proposition? I will ask you about this. Prof. J e n k s . I believe you questioned me in regard to this before, and I did not give you a very satisfactory answer in regard to that plan. Senator P e e d . My plan was that when a bank came to a regional bank and rediscounted paper, that it had to pay within a certain time, and that it must then bring gold, greenbacks, national-bank notes, or its paper at the end of that time and absolutely wipe out its obliga tions. Prof. J e n k s . I should add this: “ Unless it can substitute other commercial paper that is equally as good in the minds of the directors of the Federal reserve bank.” S e n a to r P eed . W o u ld t h a t w o rk th e r e tir e m e n t? Prof. J e n k s . That would make no difference as regards the retire ment, I think. Senator R ee d . That would be a new loan? Prof. J e n k s . That would be a new loan. Senator P e e d . Then there is no use in using this substitute paper, because it has the right to rediscount again. Prof. J e n k s . If i t s u b s titu te s o th e r p a p e r it a m o u n ts to th e sa m e th in g . T h e o b je c tio n I see to th is — I s h o u ld s a y i t n e e d n o t p a y off its o b lig a tio n s as th e y co m e due in c a sh , a s h a s b ee n s u g g e s te d , if it B A N K IN G AND C U RREN CY . 318? can substitute satisfactory paper or a substitute. Your proposition the other day, I think, was this: That the Federal reserve bank itself must turn over to the Federal reserve agent either the notes them selves or the lawful money to an equal amount. Senator R e e d . That is the other end of it. Prof. J e n k s . The objection to that is this, that it is not going to be possible, if the business of that region is going on continuously in a normal way, with new loans made from day to day for the Federal reserve bank to turn back from day to day in cash or in those circulating notes all its obligations that are due, without call ing loans; that would be a very undesirable thing to do. I should say here is the situation: You are loaning out through this regional reserve bank, an amount, possibly, three times the amount it is hold ing in a gold reserve. It holds a certain amount in gold in reserve, and it loans three times as much in notes. And when you do that, if there comes a day when there is rather more due than the usual amount it has to return either an equivalent amount of those notes or the gold, and it must contract the circulation, and it must contract credit by so doing. Senator R e e d . That is the very thing you propose. Let us assume that a Federal reserve bank gives to the First Na tional Bank of Omaha, we will say, $100,000 of money it issues upon the securities of that bank. That money is applied for and issued for 90 days. Thereupon the First National Bank of Omaha deposits with the Federal reserve bank of that region $100,000 of promissory notes, due on or before 90 days. The president of the reserve bank goes across the aisle to the Federal reserve agent end secures from him $100,000 in currency and loans it to the First National Bank of Omaha. Ninety days come around. The money is due. The First National Bank of Omaha must pay that money. I would make it its duty first to pay it. At the end of that 90 days the reserve bank pays the reserve agent $100,000. I would provide that they should pay it out of these notes, and if they did not have enough of these notes on hand I would provide that then they should pay it in lawful money, and further provide that as rapidly as pos sible it should substitute the circulation for lawful money. That makes an absolute retirement, I think. Prof. J e n k s . As a matter of practical business, it is impossible for them to do it. That is for this reason: When the regional reserve bank turns over this $100,000 in circulating notes it sets aside a part of that amount in lawful money as reserve so those notes are covered, in the first place, by the full amount of collateral and by the onethird reserve in gold. At the end of 90 days the bank has been doing business, and it has other commercial paper, and when this com mercial paper becomes due, it ought to be allowed to substitute other paper and keep those first circulating notes out in circulation. If it has to pay those circulating notes off. either in gold or by the full amount of notes, then it has got to stop its loaning process, be cause what it has is simply the $100,000 in commercial paper, and a third or a half in gold. It can not pay it all off without contracting loans, and if business is going on regularly, it must not contract loans. Senator R e e d . Of course, if they wanted to substitute new paper, it would all be merely a matter of bookkeeping. 3188 B A N K IN G AND C U R R E N C Y . Prof. J e n k 8. That is it exactly. Senator R e e d . In that event the purpose is to keep $100,000 out----Prof. J e n k s (interposing). Yes. Senator R e e d . In that event, the process would be this: At the end of 90 days they would send down $100,000 of new commercial paper, and thereupon the entry upon the books would be that this first $100,000 was paid. The entry upon the books would be also that the $100,000 had been paid through a reserve agent and paid in money of this character, and that another $100,000 had been issued, and you would simply keep your books, and in that event you do not want to retire that $100,000 of circulation at all? Prof. J e n k s . Of course, you do not. Senator R e e d . And that provides a circulation, certain and abso lute. This other method provides a currency which circulates from Omaha and finally gets to Kansas City. Ordinarily, that bank must not pay that, but send it for redemption. I do not see any reason for that. I confess I may be very dull, but I can not see the reason for that. Prof. J e n k s . The objection to your plan is this, that it is abso lutely a business impossibility for the regional reserve bank to turn over to the Federal reserve agent at the end of that period either the notes or the cash, provided business is going on. Senator R eed . Provided the notes are renewed, and their obli gations^— Prof. J e n k s (interposing). Of course, if they renew their obli gations, and do it by bookkeeping, then I agree with you; I agree with that fully. If, however, you say they have to pay in actual circulating notes, or else in gold, then I should say you can not do it without contracting the credits, and that would hurt----Senator R eed (interposing). Then suppose you said as often as any member bank shall pay to the regional bank the moneys it has obtained by way of discounts or advancement, the regional bank shall retire out of its own vaults an equal amount of the circulation? Prof. J e n k s . That, I understand, is provided in the bill now. It will do that, as a matter of fact, in order to keep its books straight with the Federal reserve agent. Now, the other point is with reference to their Sending back the notes which come in from other regions. Under those circum stances, if you have one central bank, as I have provided in this bill, that would have to be eliminated, I should think. S e n a to r R ee d . W h a t is th e u se o f it , a n y w a y ? Prof. J e n k s . The use of it is this, I think: I do not think it is absolutely essential, but it would tend to encourage the different banks to call those notes in. The reason is this: Under the present bill there is a possibility of one regional reserve bank making more profit than another regional reserve bank, and it will be making those profits, to a considerable extent, by the circulation of its own notes. Now, if it follows that it can make more profit by getting its rivals’ notes out of the way and getting more of its own notes out standing, it will, of course, do that. Senator R e e d . And that will be not because you demand it, b u t because they want to do it ? 3189 B A N K IN G AND CU R R E N C Y . Prof. J e n k s . Yes; because they want to do it. It is more desirable, so far as you can, to make the banks want to do what you want them to do. On the other hand, if you make a central bank like this I have suggested, it will not make the slightest difference to them what notes are out. Then, I think, along that line it is more important that you leave the legal-tender feature out, and make these notes less desirable than lawful money—I should not allow the bank to hold them as reserves; and I think you should do everything that you can to encourage the State banks and the trust companies to come into this system, so that they will not be using these notes for their reserves, and make those notes relatively more undesirable than “ lawful money.” Then the bank will put these notes out, to be returned if it wants to con tract its circulation, and it will hold in its own vaults always the gold and the lawful money and the greenbacks or the silver certifi cates, and things of that kind, and these will be sent back—and that is desirable. Senator R eed . Y ou would not provide for some legal tender be sides gold? Prof. J e n k s . We have now. The silver certificates are legal tender; the gold and the gold certificates and the silver and silver certificates. Senator R eed . Well, gold certificates are not legal tender. Prof. J e n k s . Oh, yes; that is true. I spoke carelessly. I could put in here [indicating] a provision allowing the gold certificates to stand for gold. Senator N e l s o n . Gold certificates are not legal tender. The only legal-tender money we have now is the gold and greenbacks and national-bank notes. Prof. J e n k s . And silver dollars. Yes; I think you are quite right. S e n a t o r H it c h c o c k . I s th e s ilv e r d o lla r a le g a l t e n d e r t o a n u n li m it e d a m o u n t? Prof. J e n k s . I believe it is at the present time. Senator R e e d . Here is what i t says on one tificates : of these gold cer This certifies that there has been deposited in the Treasury of the United States tw enty dollars in gold coin, payable to the bearer on demand. Prof. J e n k s . Well, that is not legal tender. available for reserves in these banks. I would make them S e n a t o r R e e d . Y ou w o u ld ? Prof. J e n k s . The gold certificates; I would accept them instead of gold, surely. I think that in drafting this bill I did not cut out, as I should have done, the provision with reference to the different banks, and I will do that to-night. Senator W e e k s . There is every reason for doing that. Senator R eed . Yes. Now, suppose we set up a system; we are anxious to get all of the banks of the country into it. We provide a currency which is not receivable as reserves in our system of banks; but the States allow it to be used as reserves in the State banl^s. Now, is there not a reason for a bank not to come in ? , . J e n k s . I do not think that is a material thing at all. I think that the additional safety and the additional excellence would s. Doc. 232, 63-1—vol 3-----80 3190 B A N K IN G AND C U R R E N C Y . far more than offset any disadvantage that might be in the minds of the good bankers that are expected to come into the system. Senator R e e d . I want to ask if there would be anything done under this bill that would make it impossible or impracticable for this system to go to the aid of another system, thus forcing the banks that are not in—or preventing them from getting the aid of this sys tem through a member bank? Prof. J e n k s . I do not know of any way by which that can be abso lutely done; no. As a matter of fact, I think that the feeling that they had to do it secondhand and through a memebr bank—I think a member bank would hesitate a little, in many cases, to give the accommodation like that to those who are not in the system. Senator R e e d . Perhaps the fact that there would be an additional “ rake-off ” to member banks would make a difference. Prof. J e n k s . Yes; I t h in k so. Senator N e l s o n . Prof. Jenks, you understand that the Bank of England intends to regulate the inflow and outflow of gold by its rate of discount, do you not? Prof. J e n k s . Yes. Senator N e l s o n . N o w , do you think we could do the same thing, in a measure, in this country ? Prof. J e n k s . Yes; I t h in k so. Senator N e l s o n . But could we not do it better—could we not regu late the inflow and outflow of gold better if we had one central insti tution ? Prof. J e n k s . I think so. I think we could do it much better. Senator N e l s o n . By one central bank we could come nearer regu lating the inflow and outflow of gold, could we not? Prof. J e n k s . Much better, I think. Senator N e l s o n . That is the way it looks to me. Senator H it c h c o c k . Prof. Jenks, under the plan you propose, what would be the size of the New York branch, say? Senator N e l s o n . He proposes one bank only. Senator H it c h c o c k . I know; but there are different branches. I want to get some idea of the relative size of these different branches. Prof. J e n k s . I think I have the figures made out in my portfolio that I could look up and give to you. Senator N e l s o n . These branches would have no capital. Prof. J e n k s . N o ; not necessarily. Senator N e l s o n . Not under your plan. Prof. J e n k s . Well, in the plan I propose it will be left to the Federal reserve board to determine how much of the reserves should be in every one of these regional banks, and of course none of those branches would have any separate capital. Senator H it c h c o c k . Your Federal reserve board would order cur rency shipped from branch to branch or gold shipped from branch to branch, would it not? Prof. J e n k s . If necessary; or it would, in most cases, simply ar range by a matter of bookkeeping, giving credit and charging. But, whenever necessary, they would actually transfer the gold. Senator H it c h c o c k . It would be necessary to make actual trans fers from time to time, would it not? Prof. J e n k s . From time to time, it would; yes. B A N K IN G AND CU BBEN CY . 319 1 Senator H it c h c o c k . For instance, the New York branch m ig h t be required to redeem many of these notes outstanding? Prof. J e n k s . Probably it would. Senator H it c h c o c k . And when it made a redemption it would u se the gold in its own vaults to do so, I suppose? Prof. J e n k s . Yes. Senator H it c h c o c k . And then it would send those notes to Wash ington, would it not? Prof. J e n k s . It would send those notes to Washington, or wherever the Federal board directed it to send them, if those notes were re deemed the country over at the same time, so that it would not con tract the currency. The probability is that, in most cases, it would depend upon whether they followed Senator Nelson’s suggestion as to the absolute destruction of those notes. If so, those notes would be sent to Washington, to the Federal reserve board, and then be de stroyed. Otherwise they would be required to report from day to day how many of the notes they had redeemed; and those would be set aside and they would be credited accordingly. If they used up their gold reserve to a certain extent in that way that would have to be replenished, either from Washington or from other banks that were not redeeming notes to so great an extent. Senator H it c h c o c k . The Federal reserve board would have tele graphic reports each evening from all of the branches all over the country indicating the condition of the branch, would it not? Prof. J e n k s . Presumably it would. Senator H it c h c o c k . And it would itself be advised of the ebb and flow of exchange in various parts of the country, would it not? Prof. J e n k s . Yes. Senator H itchcock. And it would know the amount of paper re discounted at any branch? Prof. J e n k s . Absolutely. Senator H it c h c o c k . And the number of notes redeemed a t a n y branch ? Prof. J e n k s . Yes. Senator H it c h c o c k . And the amount of cash on hand at any branch, and the character of that? Prof. J e n k s . Yes. Senator H it c h c o c k . So that it would have under its control the absolute disposition of the exchanges of the country and the money of redemption? Prof. J e n k s . Absolutely; yes. Senator H it c h c o c k . I understand that you advocate the idea that the capital of this bank should be subscribed for by the various banks? Prof. J e n k s . That is, they should be given the first choice. If they did not take $100,000,000 of the stock I would open it up to private subscriptions. Senator H itchcock . Would it be of advantage to this country to prohibit banks from subscribing to this capital and having it sub scribed outside of the banks, so that $100,000,000 would actually be added to the banking capital of the country? Prof. J e n k s . I have heard that suggested, but I do not think that is necessary or desirable. 3192 B A N K IN G AND CU RREN CY . Senator H it c h c o c k . Would it not actually strengthen the banking situation of the United States and improve the security of every depositor if we added one-tenth to the banking capital of the United States? Prof. J e n k s . I do not think it would do so materially. I think there is plenty of capital now to secure those deposits. I think what secures deposits is not the amount of capital that might be sub scribed that way, which would be money taken out of other banks, and money taken out of other business. 'What secures deposits is good management and the proper disposition and handling of the reserves. Senator H it c h c o c k . Well, i f you take, say, $5,000 in capital out o f a small community, where it is earning perhaps 10 per cent, and send it to a center, where it would earn 5 per cent, have you not destroyed or impaired the efficiency of that $5,000 capital to that e x te n t ? Prof. J e n k s . I do not think so; because, in putting it into the central bank in this way you are giving that small locality certain advantages which it does not have—enough to offset any disad vantages that might result. Senator H it c h c o c k . But suppose you give that small community those advantages by bringing that money from some other place where there is a surplus. The small community does not make the sacrifice and it gets just as much advantage as if the money came from there. Prof. J e n k s . But if that bank in that small community subscribes to the central bank, the presumption is that that bank is nowTlarge enough to do its business fairly well, and do it well enough, and there is no reason why you should ask people in that community or elsewhere to draw money out of that bank and send it in to sub scribe to the capital of this central bank, or draw money out of other lines of business when you can give that bank advantages enough to make it afford that subscription. If you can not do that, the bank will not subscribe to the central bank. Senator H it c h c o c k . Well, if you allowed the $100,000,000 to be subscribed outside of the banks, would it not follow that that $100,000,000 would come from other sources, where there is an excess of capital, and where the money is now earning a small rate of inter est, and thus, instead of taking it from a place where it is earning a high rate of interest, you would draw it from those sources where it is earning only a small return? You would be getting it from comparatively poor people, who now have no good means of making a good investment, instead of taking it from people who have their capital all actively employed. Prof. J e n k s . It might come very well from that source. I think if you opened it to public subscription it would be to a considerable extent a matter of sentiment that would bring it into the subscrip tion; and I do not believe that any great proportion of it wmuld be taken from poor people who desired to invest small amounts. It might be that some persons would sell Government bonds and put the money into the capital of this bank. Senator H it c h c o c k . Personally I know a good many people who have a little money to invest; and where a man has only $1,000 or B A N K IN G AND CU RREN CY . 3193 $2,000 to invest he is afraid to invest in some securities; and he would be the one that would be likely to go into it. Senator R e e d . I think it would be snapped up by people who w e re afraid of banks and by people who have no means of investing; a n d they have $1,000 that they put in a bank and get 2 or 3 or 4 per cent interest on it. That, of course, would come out of the banks. I be lieve that $100,000,000 would be subscribed in 30 days by the public. Senator H it c h c o c k . I think so, too, from the very class of people that we want to get interested in the Government. Prof. J e n k s . My personal opinion of that I have already g iv e n . I think it would affect the efficiency of your system materially. Senator N e l s o n . It would give a better rate of interest than ra il* road bonds, which do not pay 5 per cent sometimes. Prof. J e n k s . That is true. Senator R eed . I have not felt satisfied. Prof. Jenks, that anybody yet has answered the objection that I raised, that it is the creation of a bank charged with the duty of maintaining the reserves for the other banks in the vaults of that bank; and the Vanderlip plan was to permit the obligations of the United States to be thrown upon the market for the purpose of maintaining that reserve. Now, I do not want that burden shifted onto the United States. I do not want the banks of New York to say, or the banks of Kansas City or any other place to say, “ We need $10,000,000 of gold.” If we do deplete this over there, the Government bonds are there, and under the law this board must put them upon the market. It would be a condition whereby a great bank—and I would like Senator Bris tow particularly to listen to this—whereby a great bank that wanted to act in a selfish and mean way could force Government bonds on the market at any time that it wanted to do so. Senator B r is t o w . Well, if that danger is in the bill, let us take it out. Senator R e e d . I am talking this proposed Vanderlip plan. Senator B r is t o w . I know. If that is there, let us provide against it. Senator R eed . I do not know how you will do it. Senator B ristow . We will do that. We will require the banks to provide the reserves. Senator R eed . In one case you will compel them to tear down their own house if they do this unjust thing and to tear down a reserve which they themselves must help maintain. But in the Vanderlip plan, just as surely as the sun rises, there is this thought: The Government creates a bank out of the Government's money and the peoples’ money, and they put into that bank Government bonds, and every time the gold gets low those bonds must be used to reinstate that reserve. Therefore any bank can go on and do business to suit itself, and a combination of banks if they wanted to, could force the issuance of bonds at any minute. ’ Senator B r ist o w . Well, Senator Reed, of course I do not think there is any danger. But to remove any possibility of it we can put a provision in the bill requiring the banks to maintain the "old reserve under conditions similar to those you describe just the same as----Senator N elso n (interposing). Mr. Chairman___ The C h a ir m a n . The Senator from Minnesota. 319 4 B A N K IN G AND C U R R E N C Y . Senator N elson . I ask that the bill, with the amendments Prof. Jenks has suggested, be printed confidentially for the use of the committee. Senator H itchcock . It need not be in confidence, need it? Senator R eed. With the parts he has added and the changes he has made indicated in the printing by different type. Senator N elson . Yes; in different type. The provisions of the original text of the bill can be printed in roman, and his suggestions can be printed in italics, and what is eliminated can be stricken out. The C h a ir m a n . I s it the pleasure of the committee that his amend ments to the bill be printed in the hearings, or separately for the use of those who desire to have it as a separate bill? The latter would seem to be better. Senator B ristow . That is all right. Senator N elson . And that the changes be shown by different type, as I have indicated. Senator R eed. Let us also have the Vanderlip draft printed in the same w ay. Senator N elson . Mr. Vanderlip has not submitted a form of bill. Senator R eed. That is true. Prof. J e n k s . Mr. Chairman, if I may keep this bill with my amend ments indicated until to-morrow morningj I should like to put it in better shape. The C h a ir m a n . Very well, the committee will have it printed when you have corrected it. Senator N elson . That bill is imperfect. It does not provide directly the steps by which the corporation is formed. Prof. J e n k s . Mr. Chairman, if there are no further questions by members of the committee, I should like to take five minutes more to suggest one other point that is a little different from this bill as I have read it here. The C h a ir m a n . What is the pleasure o f the committee? In the absence of objection, you may proceed, Prof. Jenks. Prof. J e n k s . What I was going to suggest was this: If, as a prac tical matter, it should not seem possible or desirable to establish a central bank, I think that many of the same results could be accom plished by increasing the powers of the Federal reserve board in sim ply two sections of the House bill, with here and there a few verbal changes in other places. There is often a great deal of difference shown in our own mental attitude, even by the use of the terms we use. Now, I am not proposing to put on a central Federal reserve bank here and simply disguising the name; but we can reallv accomplish many of the results desired by making a few changes in the House bill. I would suggest, for example, in section 7, where provision is made for the division of earnings, that this be inserted: In the calculation of surplus and profits the total capital and business o f all the Federal reserve banks shall be reckoned by the Federal reserve board as united into one fund, and such surplus and profits shall be distributed among the Federal reserve banks in proportion to their capital stock. We would then practically unite all of the interests of the dif ferent Federal reserve banks as regards their profit. Then in the section that provides the powers of the Federal reserve board, sec- B A N K IN G AND C U B B E N C Y . 3195 tion 12, I would amend paragraph (b) so that it would read in this way. The powers of the Federal reserve would be: To direct, at their discretion, the adm inistration of the reserves of the Fed eral reserve banks, all such reserves to be considered as one fund, and to be distributed among the Federal reserve banks by the Federal reserve board so as best to promote the safety of the banking system and the interests of the whole country. To this end, they may also require the Federal reserve banks to rediscount the discounted prime paper of other Federal reserve banks. The exercise o f this compulsory rediscount power by the Federal reserve board shall be sub ject to such interest charge to the accommodated bank as the board determines. Then I would add, at the end of section 12, as follows: The Federal reserve board shall have no dealings w ith the public or w ith the member banks except through the supervision and control of Federal reserve banks. Then add, at the end of section 13, the following: 4. The chairman o f said advisory council, or, in his absence, the vice chair man, may attend any and all meetings of the Federal reserve board and take part in its proceedings, but w ithout vote. The first two amendments I have just suggested would give the Federal reserve board the two powers that seem to me most essential. It gives to them the absolute immediate control of the reserves, just as the central bank would have. And it would also unite the in terests of all the different Federal reserve banks as regards the hand ling of the capital and as regards the profits. Those two things would in themselves go a long way toward the central-bank idea. I should prefer the central-bank idea, other things being equal. But if that should be impracticable, I think these amendments would be desirable. Senator R e e d . Will you, Prof. Jenks. add at the end of the amended bill which you have first suggested, these amendments? Prof. J e n k s . I wiil put these in also. The C h a i r m a n . Y ou can put that in as an alternative suggestion at the end of the bill you first suggested. Prof. J e n k s . Yes; as an alternative suggestion. The C h a i r m a n . And when you have finished your copy showing your proposed amendment, we will have it printed. Senator H it c h c o c k . I move that we adjourn until 10.30 o’clock to-morrow morning. Senator B r ist o w . Mr. Chairman, Senator Shafroth, Senator Reed, and myself have a very important committee meeting to-morrow morning, which we have postponed for a month now, and it is neces sary for that committee to meet in order to provide funds to run this committee. It is the Committee on Audit and Control of Contingent Expenses of the Senate. Senator P o m e r e n e . Prof. Jenks, we were discussing the question of a graduated discount rate, and in answer to a question by Senator Hitchcock you made a' statement somewhat to the effect that you would make the discount rate dependent upon the reserves? Prof. J e n k s . Yes. Senator P o m e r e n e . What do you mean by that; by what rule? Prof. J e n k s . A s the reserves grow lower—for example suppose your reserves have been running at 50 per cent and there ’has been not so much call for money from these different banks. 3 196 B A N K IN G AND CU R R E N C Y . Senator P omerene . D o you mean, now, the cash reserves? Prof. J e n k s . The reserves in the regional reserve bank, yes; and, of course, thev know what the conditions of all of the other banks are—the member banks. Suppose now their reserves have been run ning at 50 per cent, there has not been much demand for money, and the banks that come in for rediscounts have not demanded much. So they let them have rediscounts for 3 per cent. Then business gets stimulated. The reserves drop to 40 per cent; they are getting toward 35 per cent; and the business demands of the country are such that the banks are eager to get accommodations and the regional bank has lower reserves; it would then push up the discount rate to 4 and 5 per cent and even more. Senator P omerene . That is, making your discount rate depend upon the amount of money you have on hand, rather than the demand there may be for money ? Prof. J e n k s . N o ; it amounts to this: The amount o f money you have on hand is dependent almost entirely on the demand outside "for it. If a bank wants to strengthen its reserves, what does it do? It discourages people from taking loans, and it “ salts” its reserves down in its vaults. Senator P omerene . Oh, yes; I think I catch your point on that now. (The chairman of the committee presented the following docu ments for insertion in the record:) A. T. B o w e n & Co., B a n k e r s . N e w Y o r k , O c to b e r 18, 1913. l i o n . R obert L . O w e n . D ear S ir : I attended the monetary conference at Earl Hall, Columbia Col lege, October 15, and heard Mr. Joseph T. Talbert, vice president of the N ational City Bank, talk about the receipt and collection of bank checks. He said that it cost the New York City banks more than $2,000,000 a year to colcollect country bank checks, and that it w as honest, just, and fair to make a charge to the holders o f these checks— at least as much as it cost the banks; that these checks were generally sent out to avoid the premium charged by country banks for drafts on city banks; that if the drawers of said checks wanted to make rem ittances they should go to their country bank and bny drafts on city banks. That the charge for exchange on drafts and checks and for collecting country checks, w as as ju st and fair as the charge for interest on money loaned. That there w as ju st as much reason to say that banks should loan money w ithout interest, as that they should collect country checks w ithout charge. Now, I don’t doubt, but Mr. Talbert believes w hat he said. He has been trained that way, he has expressed his opinion that w ay so often that he really believes it is the truth. It is the same old song, but it is a very poor one. It seem s to me that anyone who looks at the check business w ith an unbiased mind from all sides, w ill see that Mr. Talbert is wrong. Delphi, Ind., is my native town, w here my father had been transacting a banking and other business for 53 years prior to his death in 1890. I came to New York in 1892, but still continue the banking business at Delphi. Soon after coming to New York I w as in the Ninth National Bank and con versing w ith H. H. Nazro. the cashier. He s a id : “ Why, people come in here w ith $10,000. $15,000, and $20,000 worth of count ry*bank checks and want us to give them credit for th em ; no bank can afford to run that w a y ; why, we have $500,000 of our money in country-bank checks all the time.” I said. “ You just look at that from one side, Mr. Nazro; you have some $8,000,000 or $9,000,000 o f the people’s money on deposit all the time, perhaps one-half of it drawing no interest and the other h alf not to exceed 2 per c e n t; why is that money kept on deposit with you for so little interest when it could readily be loaned" at 5 to 6 per cent? It is because the depositors can draw their checks against such deposits and send them all over the United States and pay B A N K IN G AND CU B R E N C Y . 3197 their bills w ith them w ithout cost or expense or friction, and these checks are taken up by the banks throughout the United States w ith their own money, usually at par, and sent back to New York and deposited. Now, if it were not for the bankers and the people receiving your checks, instead of de manding the money due them, and keeping the checks afloat, you would not have h alf the deposits you now have. Now, out in Indiana we have been taking checks on New York banks at par for more than 40 years and sending them back to New York for deposit, and the New York banks have never fur nished us one dollar of money to help do such business.” H e replied, “ W ell, you And your New York exchange when you get it very available, don’t y o u ? ” I answered, “ Well, w e find it about this a v a ila b le: We have sold New York exchange to our customers at par for more than 20 years. Whenever there is a large corn, wheat, oats, or hog crop to be sold it is largely paid for in New York exchange, for a large part of which the money is wanted by the holders of the New York exchange, and we soon run out of money and have to send New York exchange aw ay and have money shipped in by express at not less than 40 cents per $1,000. Then, after losing our time, trouble, interest on our money, and express charges, we are just back where we started from. Then when our checks are presented (in volume less than one-fourth of the New York checks presented to us and handled by us w ithout charge) to New York banks, instead of treating them in the same courteous manner, they tell the holders they can not afford to handle them w ithout pay, although w e are at all tim es w illing to pay them in New York exchange at par on presentation.” H e made no reply. Now, Mr. Talbert estim ates that the banks in the United States having $17,000,000,000 on deposit would have $850,000,000 of checks constantly outstanding. H e estim ates it costs the banks $8,675,000 a year to handle these checks, which he thinks would be a great burden unless they got paid for it. Now, what does $850,000,000 of checks constantly outstanding mean? It means that the banks, at least, have constantly the use of $.850,000,000 of the people’s money (w orth 5 per cent interest, or $42,000,000 per year) on which they pay little or no interest. It really m eans they have the use o f a much larger amount at a very small rate of interest. Paying and collecting the checks and keeping account of same is the principal part of the work the banks do for the depository. If it costs $8,675,000. or even tw ice that sum. to get the constant use of $850,000,000, worth even, say, 4 per cent, or $32,000,000 a year, is it not a good paying business? But it m eans much more profit than that; it means that the banks have $17,000,000,000 of deposits, on which ( if I remember correctly the state ment compiled by the Comptroller of the Currency a few years ago for the Monetary Commission, which report I have in Indiana, but not here) they pay interest to the depositors averaging less than 14 per cent. Can not the banks well afford to do $8,675,000 worth of work for said depositors in handling their checks, or two or three tim es that amount of work if necessary? I believe debts should be paid at 100 cents on the dollar and not at 99f cents, or any other fraction of a cent less than 100 cents. If debts are to be paid at 100 cents on the dollar, then the medium o f exchange in which they are paid, whether it be currency and coin or checks, must be handled by the banks and the people w ithout charge or im m ediate profit. Checks can be handled by the banks at par at less expense and w ith more profit in the w ay of increased deposits and interest on same than currency or coin. All checks can be paid by banks in New York exchange at par w ith less expense and less liability of making mistakes, and more chance of getting same corrected when made, and w ith more profit than w ith currency or coin. I believe banks have a right to charge a premium for New York exchange if they so desire; I believe banks have a right to receive money on deposit and charge exchange or discount or a premium for paying checks drawn on same, providing there is a clear understanding to that effect when the deposit is made, but I do not believe it is an honorable business for a bank to receive money on deposit and inform the depositor that his checks are worth par or can be used nny place, and then when presented by mail refuse to pay them at par in exchange which the holder can use at par. I believe that whenever the banker receives deposits and m akes such representations to the depositor he is in honor bound to see that the party or parties receiving such checks lose nothing in so doing. About 9 or 10 years ago w e got all our certificates of deposits and checks for the bank at Delphi printed payable in New York exchange and a contract printed on the pass books that the deposit should be paid in New York exchange, giving 3198 B A N K IN G AND C U R R E N C Y . no option to the depositor to demand payment in money. There were then two other banks in Delphi and they both refused to take New York exchange for the checks they received on our bank or to give New York exchange for the checks received by us on them. I tried various methods to try to give and receive New York exchange instead of money for several months. I had talked w ith several bankers before a s to whether it would hurt the business to get obligations printed payable in New York exchange and then refuse to pay money for th em ; some thought it would, others that if we did w e would lose a lot o f deposits, and others didn’t know. Well, after trying it for several months and making no headway, both the cashier and the assistant cashier of our bank said, “Well, you might as w ell give that up; you w ill never get either of those banks to either give or take New York exchange, a s they are too stubborn.” But I said, “W ell, it don’t look very encouraging, but I w ill try it a little louger.” It w as but a few months longer when they were both giving and receiving exchange w ith but little friction. That greatly reduced the am ount of money necessary to be kept in our safe. We have kept up the prac tice ever since, and for the past 7 or 8 years have generally carried less than 1 per cent o f our deposits in idle cash in our safe, instead of about 8 or 9 per cent carried by the average country national bank. We have given our depositors what w e have saved by the more economical use of idle money, in the way of increased interest on deposits. Our deposits have increased in the past 8 years as much as those of all the other 12 banks and trust companies in the county combined. Our deposits now (in a town of a population o f 2,161) are larger than those o f any other private bank in Indiana, larger than any private, national, State, or savings bank or trust company in any town in Indiana w ith not more than tw ice the population of Delphi. I believe the part of section 17 of the proposed new bank law requiring Federal reserve banks to receive checks on deposit at par w ill, if it becomes a law, do much good, And if it brings about the result of inducing all banks in the U nited States to receive a t par all checks which can fairly be used at par and refuse to receive at any price those which can not be fairly used at par, in a few years those bankers who met in Boston a few days ago w ill have their deposits so increased that they w ill be well satisfied w ith the change. If you read this letter and are interested in it, please let me know and, if you desire it, I can give you many more details in the sam e line, and if you think these ideas are of no value, please also let me know by return mail, and oblige, Very truly, yours, A b n e r T. B o w e n . [E xtracts from the Boston Journal, October, 1913.] T H E CURRENCY BILL. T o th e E d i to r o f th e B o s to n J o u r n a l: Senator Owen, at the City Club last evening, presented the spectacle of a magnificent, splendidly magnetic, and supremely skillful avoider of issues. H is side-stepping w as superb. When he w as asked where the gold w as to be found to secure the proposed currency he not only confused gold reserve with gold certificates and asserted that the existing gold reserve constitutes an idle and useless fund, but made the astonishing statem ent that there is on deposit in the banks of the United States 1,100 million dollars in gold. When one o f the most eminent, if not the most eminent, of New England financiers, a man whose advancing years only add to his already amazing record o f public service and testim ony to his great mental and moral equipment, asked the Senator from Oklahoma why it would not add to the admitted value o f the currency measure to put the Federal reserve board on a plane sim ilar to that of the Supreme Court, the members o f which are appointed by the President for life, Mr. Owen replied with deplorable flippancy. “ Men live too long.” H e elaborated this remark by a fatuous statem ent that age brings in firmity, and each failin g that he mentioned in his enumeration w as only saved from "being an insult because it w as ludicrous in contrast w ith the brilliancy of the venerable questioner. H e did not specify which o f the mature minds which do honor to the Supreme Bench is so afflicted. H e admitted w ith be- B A N K IN G AND C U R R E N C Y . 3199 coming humility the excellence of that body for its purpose, w ithout calling attention to the interesting fact that the Supreme Court is composed of law yers to interpret law, w hereas the proposed reserve board is to present the edifying spectacle of supreme power in American finance administered by political ap pointees who may or may not have had, with one exception in seven, any pre vious experience in the intricate and delicate business. Mr. Owen cogently deposed that although one bank may and does handle w ith reasonable efficiency the business of a Germany, a Great B ritain, or a France, yet any o f these nations could be set into the Empire State of T exas w ithout causing a tightening of its boundaries. There was, of course, no men tion of the comparative volume of business handled. It is small wonder that the sober business minds of America are brought to a pause when m atters of so great and vital importance are intrusted to men who bring to their stupendous task flippancy when they see, charged w ith the mission of defense and explanation, an artful dodger. X. Y. Z. B o st o n , O c to b e r 84, 1913. T H E CURRENCY BILL. To t h e E ditor of t h e B oston J o u r n a l : Perhaps I may be permitted to illum ine the subject of the currency discussion at the City Club and the issue raised by your correspondent in Saturday’s paper who signs X. Y. Z. W hile statem ents can not be made too strong in protest against political con trol of all our commercial credits and banking and currency issues, I think it is due to Senator Owen to say that the question I presented to him at the City Club a s to where the gold was to come from to back up the proposed currency schem e w as more embarrassing than would appear on the surface. Gold discount m arkets are very little understood. England has m aintained her financial supremacy and her gold base by an international discount market, in which between 2,000 and 3,000 m illions in short-term b ills are alw ays in Lon don a s the financial center of the world, and these can command gold, or the cotton, coffee, and o her merchandise behind them can be sold right out of the warehouse for gold, in any quarter o f the world. It is this gold base in the international bill market that gives London com mand of the gold w ithout having it either in the Bank of England or even in the island of Great Britain. In the past few years Berlin, Paris, and Vienna have started to set up discount markets of their own to rival England, but alto gether, outside of London, they can not get in Europe one-half, and possibly not one-tliird, the strength of England. Indeed, the Reichsbank of Germany is continually buying bills in London in the vain hope of being able to command the London supply. But she makes little progress in getting the gold into her own country, for the moment she calls for gold in payment of b ills London demands the gold from South America or some other quarter doing business w ith Ger many, and there is an im mediate offset. Now, the question I put at the City Club to Senator Owen w a s: “ W here are you to get your gold upon which to bank your currency legislation? You do not command it of the banks. The U nited States Treasury has not more than $100,000,000 of free gold and the discount market from which you expect to get it is yet to be established. Whence, therefore, w ill come your gold b a sis? ” Senator Owen responded most eloquently that there w as a billion of gold in the United States Treasury. Of course, everybody knew that this w as w are house gold, but most people do not know that $700,000,000 of the warehouse certificates are in the pockets of the people. In fact, anybody carrying $25 and $50 in his pocketbook w ill usually find a m ajority of it gold certificates. Not one person in a hundred ever notices that the m ajority of his pocket money is in reality gold, title to which he holds through a warehouse certificate in stead of a banking certificate. Senator Owen further claimed that the banks w ill put in gold and that the ability of the Government to command gold should not be questioned. This is what your correspondent calls “ side-stepping.” Senator Ow’en could not, o f course, explain from that platform th at he has in mind a plan for the issue of Treasury gold notes to take up both the green backs and the gold certificates, which he later explained to me and which, if it * 3200 B A N K IN G AND CURREN CY . were inaugurated by the Congress of the United States in connection w ith its currency legislation, would put a back-log of gold under our banking discount and currency system that would make the United States invincible before all the world in any expansion that might be projected from such a gold base, for under Senator Owen’s plan more than one-sixth of all the money gold in the world might find free lodgment in the United States Treasury to be used only in stress or necessity, when the Treasury might have to come, in the form of gold notes or gold metal, to the support of the national banking system. In England the first thing the governor of the bank does in tim e o f financial peril is to get the authority of the prime minister to suspend the bank act, which m eans power to issue unlimited Bank of England notes upon the existing reserve, to stay the hand of panic or financial fright. 1 w rite this in ju stice to Senator Owen, to whom the members o f the City Club should be doubly grateful for his acceptance of Mr. W inship’s invitation to address them and discuss any problems in connection w ith the proposed cur rency legislation they might present. Very truly, yours, C l a re n c e W . B arron . B o st o n , O c to b e r 27, 1918. (Thereupon, at 4.35 p. m., the committee adjourned until to-mor row, Tuesday, October 28,1913, at 10.30 o’clock a. m.) (The further proceedings of the committee were had in executive session.) INDEX. [Roman numerals indicate volume of hearings.] Aisthorpe, J. S. (vice president, Illinois Bankers’ Association, Cairo, 111.) : ra&eT e s ti m o n y __________________________________________________ in , 2194-2202 Checks and drafts, exchange at par by Federal R eserve B anks--------h i, 2194-2202 Currency bill, am endm ents-------------------------------------------------- in , 2196, 2199 Aldrich-Vreeland A ct: Commercial paper under, W illis, H. P ------------------------------------------ h i , 3035 Dangers under, Hulbert, E. D ------------------------------------------------------- n , 1119 Emergency measure to take place of, Fisher, Irving----------------------- n , 1130 Interest rates, W exler, Sol---------------------------------------------------------I, 329-330 Mobilization of reserves under, Untermyer, Sam uel_____________ I, 872, 873 N ote issue, Ailing, N. D ------------------------------------------------------------------ I, 419 Objections— Fowler, C. N _________________________________________________ i i , 1903 H ill, E. J __________________________________________________ I, 269, 271 Sprague, O. M. W _____________________________ 1,510,512-513.552-553 Wade, F. J ____________________________________________________ 1 , 177 W exler, Sol_____________________________________________ 1,57,337-338 Statem ents relating to— Berry, W. H _______________________________________________ 1,627-628 Conant, C. A _______________________i i , 1410,1435,1436,1437,1445,1446 Swinney, E. F _________________________ '_____________________in , 2050 S e e a ls o Banking system, P resen t Allen, W illiam H. (Brooklyn, N. Y.) : T e s t i m o n y _______________________________________________________________________________________________ I , 375-382 Concentration of money in New York___________________________ i, 375-382 Panic of 1907______________________________________________ I, 377, 381-382 Ailing, Newton D. (vice president, National N assau Bank, New York C ity) : T e s t i m o n y --------------------------------------------------------------------------------- i, 406-456 Aldrich-Vreeland Act, note issue----------------------------------------------------------- i, 419 Bank notes, retirem en t--------------------------------------------------------------i, 452—454 Banking system, Present, improvements suggested---------------------- 1,407-408 Central Bank— Note is s u e ------------------------------------------------------------------------i, 419 R eserves----------------------------------------------------------------------------- I, 454-455 Currency— Contingent-------------------------------------------------------------------------- 1,409-411 Elasticity, how obtained------------------------------------------------------------------ i, 411 E xpan sion ---------------------------------------------------------------------------------------- i, 408 Redemption b a s is ----------------------------------------------------------------------------- i, 407 Federal R eserve Agents, duties---------------------------------------------------------------- i, 417 Federal Reserve Board,personnel----------------------------------------- 1,449,450-451 Federal reserve notes, issue------------------------------------------------- 1,408,417^418 Cermany. Reichsbank of, contingent currency---------------------- 1,409, 410-411 Member Banks— Capitalization of deposits---------------------------------------------------- i, 422-423 Membership in Federal reserve system ------------------------------- i, 449-450 Subscription to Federal reserve banks, effect upon circulation of currency----------------------------------------------------------------------- 1,414-415 Redemption, Federal reserve notes redeemable in one m etal_____________i. 413 R e s e r v e a n d C u r r e n c y P r o b le m s , S u b s t i t u t e f o r C e n tr a l B a n k ___ i, 426-446 3201 3202 INDEX. Ailing, Newton D.— Continued. Reserves— Page. Comparison under Sherman Act of July 14, 1890, and under pro posed b ill________________________________________________ 1,412-413 Federal Reserve B anks____________________________________ i, 406-456 Mobilization of, meaning______________________________________ i, 407 Amberg, W illiam A., O u t l i n e o f P l a n f o r F u n d i n g N a t i o n a l D e b t a n d f o r M a i n t a i n i n g E l a s t i c R e s e r v e C u r r e n c y _____________ h i . 2435-2441. 2447-2449 American Bankers’ A ssociation : Currency bill, amendm ents________________________i, 6-24,112-121, 668-674 D elegates to Chicago Conference_________________________________ i, 21-24 Letters expressing view s upon proposed bill___________________ i i , 1177-1183 Rediscounting, amendment to proposed b ill__________________________ i, 450 R e p o r t____________________________________________________ i, 5-24,42. 739 Bagehot, Walter, L o m b a r d S t r e e t , extracts from _________________ 1,64,130-131 Baldwin, W. W. (vice president, Chicago, Burlington & Quincy Railroad Co., Burlington, Iow a) : T e s t i m o n y ________________________________________.__________ in . 2131-2137 Banking system. Present, defects_________________________________ in . 2131 Currency bill, objections______________________________________h i , 2132-2133 C u r r e n c y r e f o r m _____________________________________________ in , 2133-2137 Federal Reserve Board, personnel________________________________ h i , 2132 Banfield, N. F. (vice president, F irst National Bank, Austin, Minn.) : T e s t i m o n y ____________________________________________________in . 2449-2452 Currency bill, amendm ents___________________________________ in , 2450, 2452 Farm loans, short-time lim it objectionable____________________in , 2449-2450 Rediscounting, objections________________________________________ in , 2452 Bank a sso cia tio n s: Power to issue and rediscount notes, Sprague, O. M. W _________ I, 553, 554 S e e a l s o Clearing-houses. Bank exam inations, defects under proposed bill, Untermver. Sam uel___ n, 1321-1322 Bank exam iners: Appointment and duties— Flannagan, W. W__l_________________________________________ I, 796, 797 Marshall, F. E _____________________________________________ 1,481-484 Scott, J. T ______________________________________________ i i . 1648-1649 Compensation, Flannagan, W. W ____________________________________ I, 798 Bank n o te s: E lasticity. W exler, Sol______________________________________________ i, 335 F ive per cent redemption fund, H ill, E. J ___________ I, 258-263. 265. 266, 273 Issue of. Fowler, C. N __________________________________ n , 1870,1875.1S81 Legal tender, benefit or detriment, Reynolds, G. M______________ i, 293-294 N ecessity for, Frame, A. J _____________________________________ i, 725-726 Redemption— Flannagan, W. W __________________________________________ i, 781, 782 Fowler, C. N _______________________________________________________ n , 1914 H ill, E. J ______________________________________________ 1,258-268,273 Marshall, F. E________________________________________________ i,4 8 1 Reynolds, G. M____________________________________________ 1,295-296 Rhodes, Bradford_____________________________________________ in , 3011 Untermyer, Sam uel_________________________________________I, 881-898 Retirem ent— Ailing, N. D ______'_________________________________________i. 452-454 Berry, W. H ___________________________________________ 1,568,594-595 Cannon, J. G---------------------------------------------------------m , 2175-2176, 2178 Comstock, A. H ____________________________________________________ n , 1054 Dawson, A. F ___________________________________________ m , 2127-2128 Fisher, Irving----------------------------------------------------------------------------------n , 1136 Fowler, C. N ------------------------------------------------------------------------------------i i , 1908-1909 H ill, E. J ---------------------------------------------------------------------------- i, 258-263 Jenks, J. W---------------------------------------------------------- h i . 2567, 2570, 2572 Marshall, F. E ________________________________________________ i. 465 Rhodes, Bradford-------------------------------------------------------------------- m , 3008 Rogers, G. W-------------------------------------------------------------------in , 2248-2250 Shibley, G. H ---------------------------------------------------------------------------------- n , 1762 Sprague, O. M. W ----------------------------------------------------------------------------------------------- i , 558 INDEX. ► Bank notes—Continued. Security— Berry, W. H ___________________________________________________ I> Reynolds, G. M------------------------------------------------------------------------298 State Banks hold as reserves, Wade, F, J ----------------------------------------129 Substitution for legal-tender notes. Sprague, O. M. W --------------------- i, 558 S e e a l s o Federal reserve notes— Note issue— Redemption. Bank of Belgium. S e e Belgium, Bank of. Bank of England. S e e England. Bank of. Bank of Netherlands. S e e Netherlands, Bank of. Bank statistics: Abstracts of Comptroller’s reports---------------------------------------------------------- n , 1213-1220 T able______________________________________________________ m , 3009-3010 B an k in g: Independence of each bank maintained, Dawson, A. F ----------m , 2087-2088 N ational system necessary. Dawson, A. F ------------------------------ h i . 2087, 2099 Reforms needed, Fowler, C. N ---------------------------------------------------------------- i i »1917-1931 S o m e F a c t s v e r s u s F a l l a c i e s in B a n k i n g R e f o r m , by A.J. Frame_ i, 730-738 Statem ent relating to general system, Conant, C. A -------------------------------- i i ,1379-1407 Suggestions for system, Sprague. O. M. W --------------------------------- 1,555-558 Supervision by Government, Gilbert, A lexander-------------------------- h i , 2822 B a n k i n g R e f o r m i n t h e U n i t e d S t a t e s , by O. M. W. Sprague-------------------- i, 555 Banking system, P r e se n t: Advantages of— Berry, W. H ----------------------------------------------------------------------- i, 566-567 Comstock, A. H ------------------------------------------------------n , 1050-1051,1058 Frame, A. J ------------------------------------------------------------------------------- i» 709 Kenaston, F. E -------------------------------------------------------------------------n , 969 Amendments to— Claflin, John------------------------------------------------------------------------------- i, 547 Daniel, T. C____________________________________________ 11,1172-1178 W exler, Sol--------------------------------------------------------------------------------- i, 336. Competition under, compared w ith European banks, Untermyer, Sam uel____________________________________________________________ i, 836 Currency, elasticity— Fisher, Irving---------------------------------------------------------n , 1138-1139,1141 Frame, A. J ____________________________________________________ i, 696 D efect s__ Baldwin, W. W _______________________________ _____________ in , 2131 B assett, J. C____________________________________________ n , 1670-1671 Berry, W. H _______________________________________________ 1,562-566 Bucholz, W. H _______________________________________________ h i , 2428 Cannon, J. G_________________________________________________ in , 2170 Claflin, John________________________________________________________ i, 546 Dawson, A. F __________________________ in , 2084, 2085, 2088-2089, 2099 Fisher, Irving______________________i, 803-807 ; n , 1130,1138-1139,1141 Forgan, J. B ------- ---------------------------------------------------------------------- i, 27 Frame, A. J ________________________________________________________ i, 686 French, N athaniel_____________________________________________ in , 2070 Frenzel, J. P _____________________________________________ n , 1628-1631 Gilbert. A lexander____________________________________________ h i , 2752 Hepburn, A. B _______________________________________________ i, 30 Jenks, J. W _________________________________ in , 2552-2553, 2614-2615 Kent, F. I ___________________________________________________ in , 2977 McMorries, Edwin________________________________________ n , 1589,1590 Montgomery, S. B _______________________________ .'___________ in , 2193 Rhodes, Bradford_____________________________________________ h i , 3004 Scott, J. T ____________________________________________________ n ,1 6 4 9 Simmons, W. D _______________________________________________ in , 2484 Sprague, O. M. W _________________________________ 1,358-361,512-513 Swinney, E. F ________________________________________________ in , 2041 Vanderlip, F. A _______________________________________________ in , 1947 W exler, Sol____________________________________________ 1 ,7 1 ,7 4 ,7 5 .7 7 W illis, H. P _____________________________________________ n i,3 0 8 4 -3 0 8 5 Favorable to— Dawson, A. F _________________________________________________ in , 2083 Gilbert, A lexander_______________________________________in , 2815, 2817 Lassen, A. C______________________________________ in , 3114, 3115,3119 3204 IN D EX . Banking system , Present— Continued. Paw. Improvements suggested. Ailing, N. D __________________________i, 4 0 7 ^ 0 8 Objections, Moehlenpali, H. A ____________________________________ n , 1564 Rediscounting, Fowler, C. N _______•__________________________xi, 1S88-1890 Relation of finaiiciai interests to banks, Untermyer, Sam uel________i, 830 Reorganization not necessary, Hulbert, E. D _____________________ n , 1123 R eserves— Berry, W. H ____________________________________________________ I, 600 Dawson, A. F _______________________________________________ h i , 2111 Statem ents relating to— Berry, W. H ____________________________________________________ I, 596 Fisher, Irving______________________________________________ 1,803-807 Tables— Comparison of Owen bill and present law __________________ 1,613-617 Showing conditions, June 30, 1912_______________________________ i, 563 B a n k s: Tables— Aggregate loans, resources, capital, and deposits for fiscal years 1908 to 1912, o f banks reporting to Comptroller of C urrency, h i . 2189 Comparison a s to earning capacity under present law and under proposed bill-------------------------------------------------------------------------------- ill. 3130-3132 Estim ated effect of provisions o f proposed bill upon banking interests_________________________________________________________ ii i ,3132-3.138 Summary of reports of condition of 25,195 banks, etc., June 14, 1912_____________________________________________________________ i i i ,2188-218# Barry, David (cashier, F irst National Bank, Johnstown, P a.) : T e s t i m o n y ------------------------------------------------------------------------------------------- i i i ,2321-2334 Reserves, Federal Reserve B anks----------------------------------------------------------m , 2321-2334 B assett, J. C. (president, Aberdeen N ational Bank, Aberdeen, S. D ak.) : T e s t i m o n y _____________________________________________________________ n , 1657-1682 Banking system , Present, defects----------------------------------------------------------- n , 1670-1671 Checks and drafts, exchange at par by Federal Reserve Banks_____ii , 1663, 1664-1665 Country Banks— Membership in Federal reserve system optional______________ u , 1669 Objections to proposed b ill__________________ i i , 1657,1662-1663.1669 Currency bill, amendm ents_____________________________ i i , 1676,1680-1681 Farm loans— B asis of currency issue opposed_____________________________ i i , 1668 Limit should be increased_______________________________ i i , 1667,1668 Federal R eserve Banks, directors_________________________________ n , 1678 Government in banking business__________________________________ n , 1678 National Banks, charters dissolved_______________________________ n , 1669 Belgium, Bank o f : Tables— Interest___________________________________________________ I, 537-542 Reserves of actual gold versus notes only, versus notes and de posits against deposits only________________________________ i, 456 Berry, W illiam H. (collector o f customs, Pa., Chester, P a.) : T e s t i m o n y _____________________________________________ I, 560-582, 586-655 Aldrich-Vreeland A ct____________________________________________ i, 627-628 Bank notes, retirem ent____________________________________ i, 568, 594-595 Banking system , Present— A d van tages_________________________________________________ i, 566-567 D e fe c ts _______________________________________ 1,562-566, 624-625, 635 Statem ents relating to -------------------------------------------------------------- i, 596 Credit— E x p a n sio n ____________________________________________________ i, 569 Extension lim ited by reserves______________________________ i. 562-563 Provisions under proposed bill__________________________ i, 617-619, 620 Currency— Based on gold____________________________________ I, 590, 591, 592, 593 C on traction___________________________________________________ i, 603 E la s tic ity __________________________________________________ 1 , 573, 574 Issued by Government should be legal tender____________________i, 591 England, Bank o f_________________________________________________ i, 642 Federal Reserve Banks,opposition to ___________________________ i, 595, 596 IN D EX . 3205 Berry, W illiam H.— Continued. Federal reserve notes— Page. Government bonds pledged a s security-------------------------- i, 589-590, 593 Legal ten d er_________________________________ i, 589, 593, 619, 620, 621 Member Banks, subscription to Federal Reserve B anks------------- i, 612-613 National Banks— Bond-secured currency_________________________________________ i, 568 R eserves___________________________________________ 1,570-571,599,600 National Monetary Commission, recommendations of 1912--------------- i, 601 Note issue— Bank or association not to issu e----------------------------------------------- I, 594 By Government, advocated------------------------------------------------------- i, 568 R eserve associations, no tax on----------------------------------------------- i, 595 Panic of 1873---------------------------------------------------------------------------------- i, 564 Panic of 1893---------------------------------------------------------------------------------- i, 564 Panic of 1 90 7 ______________________________________________________ I,565 Price level_________________________________________________ i, 640, 641, 642 Redemption— E x p la n a tio n _______________________________________________ i, 575-585 Five per cent fund--------------------------------------------------------------i, 576-577 Rediscounting, commercial paper and farm mortgages as b asis______ i, 571 572, 573 Reserve associations— Governmentdeposits in__________________________________________ i, 596 Opposition to----------------------------------------------------------------------------- i, 600 Reserves— Banks of United States____________________________________ i, 562-566 Mobilization of, will furnish added basis for rediscounting______i, 613 R eserve cities and central reserve cities, under present bank ing sy s te m _____________________________________ I ___________ i, 600 Restored by bank-note redemption_________________________ i, 575-576 Shafroth b ill_________________________________________________________ i, 605 Blinn, Charles P. (president, M assachusetts Bankers’ A ssociation, Boston, Mass.) : T e s t i m o n y ---------------------------------------------------------------------------- i i , 1178-1220 Central Banks— Loans restricted by Federal R eserve B anks__________________________ i i ,1189-1191 R eserv es------------------------------------------------------------------------------------------n , 1187-1188 Checks and drafts, medium o f exchange_____________ :_____________ i i , 1205 Country Banks, benefits not received under proposed system__ i i , 1184-1185 Open-market operations, explanation__________________________ n , 1198-1200 Panic of 1907-----------------------------------------------------i i , 1191-1198 Bolton, ,T. W. (president, The Rapides Bank, Alexandria, La.) : T e s t i m o n y ----------------------------------------------------------------------------- i i , 1571-15S3 Central Bank, favorable to------------------------------------------------------------ i i , 1571 Checks and drafts, exchanged at par by Federal Reserve B a n k s, i i , 1565-1567 Currency bill, objections----- n, 1571, 1572, 1573, 1574, 1577, 1578, 1579, 1582 Federal Reserve banks, number----------------------------------------------------- i i , 1571 Federal R eserve Board— Government control---------------------------------------------------------- i i , 1579-1580 P o w e r s ---------------------------------------------------------------------------------- i i . 1582 Federal reserve notes, Government issue unnecessary_____________ i i , 1572 Member Banks, subscription to Federal Reserve B anks optional__ n , 15721573,1575 Reserves, Member B anks_______________ i i , 1574-1575,1577-1579,1580-1581 State Banks, loans______________________________________________________ i i ,1576-1577 Bonds, held in trust for National Banks. September 13, 1913______________ i, 657 Bonds, Refunding of: Converting 2 per cent bonds into one-year Government notes— Vanderlip, F. A ______________________________ in , 1939-1943,1999-2001 Currency bill, proposed amendments for paying off 2 per cent bonds— Conant, C. A _______________________________________________________ i i ,1420-1421 Objections, 2 per cent bonds— Cannon, J. G ________________________________________________ i n , 2151 Dawson, A. F ____________________________________________ in , 2118-2119 Fowler, C. N _________________________________________ ________ i i , 1870 Frame, A. J ______________________________________________________________________ i , 729-730 S. Doc. 232, 63-1—vol 3----- 81 3206 IN D EX . Bonds, Refunding of—Continued. Objections, 2 per cent bonds— Continued. Page. Ingle, W illiam ____________________________________ in , 2376-2377, 2411 Jones, G ordon___________________________________________in , 2260-2272 M arshall, F. E _____________________ _______________________ i, 477-480 Morawetz, Victor__ :___________________________________ in , 2684-2685 Rogers, G. W ------------------------------- --------------------------------- m , 2248-2250 • Thomas, C. S _________________________________________________ in , 2433 W illis, H. P _________________________________________________ n i.3 0 6 8 Refunding provision of 1900, Dawson, A. F _________________ in , 2083-2084 Value of 2 per cent bonds, W illis, H. P ---------------------------------- in , 3024, 3026 Boston Clearing House, letter from Benjamin Joy relating to__________ in , 3129 Bowman, Henry H. (president, Springfield National Bank, Springfield, M ass.) : T e s t i m o n y _____________________________________________________________ n , 1225-1248 Central Bank, favorable to------------------------------------n , 1225-1226,1228,1237 Country Banks, compulsory subscription to FederalReserve B an k s, n , 1230 Currency bill, amendm ents_____________________________________________ n , 1240 Federal Reserve Banks, objections to____________________________________ i i ,1226 Federal R eserve Board, Government v . Presidential control_______________n , 1233 Federal reserve notes, redemption_______________________________________ ii ,1240-1247 Note issue, objections to Government issuing notes____________ n , 1226,1227. Branch b a n k s: Central Bank, Jenks, J. W ___________________________________ in , 3159-3160 Directors, Jenks, J. W ________________________________________ h i , 3159-3160 Brandt, T. R., memorial on rediscounting under proposed b ill_____in , 2883-2886 Bryant, A. B., letter relating to Country Banks not benefited under pro posed bill____________________________________________________________ iii . 2137 Bucholz, W. H. (vice president. Omaha National Bank. Omaha, Nebr.) : T e s t i m o n y __________________________________________________ iii , 2419-2432 Banking system, Present, defects__________________________________ iii , 2428 Central Bank, favorable to________________________________________i i i , 2429 Checks and drafts, exchange at par byFederal Reserve B anks______ m , 2431 Federal Reserve Banks, number___________________________________ iii , 2429 Government in banking business___________________________________ iti, 2429 Loans, contraction under proposed b ill______________________in , 2420, 2423 Member Banks, membership in Federal reserve system optional___ in , 2420, 2424-2425 C an ad a: Banking system — Frame, A. J _______________________________________________ 1,707-709 Jenks, J. W__________________________ ill, 2577, 2578-2579, 2581, 2613 Morawetz, V ic to r ________________________________ i ii , 2639-2642. 2662 Note issue, Sprague. O. M. W__________________________________ i, 508-507 Cannon, Jam es G. (president o f F ifth N ational Bank, New York, N. Y.) : T e s t i m o n y _________________________________________________ i i i . 2138-2191 Bank notes, retirem ent_______________________________ in , 2175-2176, 2178 Capitalization, National B anks_____________________________ i ii , 2182-21S4 Central Bank, favorable to_________________________________ in , 2168. 2170 Country Banks, objections to proposed b ill__________________ in , 2176-2177 Currency bill— Amendments to proposed b ill______i ii , 2140, 2141, 2150, 2151, 2154, 2162 D efects of proposed b ill--------------------------------------------------------- in , 2139 Merits o f proposed b ill---------------------------------------------------------- in , 2148 Currency elasticity, present banking system ---------------------------------in , 2170 D efects o f present banking system _______________________________ in , 2170 Federal Reserve Banks, number____________ in , 2141-2142. 2165, 2168, 2171 Federal R eserve Board, personnel___________________________ in , 2139-2140 Federal reserve notes, issue o f______________________________ in , 2140-2141 Member Banks, subscription to Federal Reserve B anks------- in . 2182-2184 Note issue, Government__________________________________________ m , 2140 Objections to refunding 2 per cent bonds_________________________in , 2151 Objections to short-time commercial paper__________________ in , 2176-2177 Redemption, Federal reserve notes_______________ ii i , 2140-2141, 2163-2165 Reserves, Federal Reserve B anks___________________________ i i i , 2148-2150 Savings departments, elim ination of provision for_______________ iii , 2154 INDEX. 3201 C apitalization: Page, Banks in United States, AVexler, Sol________________________________ i, 48 Central Bank, Jenks, J. W __________________ nr, 3155-3156, 3167-3168, 3169 Country Banks, Frame, A. J _______________________________________ i, 684 Federal Reserve Banks— Forgan, J. B ________________________________________________ i, 29-30 Kenaston, F. E ____________________________________________xi, 9S0-982 Rhodes, Bradford-------------------------------------------------------------------- h i , 3007 Sprague, O. M. W _________________________________________ i, 527-529 Swinney, E. F -------------------------------------------------------------------------in , 2041 Wexler, S o l__________________________________________________ I, 44—45 Member Banks, Ailing, N. D ------------------------------------------------------- i, 422-423 N ational Banks— Cannon, J. G---------------------------------------------------------------- h i , 2182-2184 Forgan, F. J ---------------------------------------------------------------------------- 1 , 154 Frame. A. J ------------------------------------------------------------------------------i, 684 Wade, F. J ________________________________________________ 1,142-146 Wexler, S o l------------------------------------------------------------------------------- I, 45 S e e a l s o Stock issue. Cash, classification in banks June 14. 1912----------------------- ----------------------- t, 659 Central B a n k : A dvantages— Fisher, E. D ________________________________________________ m , 2487 Forgan. J. B --------------------------------------------------------------------- i, 27, 28, 39 Hepburn, A. B __________________________________________________ i, 30 Jenks, J. W ------------------------------------------------------------------ in , 3191-3192 Kent, F. I ____________________ in , 2979, 29S0, 2994, 2995, 2996, 2997, 3002 Scott, J. T ____________________________________________________ n , 1652 Vanderlip, F. A _______________ h i , 1933-1936.1946-1947,1950,1969, 2059 Wade, F. J _________________________________________________ 1 , 156,157 W exler, Sol------------------------------------ I, 49-51, 54-55, 58, 60, 85-86, 99-102 Wheeler, H. A -----------------------------------------------------------------------in . 2525 Branch banks, Jenks, J. W ---------------------------------------------------- in , 3159-3160 Capitalization, Jenks, J. W __________________in , 3155-3156. 3167-3168, 3169 Control by bankers— M arshall, F. E---------------------------------------------------------------------------------- i, 460 Scudder, S. D ---------------------------------------------------------------------- in , 2235 Vinson, Taylor-------------------------------------------------- ,_____________ m , 2850 W exler, Sol---------------------------------------------------------------------------------------1 ,355 Control by Government, W exler, Sol______________________________ i, 58, 59 Currency extension, Wexler, Sol_____________________________________ i, 61 Favorable to— Bolton, J. W ________________________________________________________ n , 1571 Bowman, H. H ______________________________ n , 1225-1226, 122S, 1237 Bucholz, W. H ______________________________________ h i .2429 Cannon, J. G-----------------------------------------------------------------in , 2168, 2170 Comstock, A. H ____________________________________ i i , 1051, 1052-1053 Frenzel. J. P ______________________________________ n , 1534,1611,1612 Gilbert. A lexander___________________________ in , 2752, 2754-2755, 2779 Hallock, J. C_____________________________________________ n , 1700-1701 Jenks, J. W__ in , 2603-2604, 2605, 2609, 2611-2612, 3154. 3158. 3166, 3195 McCaleb, W. F ____________________________________________n , 1591, 1596 Moehlenpah, H. A —*-------------------------------------------------------------------------- i i ,1547 Vanderlip, F. A __________________________________________ in , 2911-2967 Government supervision, H ill, E. J -------------------------------------------------- i, 285 Limitation of, H ill, E. J -------------------------------------------------------------------- I, 286 Loans, restricted by Federal R eserve Banks. Blinn, C. P --------- i i , 1189-1191 Note issue— Ailing. N. D ------------------------------------------------------------------------------- i, 419 Forgan, J. B ------------------------------------------ ----------------------------------- i, 39 H ill, E. J _______________________________________________________i,287 Objections— Fowler, C. A. N -------------------------------------------------------------------------------- i i ,1917 Milliken, II. C------------------------------------------------------------------------- in , 2469 Morawetz, Victor--------------- m , 2635. 2648-2654, 2657, 2658, 2675, 2695 Sprague, O. M. W ----------------------------------------------------------------------i, 363 Untermyer, Sam uel------------------------------------------------- n , 1335-1336, 1337 W illis, H. P _________________________________ in , 3064-3068, 3074-3076 3208 IN D EX . Central Bank— Continued. Page. Period of existence should not be limited, Jenks, J. W ____________ h i , 315S R e s e r v e a n d C u r r e n c y P r o b l e m s , S u b s t i t u t e f o r C e n t r a l B a n k , by Newton D. A iling____________________________________________i. 426^446. R eserves— Ailing, N. D ________________________________________________i, 454-455 Blinn, C. P ______________________________________________n , 1187-1188 * H ill, E. J ______________________________________________________ 1.286 Stock issue, Jenks, J. W_______________________________ in , 3159. 3160, 3165 Treasury Bank as substitute for. Vinson, Taylor_in , 2850-2861, 2867-2871 Central Board of Control. S e e Federal Reserve Board. Chamber o f Commerce, New York State, report_________________ in , 2722-2726 Chamber of Commerce of United States of A m erica: Currency bill, am endm ents_________________________________ h i , 2484-2516 Statement of vote on approval of report of standing committee on banking and currency of Chamber o f Commerce o f United States of America upon Owen-Glass currency bill (S. 2639, H. R. 6454. 63d Cong.. 1st s e s s .)_____________________________________ in . 2792-2797 Chapman. Joseph (vice president, Northwestern National Bank, Minne apolis, Minn.) : T e s t i m o n y _______________________________________________________1.187-192 Farm loans limited to Country B anks____________________________ 1,189-191 France. Bank o f________________________________________________ i, 191-192 Rediscounting, compulsory by other Federal Reserve B anks_____i, 187-189 Charters. S e e N ational Banks. Checks and drafts: Country Banks allowed expenses for collecting, Jenks, J. W _in , 3171-3173 Exchange at par, by Federal Reserve Banks— Aisthorpe, J. S --------------------------------------------------------------- in , 2194-2202 B assett. J. C____________________________________ 11,1663.1664-1665 Bolton, J. W __________________________________________ n,15S2-1583 Bucholz, W. H ________________________________________________ h i . 2431 Cannon, J. G____________________________________________ in . 2155-2161 Dickson, T. H _____________________________________________________ n , 1645 Foote, F. W ___________________________________ 11,1517-1518.1616-1621 Forgan. J. B ___________________________________________ 1 , 198-200 201 Ingle, W illiam ___________________________________________ h i , 2384-2405 Jenks, J. W __________________________________________________ h i , 3183 McCaleb, W. F _____________________________________________________ n . 1598 Maddox, R. F _______________________________________________ 1,192-212 Marshall, F. E _____________________________________________ I, 475-477 Montgomery, S. B _____________________________________________ in , 2194 Morawetz, V icto r________________________________________in . 2703-2704 Reynolds, G. M____________________________________ 1 . 198.199. 200. 206 Rogers. G. W _________________________________ n , 1565-1567. 2251-2252 Scott. J. T ___________________________________________________ i i ,1646 Sexton, H. D __________________________________________ h i , 2215-2220 Sprague, O. M. W --------------------------------------------------------------------- i. 300 Swinney, E. F ________________________________________________ in . 2043 Tilton, McLane, jr _______________________________________ in . 2308, 2310 Vanderlip. F. A _______________________________________________ in . 1998 W illis, H. P _____________________________________________ in . 3053-3055 Woodruff, G eorge________________________-•-------------------- in , 2282-2300 Medium of exchange— Blinn, C. P ____________________________________________________ n .1 2 0 5 Reynolds. G. M_____________________________________________ I, 252-253 Sprague, O. M. W __________________________________________ 1,358-359 Present system defective, Sprague. O. M. W ____________________ i. 512-513 Table, checks handled, Dec. 18, 1912, by F irst N ational Bank. K ansas City, Mo___________________________________________________ h i . 2039-2040 Chicago Conference. S e e American Bankers’ Association. Olafiin, John (o f H. B. Claflin Co., New York C ity) : T e s t i m o n y _____________________________________________________ i, 543-550 D efects o f present banking system ________________________________ i, 546 Bank associations as clearing houses______________________________ i, 547 Country Banks, reserves------------------------------------------------------------------ i, 544 Currency bill, favorable to--------------------------------------------------------------- i, 545 Currency elasticity, how o b ta in ed -------------------------------------------------- i, 546 IN D EX . 3209 Olaflin, John—Continued. Page. Federal R eserve Board, personnel--------------------------------------------- i, 543, 546 Note issue_____________________________________________________ i> 547, 548 Panic of 1907______________________________________________________ i» 545 Redemption, Government reserve fund------------------------------------- i, 548. 549 Rediscounting, bank associations----------------------------------------------- i, 546, 547 Table, deposits in central reserve cities------------------------------------------- i, 545 Clark, Hovey C. (M inneapolis, Minn.) : T e s t i m o n y __________________ ________________________________ n , 1059-1068 Objections to short-time commercial paper--------------------- i i , 1063,1065-1068 Savings departm ents in National Banks approved---------- i i , 1059-1061,1064 Savings deposits, unavailable for commercial purposes under proposed b i l l _____________________________________________ii, 1059-1062,1064-1065 Clearing cen ters: Federal R eserve Banks— Flannagan, W. W ----------------------------------------------------------------------I, 796 Rogers, G. W ____________________________________________ i i , 1566-1567 Sprague, O. M. W ---------------- ---------------------------------------------------- i, 360 Clearing-house certificates: Allowed in time of panic, Gilbert, A lexander--------------- h i , 2739, 2743-2745 Prohibited as circulating notes, Gilbert, A lexander________ h i . 2738-2740 Clearing-houses: Bank associations. Claflin, John_____________________________________i, 547 Federal Reserve B anks— Jenks, J. W ---------------------------------------------------------------------------- m , 3172 Swinney, E. F ________ _______________________________________ in , 2038 S e e a l s o Boston Clearing House. Collateral security. S e e Securities. Colpetzer, G. H., a n d o t h e r s (B u sin ess men of Omaha, Nebr.) : Telegram opposing proposed b ill____________________________ h i , 3088-3089 Commercial Banks, tabular summary o f State legislation______ i i , facing p. 1724 Commercial paper: Acceptances by N ational Banks, Untermyer, Sam uel_____________ i, 810, 811 Advantages, Sprague, O. M. W ---------------------------------i, 514, 520-522, 531-532 Aldrich-Vreeland Act, W illis, H. P _______________________________ in , 3035 B asis for rediscounting, Berry, W. H _______________________i, 571, 572, 573 Character of— Untermyer, Sam uel_____i, 844-861, 891, 892, 919-920; i i , 1329-1331,1365 Wade, F. J __________________ _________________________________ i, 128 W illis, H. P ____________________________________________ m .3035-3037 Currency expansion measured by— Jenks, J. W ------------------------------------------------------------------ in , 2564-2566 Untermyer, S a m u el____________________________________________ i, 932 Notes based on— Conant, C. A _________________________________________________ n , 1383 Wade, F. J ____________________________________________________ i, 174 One-year Government notes, Vanderlip, F. A ______in , 1939-1943,1999-2001 Rediscounting— Conant, C. A ____________________________________________ n , 1383,1384, 1387,1391,1395,1398,1408,1409,1412,1436,1438,1441,1450,1451 ------ for Country Banks— Untermyer, Sam uel________________ _______________ i, 826, 827. 828 W exler, Sol______________________________________________ i, 66-67 Short-time, cash reserves invested in, Untermyer, Sam uel_____ir, 1340-1341 ------ in France and London, Reynolds, G. M_____________________ i, 289-290 ------ objections— Cannon, J. G________________________________________in , 2176-2177 Clark, H. C___________________________________ n , 1063,1065-1068 Ingle, W illiam _______________________________________in , 2402-2404 Jew ett, H. C___________________________________________________ n . 1682-1683 Kenaston, F. E _______________________n , 967-969, 971-972, 984-990 ------ statem ents relating to, Vanderlip, F. A __________________ h i , 1970-1974 ------ value of— Conant, C. A _________________________________________ n , 1383,1384 Reynolds, G. M_____________________________________________ i, 289 Statem ents relating to— Conant, C. A ____________________________ 11,1382,1387.1388,1398,1441 Untermyer, Sam uel___________________________ n , 1307-1312.1314.1315 3210 IN D EX . Comstock, A. H. (vice president, M arshall-W ells Hardware Co.. Duluth, Minn.) : page. T e s t i m o n y ------------------------------------------ -----------------------------------u , 1050-1059 Advantages of present banking system _________________ n , 1050-1051,1058 Bank notes, retirement____________________________________________ i i ’ 1054 Central Bank, favorable to-------------------------------------------- i i , 1051,1052-1053 Currency bill, objections_____________________________________________ 1056 Currency elasticity, need for______________________________________ n ’ 1051 Federal R eserve Banks, number__________________________________ n 51051 Member Banks, membership in Federal reserve system optional__ i i , 1051 Conant, Charles A. (N ew York, N. Y.) : T e s t i m o n y ----------------------------------------------------------------------------- n , 1378-1513 Additional central reserve cities____________________________________ it. 141.3 Aldrich-Vreeland A c t---------------------------- n , 1410,1435-1436,1437,1445,1446 Banking sy ste m -------------------------------------------------------------------- 11,1379-1407 Bonds, proposed amendments for paying o f 2 per cent________n . 1420-1421 Commercial paper— Notes based on-------------------------------------------------------------------------n , 1383 Statem ents relating to---------------------------- i i , 1382,1387,1388,1398.1441 Value o f short-time------------------------------------------------- i i , 1383,1384.1396 Country Banks, membership in Federal reserve system ________ n , 1410-1414 Credit ex p a n sio n -------------------------------------------------------------------- i i , 1494-1498 Currency, arbitrary lim it of paper not necessary__________________ i i , 1493 Currency bill, amendments to proposed b ill_____________ i i , 1415,1420-1421 Currency elasticity, how obtained_____________________________ n , 1416-1454 England. Bank of, panic of 1847____________________________________ i, 417 Farm loans, value as security__________________________ ii , 1396,1397,1398 Federal R eserve B anks— Created by Federal R eserve Board as needed_______i i , 1412-1414,1450 Number________________________________________ i i , 1437.1438,1440,1441 Federal Reserve Board— Discretion as to Member B anks________________ n , 1411-1415,1449-1450 Pow ers--------------------------------------------------------------------------------------------- i i ,1392-1394 Federal reserve notes, issue o f------------------------------------------------- i i , 1419-1436 Government B ank_________________________________ i i , 1385-1387,1499-1513 Member Banks, membership in Federal reserve system optional______ ii, 1410-1415,1449-1450 N ational Banks, compulsory membership in Federal system opposed- i i , 1410 Note issue— Bank notes preferable to Government issue___________________ n , 1386 G overn m en t______________________________________________ i i , 1416-1436 Note issue, supervision by reserve associations____________________ n , 1384 Rediscounting— Compulsory by other Federal Reserve B anks_______n , 1408,1409,1438 Federal Reserve B anks________ i i , 1383,1388,1391,1395,1412,1436,1451 Provision in currency bill approved___________________________ n , 1391 R eserves— Amount under proposed b ill_________________________________________ n 1415-1416 Federal Reserve B anks___________________________________ n , 1419-1454 Securities, movement o f-----------------------------------------------------------------n , 1385 Shafroth bill, bank notes retirem ent------------------------------- -------------- n , 1419 State Banks, membership in Federal reserve system --------------- n , 1449-1450 Concentration of money, New York, Allen, W. H ------------------------------- i, 375-382 Contingent currency. S e e Currency, Contingent. Country bankers, resolutions adopted at Boston m eeting--------------------- in , 2248 2250, 2251, 2252, 2260. 2321 Country B anks: Advantages, under proposed bill, Jones, Breckenridge------------- n , 1029-1034 ------ under State law, H ill, E. J _____________________________________ i, 286 Benefits not received under proposed bill— Blinn, C. P ______________________________________________ u , 1184-1185 Bryant, A. B _________________________________________________in , 2137 Forgan, J. B ___________________________________________________ i. 39 Varney, J. E ____________________________________________ n , 1250-1251 C apitalization, Frame, A. J -------------------------------------------------------------- i, 684 IN D EX . 3211 Country Banks— Continued. Checks and drafts, exchange charges— Page. Cannon, J. G___________________________________________ h i , 2154-2161 Maddox, R. F ______________________________________ i, 192-194, 203, 206 Wexler, Sol________________________________________________ i, 201-212 ------ expenses for collecting, Jenks. J. W _____________________ h i , 3171-3173 Commercial paper, character of, Wade, F. J _________________________ i, 128 Currency bill, objections to— Cannon, J. G_-___________________________________________in , 2176-2177 Drury, F. A ______________________________________________ n , 1221-1225 Currency, E lasticity, McRae, T. C_____________________________ n , 1279-1282 Farm loans lim ited to, Chapman, Joseph_______________________ 1,189-191 Favorable to proposed bill— M arshall, F. E ____________________________________________________ i, 461 Treman, Robert___________________________________ in , 2353, 2355-2356 Federal Reserve Banks, clearing-houses for— Jenks, J. W _________________________________________________ i i i ,3172 Swinney, E. F _______________________________________________ in , 2038 Individual Banks, benefited under proposed bill, Untermyer, Samuel _____________________________________________________ i, 934-937 Membership in Federal reserve system— B assett, .T. C---------------------------------------------------------------------------n , 1669 Claflin. John_______________________________________________ 1,543-546 Conant, C. A -------------------------------------------------------------------- n , 1410-1414 Dawson, A. F ---------------------------------------------------------in , 2102, 2125, 2128 French, N athaniel____________________________________________ in , 2070 Jones, Gordon___________________________________________ h i , 2263-2272 Law, F. M_______________________________________________ in . 2334-2337 Reynolds, G. M_________________________________________i, 239-240, 241 Rogers, G. W ____________________________________________ in , 2252-2259 Swinney, E. F ___________________________________________ in , 2041, 2049 Tilton, McLane, jr_____________________________________ in , 2319, 2320 Untermyer, Sam uel__________________________________________i, 817-S37 W exler, S o l_______________________________________________________ i, 374 W illis, H. P ____________________________________________ m ,3 0 3 5 ,3 0 3 6 Objections to proposed bill— B assett, J. C-------------------------------------------------- n , 1657,1662-1663,1669 Frame, A. J ________________________________________________i, 716-717 Swinney, E. F _________________________________________ in , 2041, 2045 W ells, E. B _____________________________________________________ 1,954 i, 68 W exler, S o l___________________________________________________ Rediscounting— Dawson, A. F ----------------------------------------------- in , 2106-2107, 2112-2114 Law, F. M---------------------------------------------------------------------- m ,2336-2337 W exler, Sol------------------------------------------------------------------ --------- i, 66-67 R eserves— Barry, D avid____________________________________________ in , 2321-2334 Claflin, John___________________________________________________ i, 543 Dawson, A. F __________________________:_______________ in , 2105-2112 Forgan, J. B ___________________________________________________ i, 281 Frame, A. J ________________________________________________i, 687-688 Harrington, C. M_____________________________________ I, 962, 964-966 H ill, E. J _________________________________________________ 1,261-262 Jones, B reckenridge___________________________________________ n , 1000 Kenaston, F. E ____________________________________________ i i , 972-974 Marshall, F. E _________________________________________________ i, 463 Moelilenpah, H. A _____________________________________________ n , 1550 Morawetz, Victor_______________________in , 2698, 2699, 2701, 2703-2704 Rogers, G. W ___________________________________________ in , 2252-2259 Sprague, O. M. W _____________________________________ 1,521,524-525 Untermyer, Sam uel_________________________________________________ n , 1341-1344 Savings departments, objections to— Frame, A. J ____________________________________________________ i, 684 Moehlenpah, H. A _____________________________________________ n , 1564 Rogers, G. W -------------------------------------------------------------------in , 2250-2251 Tilton, McLane, jr______________________________________in , 2313-2316 3212 IND EX , Country Banks— Continued. Stock dividends increased— Page. French, N athaniel_________________________________________ in , 2072 Montgomery, S. B --------------------------------------------------------------------in , 2194 Subscription to Federal Reserve Banks— Bowman, H. H _____________________________________________________ i i ,1230 Dawson, A. F --------------------------------------------------------------- in , 2103-2105 I Drury, F. A ________________________________________________________ n , 1224 Harris, B. F _________________________________ 1 _____________ h i , 2205 Montgomery, S. B ____________________________________________ in , 2193 W ells, E. B ________________________________________________ 1,948,959 Tables— Comparison of earning capacity under present law and under proposed b ill__________________________________________in , 3131-3132 Interest-bearing and noninterest-bearing deposits, in New Jer sey __________________________________________________________ i i , 1129 Cox, Raymond B. (a ssistan t cashier, Fourth N ational Bank, New York, N. Y.) : Address before American Bankers’ A ssociation, 1913_________ in , 2729-2733 Coxey, Jacob S. (M assillon, Ohio) : T e s t i m o n y __________________________________________________ in , 2967-2976 Currency bill, objections____________________________________ in , 2973, 2974 Crebs, John N. (Carmi, 111.) : T e s t i m o n y ___________________________ _______________________ in , 2229-2232 C red it: Banking system , Present, Berry, W. H ___________________________ i, 562-565 Checks and drafts, medium of exchange, Reynolds, G. M________i, 252-253 Contraction— Berry, W. H ------------------------------------------------------------------------------i, 569 Forgan, J. B _______________________________________________ 1,277-283 Harrington, C. M _____________________________________ i, 962, 964-965 Kenaston, F. E ___________________________________ i i , £>67-969, 984-990 M arshall, F. E ________________________________________________ i,4 5 7 Sprague, O. M. W _____________________________________________ i, 369 Explanation, Flannagan. W. W_____________________________ i, 740-742, 744 Expansion— Berry, W. H ___________________________________________________ I, 569 Conant, C. A____________________________________________II, 1404-1498 Gilbert, A lex a n d er___________________________________________ in , 2781 Sprague, O. M. W _________________________i, 360-361. 367-36-8. 49.8-501 Jenks, J. W _____________________________________________ in , 2613-2614 Vanderlip, F. A ___________________________________ h i , 1942-1947, 2065 Extension of, Clafiin,John___________________________________________i, 546 ------ by banks, Reynolds. G. M_________________________ i, 229-230. 233-234 ------ by Central Bank, W exler, Sol___________________________________ i, 61 ------ lim ited by reserves, Berry, W. H ___________________________ I, 562-563 ------ to be passed upon by Federal R eserve Board, W exler, Sol--------- 1 ,46 Provisions under proposed bill— Berry, W. H ____________________________________________ 1,617-619,620 Long, R. H ______________________________________________ in,2840-2843 Montgomery, S. B __________________________________________________ in , 2193 Reserves insufficient for, Reynolds, G. M------------------------------------------ i, 229 Crop movements, affected by proposed bill. Harrington, C. M_________ i, 960-962 Crozier, Alfred Owen (College Hill, Cincinnati, O h io ): T e s t i m o n y __________________________________________________ in , 28.86-2905 Currency bill, am endm ents_________________________________ in , 2887-2895 Currency elasticity, Government to control_________________ in , 2895-2905 Currency, public v . private control__________________________in , 2S95-2905 Federal R eserve Banks, number__________________________________ in , 2895 Federal Reserve Board— Currency loaned to Member Banks by__________________ in , 2894-2895 D iscount rate made uniform by_________________________in , 2889, 2891 Federal R eserve Banks replaced by____________________ in , 2895-2905 Pow ers_________________________________ in , 2888-2889, 2890. 2898-2900 Federal reserve notes, legal tender-----------------------------------------in , 2902-2903 Interest, Member Banks, charge by--------------------------------------in , 2S91-2892 Loans, contraction, to influence public, etc.,prohibited_________in , 2892-2894 IN DEX. ‘r ? < 3213 Crozier, Alfred Owen—Continued. Page. Member Banks, discrim ination and favoritism prohibited__l_ m , 28S9-2891 Memorial stating view s on currency b ill---------------------------------i i , 1454-1493 Reserves, Member Banks___________________________________ in , 2887-2888 Cunningham, J. M., letter stating objections to proposed b ill--------------- in , 3127 C urrency: C u r r e n c y r e f o r m , by W. W. B aldw in------------------------------------- n i, 2133-2137 Farm loans, basis for, opposed— Bassett, J. C_________________________________________________ n , 1668 Untermyer, Sam uel_____________________________________________ i* 861 Federal Reserve Board to loan to Member Banks, Crozier, A. 0 _ nr, 2894-2S95 Gold, basis of, Berry, W. H --------------------------------------------i, 590, 591, 592, 593 Legal tender when issued by Government, Berry, W. H -------------------- i, 591 Public v s . private control— Crozier, A. O___________________________________________m , 2895-2905 Vinson, Taylor----------------------------------------------------------------------- in , 2849 Real estate loans, basis for, opposed, Vanderlip, F. A ------------ in , 2055-2056 Redemption basis, Ailing, N. D --------------------------------------------------------- 1 , 407 R e l a t i o n o f S t o c k E x c h a n g e s to C u r r e n c y Q u e s t i o n , by J. R. Dos P a s s o s ______________________________________________________ i, 493-497 R e s e r v e a n d C u r r e n c y P r o b l e m s , S u b s t i t u t e f o r C e n t r a l B a n k s , by Newton D. A iling_____________________________________________ 1 , 426-446 Stock exchanges in relation to question of, Dos Passos, J. R _____i, 492-497 Subscription to Federal Reserve Banks by Member Banks, effect upon circulation of, Ailing, N. D _____________________________ i, 414-415 Supply under proposed bill, Fowler, C. N ___________________ i i , 1914-1915 Tables— D istribution of money in United S tates_________________________i, 659 Money in circulation, stock of gold coin and bullion, consumption of gold and silver bars___________________________________ i, 403—105 Paper currency o f United States, denominations outstanding June 30, 1912___ ^___________________________________________ I, 655 Quantity in existence in 1913_________________________________ i, 591 Shipm ents by F irst N ational Bank, K ansas City, Mo__________ in , 2044 Statem ent showing money in circulation from 1860 to 1 9 1 2 ------------------------------------------------------------------------- in , facing 2184 Currency bill (Owen-Glass) : Amendments to proposed b ill— Aisthorpe, J. S ------------------------------------------------------------- in , 2196, 2199 American Bankers’ A ssociation__________________________i, 112-121, 450 Banfield, N. F --------------------------------------------------------------- h i , 2450, 2452 B assett, J. C______________________________________ i i , 1676,16S0-1681 Bowman, H. H _______________________________________________ i i , 1240 Cannon, J. G______________________i i i , 2140, 2141, 2150, 2151, 2154, 2162 Chamber of Commerce of United States of A m erica______i i i , 2484, 2516 Conant, C. A _______________________________________n , 1415,1420-1421 Crozier, A. O____________________________________________in , 2887-2895 Dawson, A. F ___________________________ in , 2087, 2095, 2125, 2905-2911 Fisher, E. D ____________________________ in , 2491, 2492, 2498, 2500, 2502 Flannagan, W. W _____________________________________________ i, 750, 751, 770, 771, 772, 773, 774, 775, 776, 777, 778, 795, 796 Fowler, C. N ----------------------------------------------------------------------------------- i i ,1916-1917 Frame, A. J -------------------------------------------------------------------------i, 684, 688 Frenzel, J. P ----------------------------------------------------------------------------------- i i , 1612-1613 Gilbert, A lexander_______________________________________ i i i , 2743, 2744 Ha Hock, J. C-------------------------------------------------- i i , 1699-1700,1704-1707 Jenks, J. W ------------------------------------------------------------------------------------in , 2579-2580 2581-2582, 2617-2618, 2620, 3154-3168, 3183, 3185, 3194-3195 Jones, B reckenridge-----------------------------------------n , 999-1003,1006,1012 Long. It. H ------------------------------- -------------------------------------In , 2841 McCaleb, W. F ----------------------------------------------------------------- i i , 1597,1598 McCulloch, J. L ----------------------------------------------------------------n,1623-1624 MarshaB, F. E -------------------------------------------------------------------- 1,457-491 Mil liken, R. C---------------------------------------------------------------------- 2470—2477 Moehlenpah, H. A ---------------------------------- n , 1541,1546.1550-1551,1561 Morawetz, V icto r------------------------------------------ in , 2662, 2669, 2710-2711 3214 INDEX. Currency bill—Continued. Amendments to proposed bill—Continued. Page. New York Bunkers’ A ssociation------------------------------------- m , 233S-2349 New York Credit Men’s A ssociation____________________ h i , 3089-3090 Newton, Oscar____________________________________________ 11, 1640-1642 Rhodes, Bradford______________________________________ m , 3005, 3007 Richmond Chamber of Commerce_____________________________ h i , 3090 . Rogers, G. W _________________________ I, 570; i i i , 2248, 2250, 2251, 2252 Scott, J. T ______________________________________________ 11,1646-1647 Scudder, S. D ___________________________________________ i i i , 2720-2721 Shibley, G. H ____________________________ i i , 1835-1S37 ; iii , 2535-2548 Simmons, W. D ______________________________ m , 2485-2486, 2513-2516 Swinney, E. F _______________________________ III, 2047-2049, 2051-2052 Thomas, C. S ____________________________________________ jii , 2435-2449 Tregoe, J. H _______________________________________________________ i i ,1039-1041 Untermyer, Sam uel_______________________________ i, 841, 937-939,1322 Varney, J. E _________________________________________________ i i , 1262 Virginia Banking A ssociation___________________________ i i i , 3091-3092 W illis, II. P _____________________________________________ iii ,3021,3023 Wodruff, G eorge_________________________________________ i ii , 2300-2301 American Bankers’ Association, letters expressing view s upon pro posed b i l l ____________________________________________________________ ii ,1177-1183 Compulsory feature, approved, Sprague, O. M. W ___________________ i, 527 ------ objected to, Frame, A. J ____________________________________ i, 719-720 Country Banks, favorable to proposed bill— Jones, B reckenridge________________________________________________i i ,1029-1034 M arshall, F. E _________________________________________________ i, 461 Treman, Robert___________________________________ h i , 2353, 2355-2356 ------ objections to proposed bill— B assett, J. C_____________________________ n , 1657,1662-1663.1669 Swinney, E. F _______________________________________ i i i , 2041, 2045 Tilton, McLane, jr _______________________________________ i ii , 2308 W ells, E. B _______________________________________________ i, 954 W exler, S o l_______________________________________________ i, 68 Credit under proposed bill, Berry, W. H ___________________ i, 617-619, 620 Currency expansion, proposed bill does not lead to, Untermyer, S a m u el__________________________________________________________ i, 933 D efects o f proposed bill— Cannon, J. G_________________________________________________ in , 2139 Morawetz, Victor_____________________________________________ i i i , 2635 Untermyer, Sam uel__________________________ i, 888,889; i i , 1321-1322 Vanderlip, F. A ___________________________________ i i , 1933,1950-1954 W illis, II. P ______________________________________ m ,3019-3021,3034 Development of proposed bill, W illis, II. P __________________ in , 3013-3019 Effects of passing proposed bill, Fisher, Irving_______________ i i , 1132-1133 Favorable to proposed bill— Claflin, J o h n __________________________________________________ i, 545 D ietz, C. N __________________________________________________ i i i ,3126 Fisher, Irving________________________________ i i , 1130,1131,1145,1146 McRae, T. C ____________________________________________ i i , 1275,1276 Individual Banks and Country Banks benefited under proposed bill, Untermyer, S a m u el__________________________________________i, 934-937 Letters subm itted— E xchanges under proposed b ill__________________________ ii , 1264-1271 Views of various banks on proposed b ill________________ ill, 2122-2124 Loans effected by, Sprague, O. M. W______________ _____________ i, 510-511 Merits of proposed bill— Cannon, J. G_______________________________________________ in , 2148 Conant, C. A_______________________________________________________ i i ,1391 Dawson, A. F ____________________________________ iii . 2086-2087, 2089 French, N athaniel____________________________________________ i i i , 2070 Jenks, J. W ---------- 111 , 2596, 2601-2602, 2610, 2615, 2617, 2624. 3172, 3182 Lassen, A. C---------------------------------------------------------------------------i ii , 3116 McCaleb, W. F ------------------------------------------------------- 11 .1591.1594,1598 McMorries, E dw in__________________________________________________n t1539 Reynolds, G M------------------------------------------------------------------------- 1 . 290 Rhodes, Rradford -------------------------- ii i , 3004,3005, 3007. 3008, 3013 IN D EX . 3215 Currency bill— Continued. Page. M erits of proposed bill—Continued. Sexton, H. D ________________________________________________ n i >2221 Sprague, O. M. W _____________________________________ x>498, 529-581 U ntennyer, S a m u el_____________________________ ___________x>808-900 Vanderlip, F. A _________________________________________m >2008-20(39 W exler, S o l___________________________________________________ 223 W illis, H. P ______________________________________ h i , SOSO, 3087, 3088 Objections to proposed bill— Baldw in, W. W__________________________________________in , 2132-2133 Bolton, J. W____________ II, 1571,1572,1573,1574,1577,1578,1579,1582 Cannon, J. G____________________________________________ i n >2170-2177 Colpetzer, H. (and other business men of Omaha, N eb r.)— in , 3038-3089 Comstock, A. H --------------------------------------------------------------------- XI>3056 Coxey, J. S______________________________________________ m >2973, 2974 Cunningham, J. M---------------------------------------------------------------- in , 3127 m >2115, 2122 Dawson, A. F __________________________ Drury, F. A ______________________________________________ n , 1221-1225 Fowler, C. N _________________ n , 1S82,1884,1899-1902,1913,1914-1916 Frame, A. J ___________________________________________________ l> 084 French, N athaniel____________________________________ — in , 2070-2081 Gilbert, A lexander_______________________________________in , 2777-2778 Harris, B. F ____________________________________________ h i , 2203, 2208 Hubbard, J. A., a n d o t h e r s (F irst N ational Bank, Plainfield, N. J .) _____________________________________________ ________ i i i ,2788 Hulbert, E. D ______________________________________________________ n , 1095-1127 Indiana Bankers’ A ssociation______________________________________ n , 1533 Ingle, W illiam _______________________________ h i , 2371, 2376, 2384, 2416 Jacob, G. M_____________________________________________ 111,3131-3112 Jenks, J. W _________________________________ in , 2604, 2619, 2622. 2626 Jones, Gordon____________________________________ h i , 2260-2205, 2273 Kenaston, F. E ____________________________________________________ n , 968-970 La Bar, G. D ---------------------------------------------------------------------------in , 2631 Lassen, A. C__________________________________ in , 3114-3115, 3118, 3120 McCaleb, W. F ____________________________________ n , 1597,1598,1603 McMorries, E dwin_____________________________ 11,1584,1586,1590-3591 Montgomery, S. B ------------------------------------------------------------ in , 2193-2194 Morawetz, V icto r-------------------------------------------------------------------- in , 2683 Moses, E. R ---------------------------------------------------------------------------- in , 2368 Palen, It. J ---------------------------------------------------------------------- h i , 3128-3129 Reynolds, G. M----------------------------------------------------------------- h i , 233, 243 Reynolds, Jefferson --------------------------------------------------------- in , 3126-3127 Rogers, G. W _______________________________________________________ i i ,1565-1566 South D akota bankers--------------------------------------------------------------------- n , 1723-1724 Thomas, C. S-------------------------------------------------------------------h i , 2433, 2434 Vanderlip, F. A ----------------------------------------------------------------------- h i , 3963 Wade, F. J ------------------------------------------------------------------------------in , 3092 W exler, Sol_________________________________________________________ i, 222-223 Winston, F. G_____________________________________ n , 1087,1088,1089 Proposed bill should apply only to continental United States, Peck, L. T _________________________________________________ m , 2878-2882 Reserves— Compared w ith those under Sherman Act of July 14, 1890, Ailing, N. D _____________________________________________ i, 412-413 Mobilization provided under proposed bill, Untermyer, Sam uel— i, 934 Substitute for proposed bill, Vinson, Taylor-------------------------- in , 2849-2871 Tables, comparison of Owen bill and present law ------------------------- i, 613-617 Currency, Contingent: Germany, Reichsbank of, Ailing, N. D ---------------------------------i, 409, 410-411 Statem ents relating to, Ailing, N. D -------------------------------------------- i, 409-411 Currency, Contraction: Commercial paper measures, Untermyer, S a m u el---------------------------i, 932 Effects of proposed bill, W inston, F. G------- ------------------ 11 ,1076-1078,1088 Fear of business men under proposed bill, W inston, F. G_ n , 1074-1075,1088 Federal R eserve B anks to control, Sprague, O. M. W------------ 1 , 509, 511-512 Currency, Contraction— Continued. Statem ents relating to— Page. Berry, W. H ___________________________________________________ i, 603 Forgan, J. B _______________________________________________ i, 277-283 Sprague, O. M. W __________________________________________i, 532-533 W exler, S o l___________________________________________________ i, 83 Currency, E la stic ity : I Arbitrary lim it of paper not necessary, Conant, C. A______________ n , 1493 Banking system, Present— Cannon, J. G ________________________________________________ m , 2170 Fisher, Irving_____________________________________ n . 1138-1139,1141 Frame, A. J ___________________________________________________ x, 690 Country Banks, McRae, T. C________________________________ n , 1279,1282 Government to control, Crozier, A. O ________________________________h i , 2895-2905 How obtained— Ailing, N. D ___________________________________________________ i, 411 Claflin, John_______________________________________________ 1,546,547 Conant, C. A _______________________________________________________ n , 1416-1454 W exler, Sol__________________________________________________ i, 75-80 Increases and decreases autom atically, Berry, W. H ____________ i, 573, 574 Need for—• Comstock, A. I I ____________________________________________________ n , 1051 Dawson, A. F ___________________________________________ in , 2087, 2094 Vanderlip, F. A ___________________________________ in , 1934-1935. 2064 W ells, E. B ________________________________________________ 1 , 954-955 W inston, F. G______________________________________________________ n , 1068-1076 O u tlin e o f P la n fo r F u n d in g N a tio n a l D e b t an d fo r M a in ta in in g E la s t i c R e s e r v e C u r r e n c y , Amberg, W. A ____________ h i , 2435-2441, 2447-2449 Provided under proposed bill, Jenks, J. W ______________ in , 2559, 2579, 2610 Should not be artificially limited. Berry, W. H __________________ I, 573, 574 Statem ents relating to— French, N a th a n ie l____________________________________________ in , 2070 Morawetz, V ic to r ________________________________________in , 2639-2643 Untermyer, Sam uel_________________________________________________ n , 1298-1306 Currency, E xp an sion : Checks on— Frenzel, J. P _______________________________________________________ n , 1637-1639 Wade, F. J ________________________________________________ 1 ,151,153 W exler, Sol_________________________________________________________ i, 80-83 Commercial paper m easures— Jenks, J. W _____________________________________________ h i , 2564-2566 Untermyer, Sam uel__________________________________________________ i,932 Effects of passing proposed bill, Fisher, Irving__________ n , 1132-1133,1136 Federal R eserve Board to regulate— Frame, A. J _____________________________________________________ i, 719 Jones, Breckenridge_________________________________________________ n , 1024-1025 Sprague, O. M. W ____________________________________ - I, 509, 511-512 Increase under proposed bill, W inston, F. G__________________________ n , 1074 Injurious effects of inflation, Hulbert, E. D __________________________n , 1121 Prices increased, Jenks, J. W --------------------------------------------------------- in , 2578 Proposed bill does not lead to, Untermyer, Sam uel__________________ n , 933 Provisions for— Flannagan, W. W __________________________________________ I, 755-760 Reynolds, G. M__________________________________________________ i, 169 Statem ents relating to— Ailing. N. D _____________________________________________________1,408 H ill, E. J ______________________________________________ 1,269,276,279 Jenks, J. W__________________________________________________ n i,3 1 8 2 Sprague, O. M. W _________________________________ i, 309-310, 532-533 Urgency o f— Johnston, J. T. M_______________________________________________ X,116 Reynolds, G. M_____________________________________________ I, 236-237 W exler, Sol____________________________________________________ i, 73 D aniel. T. Cushing (V irginia) : T e s t i m o n y ____________________________________ n , 1159-1174; h i , 3140-3152 Amendments suggested to present banking system ____________ n , 1172-1173 3217 IN D EX . Page. Davis, J. H., letter o f_______________________________________________ i, 382-388 Dawson, A. F. (president, F irst National Bank, Davenport, Iow a) : T e s t i m o n y __________________________________________________ h i , 2082-2131 Bank notes, retirem ent-------------------------------------------------------- II!. 2127-2128 Banking— Independence of each bank m aintained-------------------------- h i , 2087-2088 National system necessary--------------------------------------------- i i i , 2087, 2099 Bonds, R efunding— Objections, 2 per cent bonds-------------------------------- ----------- h i , 2118-2119 Refunding provision of 1900----------------------------------------- h i , 20S3-2084 Country B anks— Membership in Fedei’al reserve system ------------------ i i i , 2102, 2125. 2128 R eserv es_______________________________________________ i i i , 2105-2112 Currency bill— Amendments to proposed bill---------------------------------i i i , 2087, 2095, 2125 M erits of proposed b ill-----------------------------------------i i i , 2086-2087, 2089 Objections to proposed b ill---------------------------------------------------- i i i , 2122 Currency elasticity, need for----------------------------------------------- i i i , 2087. 2094 D efects of present banking system --------------- i i i , 20S4, 20S5, 2088-2089, 2099 Farm loans, short-time lim it objectionable________________________ h i , 2115 Federal Reserve Banks— Number___________________________________________ in , 2095-2096, 2104 Subscription to, by Member B anks______________________ h i , 2103-2105 ------ by the public------------------------------------------------------------ i i i , 2103-2104 Federal Reserve Board, personnel___________________________ i i i , 2096-2098 Federal reserve notes, security__________________ h i , 2090-2093, 2094-2095 Letters— Amendments to proposed b ill___________________________ h i , 2905-2911 V iew s of various banks on proposed bill_________________ i i i , 2122-2124 Member Banks, membership in Federal reserve system optional______ i i i , 2099-2100 National Banks— D efin ed _______________________________________________________ i i i , 2101 Membership in Federal reserve system _________________ i i i , 2098, 2102 Present system ad m irab le_____________________________________in . 2083 Panic of 1907_____________________________________________________ in , 2131 Panics, causes o f ____________________________________ ______ in , 2085, 2089 Rediscounting— Country B anks______________________________ h i , 2106-2107, 2112-2114 Provisions of proposed bill approved___________________________ i i i , 2088 Reserve cities, under present banking system ______________________ h i , 2111 Reserves, m obilization under proposed b ill__________________ h i , 2087, 2089 Savings departments, objections to proposed b ill_____________ i i i . 2116^2118 Deposits, classification of deposits in each class o f banks as of June 14, 1 912 ____________________________________________________ n.1371-1377 Dickson, T. H. (secretary, M ississippi Bankers’ Association, Jackson, M iss.) : T e s t i m o n y ____________________________________________________________ II,1645 Checks and drafts, exchange at par by Federal Reserve B anks______ n , 1645 Dietz. Charles N., letter approving proposed b ill------------------------------------------ i i i ,3126 D iscou n tin g: Federal Reserve Banks— Flannagan, W. W ______________________________________________ I, 777 Jenks, J. W ____________________________________________ i i i , 3177-3178, 3183-3185, 3195-3196 Sprague, O. M. W --------------------------------------------------------------- 1,363-364 Federal Reserve Board to determ ine rate. Jenks, J. W _______ i i i , 3162-3163 Method in proposed bill commended, Jones, Breckenridge_____ i i , 1025-1027 R ates— Crozier, A. O -----------------------------------------------------------------m , 2889, 2891 Ingle, W illiam ------------------------------------------------------------------------2411 Jenks, J. W --------------------------------------------------------_ __ m ’ 2597 I, 507-509 Sprague, O. M. W -------------------------------------------------Untermyer, Sam uel---------------------------------------------------j gOO-Sl? 814 Vinson, T a y lo r -----------------------------------------------------------------------2S64 W exler, Sol-----------------------------------------------------_ x 59-70 S e e a l s o Interest— Rediscounting. 7777 3218 IN D EX . D iv id en d s: Page. Abstract of reports o f earnings and dividends of National Banks in United States, year ended July 1, 1912__ _____________________i, 662-605 Member Banks, increased— French, N athaniel_____________________________________________ in , 2072 McCulloch, J. L _______________________________________________ i i , 1624 Montgomery, S. B _____________________________________________ h i , 2194 Untermyer, Sam uel_________________________________________________n , 1315 Stockholders. Marshall, F. E _______________________________________ i, 45S Dos Passos. John R. (New York, N. Y.) : T e s t i m o n y _____________________________________________________ i, 491^ 97 S t o c k E x c h a n g e s , R e l a t i o n o f, to C u r r e n c y Q u e s t i o n _____________ i, 493-497 D rafts. S e e Checks and drafts. Drury, F. A. (president of the Merchants National Bank. Worcester, Mass.) : T e s t i m o n y __________________________________________________ n , 1221-1248 Currency bill, objections of Country Banks to proposed bill__ n , 1221-1225 Federal Reserve Board, personnel, objections____________________________n , 1222 Government bonds, retirem ent__________________________________________ n , 1225 Earnings, D ivision o f: Federal R eserve Banks, Vanderlip, F. A _____________________ n . 1937-1939 E lasticity of currency. S e e Currency, Elasticity. England, Bank o f : Directors— Forgan, J. B _________________________________________________ i, 32, 44 Untermyer, Sam uel_________________________________________. i, 813, 902 Wade, F. J _____________________________________________ i, 130,133-136 W exler, Sol_____________________________________________________ i, 43 Note issue. Reynolds, G. M_____________________________________ i, 292, 294 Panic of 1847, Conant, C. A _________________________________________i, 417 Statem ents relating to, Berry, W. H ________________________________ i, 642 Tables— Interest____________________________________________ i, 534-535. 538-542 R eserves o f actual gold versus notes only, versus notes and de posits against deposits only_________________________________ i, 456 European b a n k s: Capital owned outside o f banks, W exler, Sol_________________________i, 103 Credit expansion, Sprague, O. M. W _________________________________ i. 361 Tables— Capital, specie, circulation, etc., compared w ith N ational Banks of United S tates________________________________________________ i, 725 Interest____________________________________________________ I, 534-542 E x h ib its: Report adopted by conference of bankers at Chicago, 111____________ i, 5-24 S e e a l s o Tables. Expansion o f currency. S e e Currency, Expansion. Farm lo a n s: Amount lim ited for, Jenks, J. W _____________________ ____________ iii , 3164 B asis for rediscounting— Berry, W. H ___________________________________________ i, 571. 572, 573 Vanderlip, F. A _________________________________________in , 1961-1963 R asis of currency issue, opposed— B assett, J. C_________________________________________________ i i , 1668 Untermyer, Sam uel_____________________________________________ i, 861 Elim ination of provision for. Jenks, J. W ___________________ h i , 2622. 2626 Limited to Country Banks, Chapman, Joseph___________________ i, 189-191 N ational Banks, opposed, Untermyer, Sam uel_________________ i, 842-843 Objections under proposed bill, Morawetz, Victor____________ h i , 2705-2707 Securities for— Conant, C. A ______________________________________ 11,1396,1397,1398 Jewett, H. C ____________________________________________ n , 1683-1684 Marshall, F. E ___________________________________ 1,485-486,489-490 W ells, E. B ___________________________________________________ 1,951 Short-time limit, favorable to. Long. R. H __________________ 111,2841-2842 INDEX, F a r m lo a n s— C o n tin u e d . O b je c tio n a b le — 3219 rag e. Banfield, N. F __________________________________________ h i , 2449-2450 B assett, J. C____________________________________________n .1 6 0 7 ,1 6 6 8 Dawson, A. F _______________________________________________ m , 2115 Hulbert, E. D ___________________________________________i i , 1112,1113 Johnston, J. T. M _________________________________________ i> 120-121 Moelilenpah, II. A _____________________________________________R 1561 State Banks, opposed, Untermyer, Samuel-------------------------------------- i, 930 S e e a l s o Mortgage loans—Real estate loans. Farm mortgages. S e e Farm loans. Federal Advisory Council: Amendments to proposed bill concerning— Fisher, E. D ___________________________________________in , 2492-2498 Simmons, W. D _____________________________________________ ii i ,2486 Objections to— Marshall, F. E _________________________________________________ I, 466 Untermyer, Sam uel---------------------------------------------------------- 11,1318-1310 Wheeler, H. A _______________________________________________ h i , 2533 Personnel. W ells, E. B ________________________________ 1,942-943,949.950 Representation of Federal Reserve Banks on, Gilbert, A lex a n d er.- in , 2756 Representation on Federal Reserve Board— Jenks, J. W __________________________________________________ in , 2605 Sprague, O. M. W _______________________________________________ i, 525 Federal Reserve xlgents: D uties— Ailing, N. D ____________________________________________________ i,4 1 7 Jenks, ,T. W ______________________________________ i ii , 2559, 2564, 25S3 W exler, Sol__________________________________________________ t, 47, 51 Election of, Untermyer, Sam uel______________________________ i i , 1319-1320 Statem ents relating to, Hulbert, E. D _____________________________ i i , 1097 Federal R eserve B anks: Advantages, Flannagan, W. W -------------------------------------------------- i, 752, 753 Autom atic continuance of system. Simmons, W. D -----------------in , 2514-2515 Business conditions to be met in Northwestern S tates— Kenaston, F. E ___________________________________ 11,982-983,992-994 Mosher, C. L—--------------------------------------------------------------- 11,1091-1094 B usiness increase not apparent to public, Sprague, O. M. W _________ i, 552 Capitalization— Forgan, J. B ________________________________________________________ i, 29-30 Kenaston, F. E ------------------------------------------------------------------ n , 980-982 Moses, E. It__________________________________________________ in , 2368 Rhodes, Bradford_____________________________________________ i i i , 3<X)7 Sprague, O. M. W--------------------------------------------------------------- 1,527-529 Swinney, E. F ---------------------------------------------------------------------------h i , 2041 Vinson, T aylor----------------------------------------------------------------- i i i , 2865-2866 W exler, Sol---------------------------------------------------------------------------------------I,44-45 Checks and drafts exchanged at par— Aisthorpe, J. S--------------------------------------------------------------- i i i , 2194-2202 B assett, J. C_______________________________________i i , 1663,1664-1665 Bolton, J. W ____________________________________________ 11,1582-15.83 Bucholz, W. II________________________________________________ ii i , 2431 Cannon, J. G-------------------------------------------------------------------- i i i , 2154—2161 Dickson, T. II______________________________________________________ i i ,1645 Foote, F. W __________________________________ i i , 1517-151S, 1616-1621 Forgan, J. B ___________________________________________ 1,198-200.201 Ingle, W illiam ___________________________________________ in , 2384-2405 Jenks, J. W __________________________________________________ in . 3183 McCaleb, W. F _____________________________________________________ n . 1598 Maddox. R. F _______________________________________________ i, 192-212 M arshall, F. E _____________________________________________ 1 , 475-477 Montgomery, S. B _____________________________________________ in , 2194 Morawetz, V ic to r ________________________________________ i i i , 2703-2704 3220 IN D E X . Federal R eserve Banks— Continued. Checks and drafts exchanged at par— Continued. Page. Reynolds. G. M____________________________________ 1 ,198,199, 200, 206 Rogers, G. W _______________________________________________________ i i ,1565-1567 Scott, J. T ___________________________________________________ 11,1646 Sexton, H. D ___ ________________________________________ m , 2215-2220 Swinney, E. F _______________________________________________ in , 2043 » Tilton, Me Lane, jr--------------------------------------------------------- in , 2308, 2310 Yanderlip, F. A ______________________________________________ in , 1998 Woodruff, George_________________________ in , 2282-2300 Clearing centers— Flannagan, W. W ----------------------------------------------------------------------- i, 796 Rogers, G. W ____________________________________________ n , 1566-1567 Sprague, O. M. W_______________________________________________ i, 360 Clearing-houses for Country Banks— Jenks, J. W __________________________________________________ in , 3172 Swinney, E. F ------------------------------------------------------------------------- in , 2038 Compulsory subscription— Kenaston, F. E ---------- 1------------------------------------------------------ n , 969, 982 Long, R. H ___________________________________________________ in , 2837 Control of. Untermyer, Sam uel________________________i, 812-813, 833, 834 ------ by bankers— Milliken, R. C_____________________________________ in , 2466-2461 Vinson, T a y lo r ___________________________________________ h i , 2850 ------ Government— Marshall, F. E ______________________________________________ i, 458 Moehlenpah, H. A__________________________________________ n , 1549 W illis, H. P ____________________________ m ,3078-3080,3084-3085 Created by Federal Reserve Board as needed, Conant, C. A _n , 1412-1414. 1450 Credit, restraining abuse of, Sprague, O. M. W _________ i, 367-368, 498-501 Currency, expansion and contraction controlled by, Sprague, O. M. W__ i, 509 511-512 D ealings w ith other Federal R eserve Banks, Simmons, W. D_ in , 2513-2514 Directors— B assett, J. C---------------------------------------------------------------------------- n , 1678 Crozier, A. O_______________________________ ______ in , 2888-2889, 2890 Drury, F. A ___________________________________________________ n , 1222 French, N athaniel_______________________________________ h i , 2071-2072 Hulbert, E. D ______________________________________________________ n , 1109-1111 Jenks, J. W ________________________ 1___in , 2595-2597, 3175, 3183-3184 Long, R. II_____________________________________________ in , 2836, 2840 M arshall, F. E _____________________________________________ 1,461.462 Morawetz, V icto r------------------------------------------------------------ h i , 2659, 2680 Newton, O sca r________________________________________________ n , 1644 Scott, J. T ___________________________________ n , 1647,1648,1655-1656 Sprague, O. M. W __________________________________________ I, 525-526 Untermyer, S a m u e l___________________________ i, S34. 921-923; n , 1319 Vanderlip, F. A _________________________ m , 1966-1967, 2060, 2061, 2067 Varney, J. E _______________________________________________________ n , 1253-1254 Vinson, T aylor----------------------------------------------------------------- h i . 2862-2864 W ells, E. B ________________________________________________ 1.957-958 W exler, Sol----------------------------------------------------------------- i, 46-47. 53. 222 W heeler, H. A ----------------------------------------------------------------- in , 2525. 2526 W illis, H. P ------- ,---------- ---------------------------------------------------------in . 3052 Discount rates, Sprague, O. M. W ______________________________ i, 363-364 Discounting, Jenks, J. W----------------------in , 3177-3178, 3183-3185, 3195-3196 D ivision o f earnings, Vanderlip, F. A ____________ in , 1937-1939,1974-1975 Federal Reserve Board should replace, Crozier, A. O________ in , 2895-2905 Federal reserve notes, to constitute first lien upon assets— Hulbert, E. D ----------------------------------------------------------------------------------- n , 1107-1108 Rogers, G. W ------------------------------------------------------------------------- in , 2252 Untermyer, Samuel -----------------------------------------i, .892. S93. 894. 895, S96 Government deposits, Untermyer, Sam uel______________ i i , 1322-1323,1324 Interest, allowed Member B anks on subscriptions, Johnston, J. T. M_ i, 119 ------ charged to Member Banks, Scott, J. T __________________ n , 1647-1648 INDEX. 3221 Federal Reserve Banks— Continued. Interest, on deposits— Page. Jenks, J. W ____________________________________________ in , 2581-2582 Kenaston, F. E ____________________________________________xi, 969-970 Sprague, O. M. W _________________________________________ x, 504-505 Tregoe, J. II____________________________________________^------ n , 1040 ------regulated by Federal Reserve Banks, Jenks, J. W ----------- h i , 2627-2630 Loaus restricted by, Sprague, O. M. W --------------------------------------- i, 367-368 Location of, Johnston, J. T. M------------------------------------- i, 112-113,117-118 Membership of Country Banks in Federal reserve system — B assett, J. C________1--------------------------------------------------------------------- n , 1669 French, N a th a n iel____________________________________________ in , 2070 Jones, Goi'don___________________________________________ h i , 2263-2272 Law, F. M_____________________________________________ 111,2334-2337 Rogers, G. W ____________________________________________in , 2252-2259 Tilton, McLaue, jr ______________________________________ h i , 2319, 2320 ------ of State Banks in Federal reserve system— French, N athaniel------------------------------------------------------------in , 2070 Larrabee, F. S _____________________________________ h i , 2356-2365 Newton, Oscar---------------------------------------------------------- xi, 1640,1641 Scudder, S. D ______________________________________ xn, 2241-2246 Tilton, McLane, jr------------------------------------------------------------ h i , 2321 Untermyer, Sam uel___________________ i, 817-819, 838-842, 937-939 Vanderlip, F. A----------------------------------------------------------------- h i , 2058 Number— Bolton, J. W --------------------------- ----------------------------------------------------- n ,1 5 7 1 Bucholz, W. I I ________________ ___________________________________ h i , 2429 Cannon, J. G--------------------------- __________i n , 2 1 4 1 -2 1 4 2 , 2165, 2168, 2171 Comstock, A. I I _______________ ____________________________________ i i , 1051 Conant, C. A --------------------------- _____________________________ 1 1 ,1 4 3 7 -1 4 4 1 Crozier, A. O_______________ _ ------------------------------------------------------ i i i ,2 8 9 5 Dawson, A. F -------------------------- _______________________ i i i ,2 0 9 5 - 2 0 9 6 .2 1 0 4 Fisher, E. D --------------------------- ____________________ - ______ h i . 2 4 9 8 -2 4 9 9 Forgan, J. B ---------------------------- ----------------------------------------- 1 ,2 7 ,2 8 ,2 9 ,3 7 Fowler, C. N --------------------------- -------------------------------------------- 1 1 ,1 9 0 2 ,1 9 1 2 Frenzel, J. P __________________ ----------------------------------- 1 1 ,1 5 3 4 ,1 6 1 0 -1 6 1 2 Gilbert, A lexander____________ ------------------------------------------ i n . 2745, 274 6 H ill, E. J _____________________ ----------------------------------------- 1 ,2 5 9 ,2 6 4 ,2 7 1 Johnston, J. T. M _____________ ---------------------------------------------------1 ,1 1 2 -1 1 3 Jones, B reckenridge___________ -------------------------------------------- 1 1 ,1 0 3 4 -1 0 3 6 Kenaston, F. E_______________ --------------------------------------------------------- i i ,9 8 3 Kexxt, F. I _____________________ -------------------------------------------- m ,2 9 7 8 - 2 9 8 0 McCaleb, W. F ------------------------ -------------------------------------------- 1 1 ,1 5 9 2 -1 5 9 3 McCulloch, J. L _______________ ------------------------------------------- 1 1 ,1 6 2 3 ,1 6 2 4 Moehleixpah, II. A _____________ -------------------------------------------------------i i ,1 5 4 6 Montgomery, S. B ------------------- ------------------------------------------------------m , 2194 Morawetz, Victor--------------------- ---------------h i . 2 6 5 5 -2 6 5 6 , 2670, 2 6 8 9 -2 6 9 1 Reynolds, G. M------------------------ ------------------------------------------------------- I, 240 Scott, J. T ____________________ -------------------------------------------------------11,1647 Sexton, II. D --------------------------- --------------------------------------------------- I n , 2221 Simmons, W. D ________________ ----------------------------------------------------- i i i , 24S6 Sprague, O. M. W --------------------- ------------------------------------------------ I, 526 Swinney, E. F -------------------------- ----------------------------------------------------- m > 2042 Tregoe, J. I I --------------------------- -------------------------------- i i , 1 0 3 9 -1 0 4 0 ,1 0 4 1 -1 0 4 3 Uixtermyer, Samuel------------------ ------------------------------------------- 1 1 ,1 3 2 6 -1 3 2 7 Vanderlip, F. A ________________ -------------------------------------------- m ,1 9 3 3 ,1 9 6 3 Vinson, T a y lo r ------------------------ ----------------------------------------------------- m ,2 8 6 6 Wade, F. J ____________________ ---------------------------- i, 127 ,1 3 2 ,1 5 6 - 1 5 7 ,1 6 9 Wexler. Sol___________________ ------------------------------------------------------ 1 .4 9 - 5 1 Wheeler, H. A -------------------------- -----------------------------11 1 ,2 5 2 2 -2 5 2 4 W illis, II. P ----------------------------- --------------------------i n , 3 0 6 1 -3 0 6 4 , 3 0 7 2 -3 0 7 5 Objections to— Berry, W. II---------------------------- ------------------------------------------------ 1 ,5 9 5 ,5 9 6 Bowman, II. II________________ Question relating to N ational Banks ---------------------joining, sent to bankers, Frame. A. J _____________________________ --------------------------------------------- eso.es! S. Doc. 232, 63-1— vol 3----- 82 3222 INDEX, Federal Reserve Banks— Continued. Rediscounting— Page. Chapman, J o se p h __________________________________________i, 187-189 Conant, C. A__ i i , 13S3,1388.1391,1395,1408,1409,1412,1436.143S, 1451 Forgan, J. B ___________________________________________ I. 279, 281, 282 Fowler, C. A. N _______________________________________________ n , 1902 Jenks, J. W ______________________________ ,__________________ h i , 2598 Johnston, J. T. M__________________________________________i, 118-119 McCaleb, W. F ___________________________________________ n , 1591,1595 McRae, T. C__________________________________________________ n , 1281 Moehlenpah, H. A______________________________________________ i i , 1561 Morawetz. Victor______in , 2671-2676, 2679-26S3, 2693-2696, 2710-2711 Rhodes, Bradford________________________________________ h i . 3005-3006 Untermyer. Sam uel__________________ i, 810, 868. 880. 891, 892; n , 1314 Vanderlip, F. A ______________________________ h i , 1934-1935,1937,1985 W exler, Sol_______________________________________________ 1.54 .6 8 ,6 9 W illis, H. P _____________________________________________ in . 3056-3078 Representation on Federal Advisory Council, Gilbert, A lexan d er-- m , 2756 R eserves— Ailing, N. D ________________________________________________ i, 406—456 Barry, D avid____________________________________________ h i , 2321-2334 Cannon, J. G____________________________________________ in , 2148-2150 Conant, C. A _____________________________________________ i i . 1419-1454 Fisher, Irving------------------------------------------------------------------- i i , 1137-1141 Forgan, J. B ___________________________________________________ 1 , 37 Fowler, C.A. N _____ 11,1881,1885,1898,1903.1907.1908 Frame, A. J ___________________________________________ i, 693. 726-728 Gilbert, Alexander----------------------------------------------------------- h i . 2740, 2782 H ill. E. J _____________________________________________________ 1,260, 261, 264, 265-266, 267, 268, 269-271, 272, 273. 275-276 Ingle, W illiam ----------------------------------------------------------------- in , 378-2404 Jenks, J. W ____________ III, 2553, 2557-2558, 2565-2566, 2594-2596, 3176 McMorries, Edwin_____________________________________________ i i , 1589 Moehlenpah, H. A_____________________________________________ i i , 1550 Morawetz, Victor_____________________________________________ h i , 2692 Perkins, J. H ___________________________________________ h i , 2338-2349 Reynolds, G. M____________________________________________ i, 298-301 Rhodes, B ra d fo rd _______________________________________in , 3005. 3007 Scudder, S. D ___________________________________________ h i , 2237-2241 Treman, R o b ert___________________ _________ in , 2350-2352, 2353, 2354 Untermyer, S a m u el_________________________________________________ i.815-816, 877, 881, 882, 883, 8S4, 885, 887, 888, 889. 890. 891, 892 Vanderlip, F. A __________________________________________ in , 1997-1998 Wade. F. J _________________________________________________ 1.148.151 W illis, H. P _____________________________________________ n i,3042-3050 Securities, Untermyer, Sam uel_________ i, 8S5. 889, 890, 891, 892. S94. 895, 896 State Banks, permission to borrow from, Frame, A. J ----------------------- i, 689 Stock issue— Shibley, G. H ____________________________________________ n , 1833-1860 Untermyer, Sam uel________________________■_____________________i, 829 W illis, H. P ---------------------------------------------------------- m , 3038-3039, 3060 Stockholders, public as— Jones, B reckenridge___________________________________________ u , 1037 Sprague, O. M. W ----------------------------------------------------------------------I, 559 Subscriptions to. by Country Banks— Bowman, H. H ------------------------------------------------------------------------- 1230 D rury, F. A ------------------------------------------------------------------------------ n ’ l224 Harris, B. F ---------------------------------------------------------------------------- in , 2205 Montgomery, S. B -------------------------------------------------------------------- In , 2193 W ells. E. B ------------------------------------------------------------------------- 1,948,959 ------ by Member Banks— Ailing, N. D ----- :------------------------------------------------------------ 1,414-415 Berry, W. H -------------------------------------------------------------------1,612-613 Bolton, J. W ---------------------------------------------------- 11,1572-1573,1575 Cannon, J. G------------------------------------------------------------ in , 2182-2184 Dawson, A. F ------------------------------------------------------------ in , 2103-2105 Forgan, J. B ----------------------------------------------------------------------- i. 278 IN D EX . 3223 F ed eral R eserve B an k s— C ontinued. Subscrip tion s to, by M ember B an k s— C ontinued. Page. F ren zel, J. P ________________________________________________ir, 1534 Johnston, J. T. M____________________________________________ i, 114 M cCaleb, W. F ________________________________ •._____________ i i , 1597 M cM orries, E d w in ___________________________________ ir, 1584,1586 M oehlenpah, H. A _________________________________________ i i , 1541 M oraw etz, V ictor____________________________________ m , 2670-2672 R eynolds, G. M __________________________________________ x. 255-256 Scott, J. T ___________________________________________________ i i ,1646 TTntermyer, S a m u el___________________________________ i i , 1323-1324 V anderlip, F. A _________________________________ h i , 1 9 5 8 ,1963-1966 W ade. F. J __________________________________________ 1 ,1 5 7 ,1 8 4 -1 8 6 W exler, S o l__________________________________________ i, 44-45, 6 5 -3 0 ------ by th e public— D aw son . A. F ------------------------------------------------------------- in , 2103-2104 Jenks, J. W ____________________________________ m , 2607, 3171, 3174 W ade, F . J ___________________________________________________ i, 131 T ab les— C om parison o f typ ical cen tral reserve c ity bank a s to earn in g ca p a city under presen t la w and under proposed b ill___in* 3130-3131 T e n ta tiv e incom e and expense, F ed eral R eserve B ank, N ew Y ork________________________________________ __________________ m ,2 1 5 3 See also C a p ita liza tio n — F ed eral reserve n otes— L oans— M ember B a n k s— N ation al B an k s— N ote issu e— R ediscou n tin g. F ederal R eserve B o a r d : B ank a ssets, d issip a tio n im possible, Sprague, O. M. W ------------------------- i, 531 C om pulsory loans, W exler, S o l________________________________________ i, 63 C ontrol, by G overnm ent of, B olton, J. W ______________________ i i , 1579-1580 ------ by financial in terests, U n term yer, S a m u el------------------------ n , 1336-1337 Currency, exp an sion regu lated by— F ram e, A. J ______________________________________________________ i, 719 .Tones, B reck en rid ge-----------------------------------------------i i , 1024-1025 ------ loaned to M ember B an k s by, Crozier, A. O------------------------ in , 2894-2895 D irecto rs o f F ed eral R eserve B an k s, rem oval by, Long, R. H _____ h i , 2840 D iscou n t rate— Crozier, A. O------------------------------------------------------------------------ h i , 2889, 2S91 Jenks, J. W --------------------------------------------------------------------------i i i , 3162-3163 E x ten sio n o f cred it to be p assed upon, W exler, S o l___________________' i, 46 F ed eral R eserve B an k s, replaced by, Crozier. A. O__________ h i , 2895-2905 ------ to create a s needed, C onant, C. A ___________________ i i , 1 4 1 2-1414,1450 G overnm ent vs. P resid en tia l control, B ow m an, H . H _____________________ n , 1233 M ember B an k s, d iscretion regarding. C onant, C. A ____________________ n, 1 4 1 1 -1 4 15,1440-1450 O bjections to, F ow ler, C. N _____________________________________n , 1901-1902 P erson n el— A ilin g, N. D ---------------------------------------------------------------------- 1 ,4 4 9 ,4 5 0 -4 5 1 B ald w in , W. W __________________________________________________ i i i , 2132 Cannon, J. G------------------------------------------------------------------------ i i i , 2139-2140 C laflin, J o h n ----------------------------------------------------------------------------- 1 ,5 4 3 ,5 4 6 D aw son . A. F ------------------------------------------------------------------------ h i , 2096-2098 D rury, F. A ____________________________________________________________ i i ,1222 F ish er, E. D --------------------------------------------------------------- h i , 2491, 2492-2498 F ln n n agan , W. W _________________________________________________ i, 743 F organ, J. B ----------------------------------------------------------------------------- 1 .3 1 ,3 2 ,4 0 F rench, N a th a n ie l------------------------------------------------in , 2070-2071, 2071-2072 2756-2757, 2777-2778 G ilbert. A lex a n d er---------------------------------------------- i i i , H arris, B. F -------------------------------------------------------in , 2203-2205, 2209-2210 Jen k s, J. W -------------------- i i i , 2605-2607, 3154-3155, 3157, 3161-3162, 3175 John ston , J. T. M ______________________________________________ 1 ,1 15-118 L arrabee, F. S ____________________________________________________m 2364 M cCulloch, J. L ____________________________________________i i , 1623,1624 M arshall, F. E ------------------------------------------------------------ 1 ,4 5 8 ,4 6 0 -4 6 2 .4 6 6 M ontgom ery, S. B ________________________________________________ i i i , 2193 M oraw etz, V icto r---------------------------------------------- i i i , 2665-2667, 2679, 2710 R hodes, B ra d fo rd ________________________________________________ h i , 3007 Sim m ons, W. D ------------------------------------------------------------------ in , 2485^-2486 3224 IN D EX . F ed eral R eserve B oard — C ontinued. P erson n el— C ontinued. Page. T regoe, J. H --------------------------------------------------------------- i i , 1 0 4 0 ,1043-1045 U nterm yer, S am u el___________________________________________ i. 813, 815 V anderlip, F. A — ^______________________ h i , 1980-1984, 2060-2061, 2065 W ade, F . J --------------------------------------------------------------------------------------- i, 133 W exler, S o l------------------------------------------------------------ 1 ,4 2 ,4 3 .5 9 ,6 1 .6 4 ,2 2 2 W illis, II. P ________________________________________________ m ,3 0 2 9 ,3 0 5 1 P o w ers— B olton, J. W -------------------------------------------------------------------------------- n , 1582 Conant, C. A --------------------------------------------------------------------------l i , 1392-1394 C rozier, A. O_____________________________in , 2888-2889, 2890, 2898-2900 F ish er, Ir v in g -----------------------------------------------------------------------------------------i i ,1133-1134 F lan n agan , W. W _________________________________________________ i, 800 G ilbert, A lex a n d er---------------------------m , 2743, 2745. 2752, 2754-2755. 2780 Ingle, W illia m -----------------------------------------------------------------------in , 2410-2414 Jenks, J. W ________________________ i n , 2558, 2559. 2595-2597, 2603-2604, 2609, 2610, 2627-2630, 3158, 3168, 3183-3184. 3194-3195 Jones, B reck en rid ge____________________________ n , 1 0 1 1 -1 0 1 2 ,1021-1024 K en aston , F. E ____________________________________________________ i, 970 M cCaleb, W . F _________________________________________________ n ,1 5 9 1 M oraw etz, V ictor______________________________ in , 2654-2655, 2669, 2710 Scudder, S. D __________________________________________________ in , 2241 Sim m ons, W. D _________________________________________________ in . 2516 Sprague, O. M. W ________________________________________ 1 ,3 6 1 -3 6 2 .5 2 5 U nterm yer, S a m u el__________________________________________ i, 861-867, 8 6 8 -8 0 9 ; n , 1 2 9 5 -1 2 9 8 ,1 3 1 9 ,1 3 3 7 -1 3 3 8 ,1359 V anderlip, F. A ______________ in , 1 9 3 5 -1 9 3 6 .1 9 3 9 ,1 9 6 6 -1 9 6 7 ,1 9 8 4 -1 9 9 6 W exler, S o l_________________________________________________ 1 ,4 6 -4 7 .2 2 2 W heeler, H. A _______________________________________ in . 2525, 2526, 2531 W illis, H . P ______________________________ in , 3051-3052, 3076, 3080-3087 P ublic d ep osits, Ingle, W illia m ________________________________ in , 2410-2414 R ed iscou n tin g, com pelled by, John ston . J. T. M-----------------------------i, 118-119 ------ su p ervision , U n term eyer, S a m u el--------------------------------------------------- i. S68 R ep resen tation , o f banks on, F ren zel, J. P _________________________ H, 1534 ------ o f F ed eral A d visory C ouncil on— Jen k s, J. W ________________________________________________ n i, 2605 Sprague, O. M. W _____________________________________________ i. 525 R eserve c itie s and cen tral reserve c itie s d esign ated , W exler, S o l— i, 373-374 S tockholders, rep resen tation , M arsh all, F. E _________________________ I, 458 S uspension o f M ember B an k s, Jones, B reck en rid ge------------------ n , 1006-1007 F ed eral reserve d isir ic ts, C entral B ank bran ch es to be esta b lish ed in. Jenks, J. W ___________________________________________________________ h i , 3159 F ed eral reserv e n o te s: A m endm ents to proposed b ill concerning— F ish er, E. D _______________________________________________ in , 2502-2513 Sim m ons, W. D __________________________________________________ in , 2486 Issu e o f— A ilin g, N. D ______________________________________________ 1 ,4 0 8 ,4 1 7 -4 1 8 B olton, J. W ______________________________________________________ 11,1572 Cannon, J. G ______________________________________________ h i . 2140-2141 Conant, C. A ________________________________________________ n , 1419-1436 G ilbert, A lex a n d er_____________________________ h i , 2781-2782, 2.817-2819 H ill, E. J ______________________ i, 263-265. 267. 268, 269. 271. 273. 274. 284 Jen k s, J. W __________________________m ,2 5 5 3 ,2 5 5 7 ,2 6 0 1 ,2 6 2 6 -2 6 2 1 ,3 1 7 9 M cR ae. T. C------------------------------------------------------------------------------------------- i i ,1284 M arshall, F . E --------------------------------------------------------------------------i, 464-465 M oehlenpah, H. G-------------------------------------------------------------------------n , 1564 M oraw etz, V ictor------------------------------------- h i , 2635-2644. 2662, 2678, 2684 T regoe, J. H ----------------------------------------------------------------- i i , 1040,1045-1048 U n term yer, S a m u el------------------------------------- 1 ,8 8 8 ,8 8 9 ,8 9 0 ; n , 1320-1321 W ade, F. J -------------------------------------------------------------------------------------- 1 , 129 L egal tender— B erry, W. I I _____________________________________ 1 ,5 8 9 ,5 9 3 ,6 1 9 .6 2 0 ,6 2 1 C rozier, A. O_______________________________________________ i i i , 2902-2903 F rench, N a th a n ie l_________________________________________ i i i ,2080-2081 Jen k s, J. W ________________________________________________ h i . 3186, 3189 R eyn old s, G. M__________________________________ i, 291-292, 293, 294. 295 INDEX, 3225 F ed eral reserve n otes— C ontinued. L ien upon a ss e ts o f F ed eral R eserve B an k s— Pago. H ulbert, E. D -------------------------------------------------------------------------------------- u , 1107-1108 R ogers, G. W ------------------------------------------------------------------------------ h i , 2252 U n ten n y er, S am u el______________________________i, 892, 893, 894, 895, 896 O bjections— B ow m an , H. H ______________________________________________n , 1226,1227 F lan n agan , W . W ________________________________________________ i, 747 R edem ption— A ilin g, N. D ______________________________________________________ 1,413 B ow m an, H. H ______ „_____________________________________ i i , 1240-1247 Cannon, J. G___________________________________ i i i , 2140-2141, 2163-2165 French, N a th a n ie l--------------------------------------------------------------- h i , 2075-2080 Ingle, W illia m ________________________________ in , 2371-2372, 2416-2417 Jen k s, J. W ___________________________________ 111,2559,2579-2580.2586 25S9, 2593, 2617-2619, 3163, 3179-3183 M arshall, F. E --------------------------------------------------------------------------- i, 472-473 M oraw etz, V ictor------------------------------------------------------ m , 2645-2649, 2710 R hodes, B r a d fo r d --------------------------------------------------------------- rri, 3005, 3007 W exler, S o l------------------------------------------------------------------------------------ i, 72 W illis, H. P ____________________________________ i i i ,3 0 3 0 -3 0 3 2 ,3 0 3 4 -3 0 3 5 R eserves, Jenks, J. W ----------------------------------------------------------------- i i i , 3163-3164 R etirem en t— F ren zel, J. P _ : ______________________________________________n , 1631-1639 Jenks, J. W ________________________________________________ in . 3186-3189 M arshall, F. E _________________________________________________ i, 473-474 S ecu rities for issu e— D aw son , A. F _________________________________ i i i , 2090-2093, 2094-2095 F lan n agan , W. W ------------------------------------------------------------------------- i, 749 Fram e, A. J ___________________________________________________ i> 697-698 Jones, B reck en rid ge_______________________________________n . 1048-1050 M arshall, F. E _________________________________________________ t. 467-472 Sim m ons, W. D ____________________________________ in , 2486, 2515. 2516 Sprague, O. M. W __________________________________ 1 ,5 0 1 -5 0 4 .5 2 3 -5 2 4 Sym e, F. J_________________________________________________ i i i , 2872-2875 i, 909, 919 U nterm yer, S a m u e l---------------------------------------------------------------F ish er, E dm und D. (D e p u ty C om ptroller o f N ew York C ity ) : T e s t i m o n y --------------------------------------------------------------- in , 2487-2513, 3138-3140 Central B an k , a d v a n ta g e s------------------------------------------------------------------ m T2487 C urrency b ill, am en d m en ts to proposed b ill_in , 2491. 2492, 2498, 2500, 2502 F ed eral A d visory C ouncil, am en d m en ts to proposed bill concern in g ------------------------------------------------------------------------------------------------------------- i i i ,2492-2498 F ed eral R eserve B an k s, num ber__________________________________________ i i i ,2498-2499 F ed eral R eserve B oard, p erson n el_______________________ i i i , 2491, 2492-2498 F ederal reserve n otes, am en d m en ts to proposed b ill con cern in g- in . 2502-2513 R ediscou n tin g, am en d m en ts to proposed b ill con cern in g _____ in . 2500-2502 F ish er, Irv in g (Y a le U n iv e r sity ) : T e s t i m o n y ___________________________________________________________________ i i ,1129-1159 B ank notes, p rovision fo r retirem en t________________________________ i i , 1136 B an k in g system , P resen t, d e fe c ts o f_______________ i i . 1130,1138-1139,1141 C urrency e la s tic ity , under p resen t la w _________________ i i , 1138-1139,1141 E ffects o f p a ssin g proposed b ill_________________________ i i , 1132-1133,1136 E m ergency m easu re needed to tak e p lace o f Aid rich-V reeland A c t- n , 1130 F avorab le to proposed b ill, w ith am en d m en ts_____ 1 1 ,1 1 3 0 ,1 1 3 1 ,1 1 4 5 ,1 1 4 6 F ed eral R eserve B an k s, r eserv es______________________________ i i , 1137-1141 F ed eral R eserv e B oard, reduction o f p ow ers_________________ i i , 1133-1134 P rin cip al p oin ts in p resen t b an k in g system n eed in g reform _____ i, S03-S07 F lan n agan . W illiam W. (M on tclair. N. J .) : T e s t i m o n y _______________________________________I, 738-8 0 8 ; h i , 2726-2729 B ank ex a m in ers— A p p oin tm en t and d u tie s______________________________________i, 796-797 C o m p en sa tio n __________________________________________________ I, 798 C learin g cen ters, F ed eral R eserve B a n k s_____________________________ i, 796 Credit, e x p la n a tio n o f ________________________________________ I, 740-742, 744 C urrency b ill, am en d m en ts to proposed b ill_______________ .___________i, 750, 751, 770. 771. 772, 773, 774, 775, 776, 777, 778, 795, 796 3226 IN D EX . Flannagan. W illiam W.—Continued. Page. Currency expansion, provision for______________________________ i, 755-760 Federal Reserve Banks— A d van tages------------------------------------------------------------------------- i, 752, 753 D iscounting_____________________________________________________ i, 777 Federal R eserve Board— Personnel_________________________________ 743 Pow ers--------------------------------------------------------------------------------- 1 , 800,’ 801 France, Bank of, statem ents relating to______________________________ 1 , 765 Germany, Reichsbank of, currency___________________________________ 1 , 765 Individual Banks— D eposits--------------------------------------------------------------------------------1, 753, 759 Note issu e-------------------------------------------------------------- 1,749,751,752,753 N ote issue— Federal Reserve Banks, collateral security____________________ 1 ,749 ------ objections__________________________________________________ 1 , 747 N ational B anks------------------------------------------------------1 , 746-747, 748, 750 Retirem ent of, provision for_____________________________________1, 765 Redemption, bank notes__________________________________________ i, 781, 782 Securities, note issue, Federal R eserve B anks_______________________1 , 749 Foote, Francis W. (vice president. First N ational Bank of Commerce, H attiesburg, M iss.) : T e s t i m o n y ------------------------------------------------------------ 11 ,1514,-1532,1613-1621 Checks and drafts, exchanged at par by Federal Reserve Banks n , 1517-1518,1616-1621 Forgan Jam es B. (president, F irst N ational Bank, Chicago, 111.) : T e s t i m o n y ---------------------------- 1 , 25-42, 44,154,198-200, 201, 277-283, 304-306 B anking system, Present, defects___________________________________ 1 , 27 Central Bank— A d v a n ta g e s __________________________________________________ 1 ,2 7 . 2 8 .3 9 N o te i s s u e _________________________________________________________ 1 ,3 9 C hecks and d ra fts, exch an ge a t par by F ed eral R eserv e B a n k s 1 ,1 9 8 -2 0 0 , 201 C ountry B a n k s— N o benefit received under proposed sy s te m _______________________ 1 , 39 R e se r v e s_____________________________________________________________ 1 , 281 C urrency c o n tr a c tio n ______________________________ E nglan d , B ank of. d irecto rs______________________________________ 1 , 32-33, 44 F ed era l R eserve B an k s— C a p it a l__________________________________________________________ 1 , 2(1-30 N u m b e r _____________________________ _____________________ 1 , 27. 28, 29. 37 R ed iscou n tin g ___________________________________________ 1 , 279, 281, 282 R eserves __________________________________________________________ 1 ,37 F ed eral R eserv e B oard, p erson n el__________________________________ 1 ,3 2 , 40 M ember B a n k s— R ed iscou n tin g fo r _____________________________________________ 1 , 279. 281 Subscrip tion to F ed eral R eserve B a n k s___________________________ 1 , 278 N a tio n a l B an k s, effect on ca p ita l by subscrip tion to F ed eral R eserve B a n k s_________________________________________________________________ 1 ,1 5 4 R eserves, G o v ern m en t__________________________________________________ 1 ,3 0 4 F o ster, F rank H .. lette r opposing sectio n in proposed bill rela tin g to sa v in g s d e p a r tm e n ts _________________________________________________ i n , 2632-2634 F ow ler, C harles N. (E liza b eth , N. J . ) : Testimony ---------------------------------------------------------------------------------------------------- n , 1863-1931 A ld rich -V reelan d A ct, o b jectio n s-------------------------------------------------------- n , 1903 B an k n o tes— I s s u e ---------------------------------------------------------------------------- 11 ,1 8 7 0 ,1 8 7 5 ,1 8 8 1 R e tir e m e n t--------------------------------------------------------------------------- 11 ,1 9 0 8 -1 9 0 9 B onds, opposition to refu n d in g o f 2 per c e n t_________________________ 11 ,1 8 7 0 C entral B ank, o b jectio n s-----------------------------------------------------------------------11 ,1 9 1 7 C urrency b ill— A m en d m en ts to proposed b ill_______ ______________________ n , 1916-1917 O bjections to proposed b ill------ n , 1 8 8 2 ,1 8 8 4 ,1 8 9 9 -1 9 0 2 ,1 9 1 3 ,1 9 1 4 -1 9 1 6 C urrency, supply under proposed b ill-------------------------------------------------------------n , 1914-1915 F ed eral R eserve B an k s, nu m b er-------------------------------------------------n , 1902,1912 F ed era l R eserve B oard, o b jectio n s to ______________________________________ n , 1901-1902 G erm any, R eich sb an k of, n ote is s u e ----------------------------------------------------- 11 ,1 8 8 0 INDEX, t 3227 F ow ler, C harles N .— Continued. N ote issu e— ' Paga. B y b a n k s ------------------------------------------------------------------------------ u , 1905-1906 G overnm ent should n ot is su e ___________________________________ n , 1898 R edem ption, bank n o te s_____________________________________________ i i , 1914 R ed iscou n tin g— B an k in g system , P r e se n t___________________________________ i i , 18S8-1890 F ed eral R eserve B anks, ob jection s-------------------------------------------- n , 1902 R eform s needed in b an k in g_____________________________________ n , 1917-1931 R eserves, F ed eral R eserve B a n k s_______ i i , 1 8 8 1 ,1 8 8 5 ,1 8 9 8 ,1 9 0 3 ,1 9 0 7 ,1 9 0 8 Fram e, A nd rew J a y (p resid en t, W aukesha N atio n a l B ank, W aukesha, W is.) : T e s t i m o n y ________________________________________________________ i, 674-738 B ank notes, n ecessity fo r __________________________________________ i, 725-726 B a n k i n g R e f o r m , S o m e F a c t s v e r s u s F a l l a c i e s _______________________ i . 730-738 B an k in g system , P resen t— A d v a n ta g e s _______________________________________________________ i, 709 D e f e c t s ----------------------------------------------------------------------------------------------------------- i , 686 B onds, ob jection s to refu n d in g 2 per cent bonds ____________________ i , 729-730 C anada, b anking sy ste m ---------------------------------------------------------------------------------i, 707-709 C ountry B a n k s— C a p ita liza tio n ----------------------------------------------------------------------------------------------- i, 684 O bjections to proposed b ill __________________________________________ i , 716-717 R eserves, u n ju st am ount required __________________________________ i, 687-688 C urrency b ill— A m endm ents to proposed b ill_____________________________________ i, 688 C om pulsory fe a tu r e objected to _______________________________ i, 719-720 C urrency e la stic ity , presen t banking sy ste m -----------------------------------------i, 690 C urrency exp an sion . F ed eral R eserve B oard to reg u la te----------------------------i, 719 F ed eral R eserve B an k s, reserv es______________________________________ i, 693 F ed eral reserve notes, se c u r itie s_________________________________ 1 ,697-698 G overnm ent bonds a s co lla tera l se c u r ity _______________________________ i, 697 M ember B an k s— R eserv es required, ob jection --------------------------------'------------------ i, 679-680 S u bscription to F ed eral R eserve B a n k s------------------------- i, 678, 6S0-681 N ation al B an k s— C a p ita liza tio n ______________________________________________________ I,684 Q uestion a s to jo in in g F ed eral R eserve B a n k s_______________ i, 680-681 R esolu tion s o f W iscon sin banks am ending proposed b ill_______ _ i, 684 P an ics, p reven tion __________________________________________________ i, 677-678 R eserv es— F ed eral R eserve B a n k s________________________________________ i, 726-728 M ember B a n k s_________________________________________________ I, 717-719 M obilization of, under proposed b ill___________________________ i, 688, 689 S a v in g s d epartm ents, ob jection s to proposed b ill_______________________ I,684 S ta te B an k s, p erm ission to borrow from F ederal R eserve B a n k s--------i, 689 F rance, B an k o f : Directors, Untermyer, Sam uel--------------------------------------------------------- i, 813 Note issue, legal tender, Sprague, O. M. W __________________________ i, 297 Reserves, Hulbert, E. D ___________________________________________ n , 1125 Statem ents relating to— Chapman, Joseph___________________________________________1 ,191-192 Flannagan, W. W __________________________________________________ I,765 Wade, F. J _________________________________________________ 1 , 136,137 W exler, Sol________________________________________________________ i, 103 Tables— I n t e r e s t _______________________________________________ i, 536, 538-542 R eserve of actual gold versus notes only, versus notes and de posits against deposits only______________________________________ i, 456 Franklin, N. E., letter stating South Dakota bankers’ objections to pro posed b ill---------------------------------------------------------------------------------- 11,1723-1724 French, Nathaniel (Davenport, Iow a) : T e s t i m o n y --------------------------------------------------------------------------- m , 2069-2082 Banking system , Present, d efects_________________________________ m , 2070 Country Banks, membership in Federal reserve system ____________ in , 2070 3228 IN D EX . F rench, N a th a n iel— C ontinued. C urrency b ill— Page. M erits o f proposed b ill__________________________________________ h i , 2070 O bjections to proposed b ill_________________________________ in , 2070-2081 C urrency e la s tic ity _______ *__________________________________________ h i , 2070 F ed eral R eserve B an k s, rem oval o f d irectors by F ed eral R eserve B o a r d _________________________________________________________in , 2071-2072 F ed eral R eserve B oard — P e r s o n n e l__________________________________________________ in , 2070-2071 P o w e r s _____________________________________________________ in , 2071-2072 F ed eral reserve n o tes— L egal t e n d e r _____________________________________________ in , 2080-2081 R ed em p tion _________________________________________________ i l l , 2075-2080 M ember B a n k s— M em bership in F ed eral reserve sy ste m _________________________ m , 2070 Stock d ivid en d s in crea sed ______________________________________ in . 2072 R eserves— Loaned to preven t p a n ic s__________________________________ in , 2074-2075 M obilization of, under proposed b ill____________________________i n , 2070 P rovid ed under proposed b ill_______________________________ in . 2073-2074 S ta te B anks, m em bership in F ed eral reserve sy s te m ______________ in , 2070 F ren zel, John P. ( vice president, M erchants’ N a tio n a l B ank. In d ian ap olis, In d .) : Testimony________________________________ n , 1533-1539,1610-1613.162.8-1639 B an k in g system . P resen t, d e fe c ts___________________________________________ n , 1628-1631 C entral B ank, fa vorab le t o _______________________________ n , 1 5 3 4 ,1 6 1 1 ,1 6 1 2 C urrency b ill— A m en d m en ts to proposed b ill__________________________________________ n , 1612-1613 O b jection s o f In d ia n a B a n k ers’ A sso cia tio n to proposed b ill___n , 1533 C urrency exp an sion , ch eck s on ----------------------------------------------------------------------n , 1637-1639 F ed eral R eserve B an k s, num ber_________________________ n , 1 5 3 4,1610-1612 F ed eral R eserv e B oard, rep resen tation on __________________________ n , 1534 F ed eral reserve notes, retirem en t__________________________________________ n , 1631-1639 Member Banks, subscription to Federal R eserve Banks optional----- n , 1534 Savings department, National Banks, amendment to proposed bill — n ,1612-1613 Germany, Reichsbank o f : Currency. Flannagnn. W. W ________________________________________I, 765 ------ contingent, Ailing, N. D ________________________________ i, 409. 410-411 N ote issue— Fowler, C. N ------------------------------- ------------------------------------------ n , 1880 Sprague, O. M. W --------------------------------------------------------------------- 1 ,297 Reserves— Reynolds, G. M_________________________________________________ I, 295 Sprague, O. M. W ______________________________________________ 1 ,506 Tables— I n t e r e s t _______________________________________________ i, 535, 538-542 Reserves o f actual gold versus notes only, versus notes and de posits against deposits only__________________________________ I, 456 Gilbert, Alexander (president of Market & Fulton National Bank, New York, N. Y.) : T e s t i m o n y -----------------------------------------------------------------------------in , 2733-2834 Ranking, supervision by Government______________________________ h i , 2822 B anking system , Present— D e f e c t s -----------------------------------------------------------------------------------in , 2752 Favorable to---------------------------------------------------------------------in . 2815. 2817 Central Bank, favorable to------------------------------------ h i , 2752,2754-2755. 2779 Clearing-house certificates— Allowed in tim e of panic----------------------------------------- h i , 2739. 2743-2745 Prohibited as circulating notes___________________________ in , 2738-2740 Credit, expansion--------------------------------------------------------------------------- in . 2781 Currency bill— Amendments to proposed b ill____________________________ in , 2743, 2744 Objections to ------------------------------------------------------------------- in , 2777-2778 Federal A dvisory Council, representation of Federal Reserve Banks o n ___________________________________________________________________ in . 2756 IN D EX . 3229 Gilbert, A lexander—Continued. Federal Reserve B anks— Page. Number _______________________________________________ h i , 2745, 2746 R e se r v e s_______________________________________________ in , 2740, 2782 Subscription to, by Member Banks optional-------------------- in , 2756, 2777 Federal R eserve Board— P o w e r s ___________________________ i i i , 2743, 2745, 2752, 2754-2755, 2780 Federal reserve notes, issue o f___________________ ii i , 2781-2782, 2817-2810 Open-market operations________________ ,______________ in , 2745, 2786-2787 Glass-Owen B ill. See Currency bill (O wen-Glass). Gold, currency basis, Berry, W. H __________________________I, 590, 591. 592, 593 Gold certificates, retirement, Reynolds. G. M------------------------------------------ i, 302 Gold reserve. See Reserves. Government B a n k : Objections to, W exler, Sol___________________________________________ I, 354 Outlined, Conant, C. A ---------------------------------------------------------- n , 1499-1513 Plan for, Yanderlip, F. A ------------------------------------------------------i i i , 2911-2967 Government bond s: Federal reserve notes, secured by, Berry, W. H ------------------ i, 589-590, 593 Retirem ent, Drury, F. A --------------------------------------------------------------n , 1225 Security of, Frame, A. J ____________________________________________ i, 697 Government d ep o sits: Federal Reserve Banks, Untermyer, Sam uel____________ n , 1322-1323,1324 Interest— Kena ston, F. E ____________________________________________ i, 969-979 M arshall, F. E _____________________________________________ 1,466-467 Redemption of Federal reserve notes, M arshall, F. E ------------------ i, 472^173 Reserve associations, Berry, W. H _________________________________ i, 596 Government in banking business: Objections to— Conant, C. A ____________________________________________ n , 1386-1387 m ,3 050-3051 W illis, H. P ________________________________________ Proposed bill does not favor, Untermyer, Sam uel----- ------------ n , 1294-1295 Statem ents relating to— B assett, J. C---------------------------------------------------------------------------n , 1678 Bucholz, W. H _____________________________________________________ in , 2429 Wade, F. J ____________________________________________________- i, 131 G reenbacks: Legal tender, benefit or detriment, Reynolds, G. M______________ i, 292-293 Objectionable as currency, Reynolds, G. M-------------------------- 1,297,301-302 Hallock, Jam es C. (Brooklyn, N. Y.) : T e s t i m o n y ___________________________________________________ n , 1684-1709 Amendments to proposed b ill---------------------------------n , 1699-1700,1704-1707 Central Bank, favorable to---------------------------------------------------- n , 1700-1701 Panic of 1907, cau ses_________________________ n , 16S6,1689-1696,1709-1714 Harrington, Charles M. (M inneapolis, Minn.) : T e s t i m o n y ______________________________________________________ i, 960-966 Country Banks, loss of reserve deposits under proposed b ill- i, 962, 984-966 Credit contraction__________________________________________ i, 962, 964-965 Crop movements, affected by proposed b ill______________________i, 960-962 Rediscounting, Federal R eserve B anks__________________________ i, 962. 966 Savings deposits, unavailable for commercial purposes under pro posed b ill_- _____________________________________________ i, 962, 963-964 Harris, B. F. (vice president, F irst N ational Bank, Champaign, 111.) : T e s t i m o n y _________________________________________________ h i , 2202-2215 Currency bill, objections____________________ _______________ in , 2203, 2208 Federal R eserve Banks, subscription by Country B anks to _________ h i . 2205 Federal Reserve Board, personnel________________ iii , 2203-2205, 2209-2210 Member Banks, membership in Federal reserve system optional_____ in , 2205-2206, 2207 Hawaii, legislation should not affect present statu s o f banks, Peck, L. T ________________________________ _________________________ n i,2 8 7 5 -2 8 8 2 Hepburn, A. B arton: Address o f__________________________________________________________ i, 30 Central Bank, advantages o f________________________________________ 1 , 30 D efects of present banking system _________________________________ 1 , 30 3230 IN D E X . H ill, E. J. (vice president, N ational Bank of Norwalk, Norwalk, Conn.) : Page. T e s t i m o n y _____________________________________________ i, 258-277, 283-287 Aldrich-Vreeland Act, opposition to_____________________________ i, 269, 271 Bank notes, retirem ent___________________________________________ i, 262-263 Central Bank— Government supervision__________________________________________i, 285 » L im itation o f ___________________________________________________ I, 286 N ote issu e----------------------------------------------------------------------------------- i, 287 R e s e r v e s ________________________________________________________ i, 286 Country Banks— A dvantages o f home supervision under State la w ________________ i, 286 R e s e r v e s ____________________________________________________i, 261-262 Currency expansion________________________________________ i, 269, 276. 279 Federal Reserve B anks— Note issu e___________________ I, 263-265, 267, 268, 269, 271, 273, 274. 284 N u m b e r _______________________________________________ i, 259, 264, 271 R eserves_____i, 260. 261, 264, 265-266. 267, 268, 266-271, 272. 273, 275, 276 Note issue by Government, opposed_________________________ i, 263, 264, 268 Redemption— Bank n o te s ____________________________________________ I, 258-268. 273 F ive per cent fund___________________________________________ i, 258-263 Reserves, red u ction _____________________________________________ i, 260, 261 Treasury notes, issue o f_________________________________________ x, 283-284 Holland. S e e Netherlands. Hubbard, J. A., a n d o t h e r s (F irst N ational Bank. Plainfield, N. J.) : Letter opposing proposed b ill_____________________________________in , 2788 Hulbert, E. D. (vice president, Merchants’ Loan & Trust Co., Chicago, 111. ) : T e s t i m o n y __________________________________________________ n , 1094—1129 Aldrich-Vreeland Act. dangers under______________________________ it, 1119 Currency bill, objections--------------------------------------------------------n , 1095-1127 Currency expansion, injurious effects of inflation_________________ n , 1121 Farm loans, short-time lim it objectionable____________________ n , 1112,1113 Federal R eserve A gents___________________________________________ n . 1097 Federal Reserve Banks, powers o f directors---------------------------n , 1109-1111 Federal reserve notes first lien upon assets o f Federal Reserve B anks ____________________________________________________ n , 1107-1108 France, Bank of, reserves_________________________________________ n , 1125 Member Banks, expenses of collecting funds____________ n , 1101-1103,1105 Open-market operations, ob jectio n s----------------------- n , 1097,1098,1100.1101 Reorganization not necessary under present banking system ---------- n , 1123 Savings departm ents, provision should be elim inated--------------n , 1114-1117 State B anks_______________________ n , 1094-1096,1112-1113,1114-1115,1117 Imperial Bank of Germany. S e e Germany, Reichsbank of. Indiana Bankers’ A ssociation, currency bill, objections------------------------- n , 1533 Individual B a n k s: Country Banks, benefited under proposed bill, Untermyer, Sam u el. 1,934-937 D eposits, Flannagan, W. W ______________________________________ I, 735, 759 Note issue— Flannagan, W. W_________________________________ 1,749,751,752,753 Untermyer, Sam uel__________________________________________________ i, 903-909 Inflation of currency. S e e Currency, expansion. Ingle, W illiam (vice president, M erchants & M echanics National Bank, Baltim ore, Md.) : T e s t i m o n y ---------------------------------------------------------------------------- in . 2369-2419 Bonds, objections to refunding o f 2 per cent--------------- m , 2376-2377. 2411 Checks and drafts, exchange at par by Federal Reserve B a n k s, iii , 2384-2405 Commercial paper, lim it should be increased_______________ h i . 2402-2404 Currency bill, objections-------------------------------------- i i i , 2371, 2376,23S4, 2416 D iscounting rates------------------------------------------------------------------------- m , 2410 Redemption— F ive per cent fund___________ i i i , 2373, 2378, 2381. 2382, 23S3, 23!§4, 2396 Government notes in gold----------------------------------------------- i ii , 2371-2372 Rediscounting, objections------------------------------------------------------ i i i , 2402-2404 Reserves, Federal Reserve B anks___________________________ iii , 2378-2404 Inland Exchange Committee, Report to New York Clearing-House Com m itte e ------------------------------------------------------------------------------------- in.2789-2791 IN D EX . 3231 I’a go. Insular possessions, proposed bill does not include, Peck, L. T ----------------in , 2875, 2881-2882 In te r e st: Banks not to receive, upon deposits, Reynolds, G. M------------------ i, 224-225 Federal Reserve Banks— Jenks, J. W _____________________________________________ h i , 2581-2582 Sprague, O. M. W _____________________ — ------------------------- i, 504-505 Tregoe, J. H _________________________________________________ i i , 1040 Government deposits— . Kenaston, F. E ____________________________________________ i i , 969-970 Marshall, F. E _____________________________________________ 1.466-467 Member Banks, charge by, Crozier. A. O------------------------------- in , 2891-2892 ------ charged by Federal Reserve Banks, Scott, J. T __________ i i , 1647-1648 Public deposits, Ingle, W illiam ______________________________ in , 2410-2414 Rates, different sections of country, W exler, Sol__________________ i, 96-99 ------ regulated by Federal Reserve Banks, Jenks, J. W ______ in , 2627-2630 Tables, European reserve banks-------------------------------------------------i, 534-542 Investm ents. S e e a l s o Loans— Securities. Jacobs, George M., letter objecting to provisions in proposed b ill- h i , 3111-3112 Jenks, Jerem iah W. (N ew York U niversity, New York City) : T e s t i m o n y _______________________________________ in , 2552-2634. 3153-3196 Bank notes, retirem ent-------------------------------------------------in , 2567, 2570, 2572 Branch banks, directors__________________________________________ h i , 3160 Canada, banking system ------------------------------- in , 2577, 2578-2579, 2581, 2613 Central Bank— A dvantages_____________________________________________ in , 3191-3192 Branch b a n k s__________________________________________in , 3159-3160 C apitalization__________________________ in , 3155-3156, 3167-3168, 3169 Favorable to__ in , 2603-2604, 2605, 2609, 2611-2612, 3154, 3158, 3166, 3195 Period of existence should not be lim ited____________________ in , 3158 Stock issu e------------------------------------------------------------ in , 3159, 3160, 3165 Checks and drafts— Country Banks allowed expenses for collecting_________ in , 3171-3173 Exchange, a t par by Federal R eserve B anks_________________ m , 3183 Credit expansion------------------------------------------------------------------ h i , 2613-2614 Currency bill— Amendments to proposed b ill___________________________ in , 2570-2580 2581-2582, 2617-2618, 2620, 3154-5168, 3183, 3185, 3194-3195 Merits o f proposed b ill_____________________________ ________ n i, 2596, 2601-2602, 2610, 2615, 2617, 2624, 3172, 3182 Objections to proposed b ill---------------------------- in , 2604, 2619, 2622, 2626 Currency elasticity, provided under proposed b ill_______in , 2559, 2579, 2610 Currency expansion— Commercial paper m easures_______________________in , 2564-2566, 3182 Prices increased-------------------------------------------------------------------- n i, 2578 D efects in present banking system _______________ in , 2552-2553, 2614-2615 D iscounting rates------------------------------------------------------------------------- in , 2627 Farm loans— Elim ination o f provision for___________________________ n i, 2622, 2626 Limited as to am ount________________________________________ in , 3164 Federal Advisory Council, representation on Federal Reserve B o a r d -----------it i ,2 6 0 5 Federal R eserve Agents, d u ties_________________________ in , 2559, 2564, 2583 Federal R eserve Banks— Clearing-house for Country B an k s____________________________ in , 3172 D irectors----------------------------------------------- in , 2595-2597, 3175, 3183-3184 D isc o u n tin g ---------------------------------- in , 3177-5178, 3183-3185, 3195-3196 Interest not to be paid on deposits_____________ :_________ n i, 2581-2582 N ote issue---------------------------------------------- in , 2553, 2557, 2601, 2620-2621 R ed isco u n tin g _______________________________________________ IIr, 2598 R e se r v e s----------------------m , 2553, 2557-2558, 2565-2566, 2594-2596,' 3176 Subscription to, by the public______________________in , 2607, 3171, 3174 Federal Reserve Board— P e r so n n e l----------------------111 , 2605-2607, 3154-3155, 3157, 3161-3162, 3175 P o w e r s ----------------------------------------n i, 2558, 2559, 2595-2597, 2603-2604, 2609, 2610, 2627-2630, 3158, 3168, 3183-3184, 3194-3195 3232 IN D EX . Jenks, Jerem iah W.— Continued. Federal reserve notes— Page. Issue o f--------------------------------------------------------------------------------- i ii ,3171> Legal tender_____________________________________________ iii , 3186, 3180 R edem ption_________________________________________________ n i, 2559. 2579-2580, 25S6, 2589, 2593, 2617-2019, 3103, 3170-S183 4 R e se r v e s_________________________________________________ h i , 3163-3164 R etirem en t______________________________________________ in , 3186-3189 Interest, rates regulated by Federal R eserve B anks___________ in , 2627-2630 Loans, control by Federal R eserve B anks_________________________in , 3154 Member Banks— Membership in Federal reserve system optional___ in , 2607, 2608, 3161 Subscription to Federal reserve system ___________ in , 2567-2568, 3174 Mortgage loans, investm ent by banks in -----------------------------------------in , 2622 Open-market operations, discount to be charged____________ in , 3102-3103 Reserves, control should be unified----------------------------------------------- in , 3154 Savings departm ents— Elim ination of provision for____________________________ in , 2622, 2626 National Banks, approved___________________________________ in , 3164 Stock-exchange loans, investm ent by banks in_____________________in , 2624 Jew ett, H. C. (Aberdeen, S. D ak.) : T e s t i m o n y __________________________________________________ i i , 1682-1684 Commercial paper, lim it should be increased_________________ i i , 1682-1683 Farm loans, value as security_______________________________ i i , 1683-1684 Johnston. John T. M. (president of N ational R eserve Bank, K ansas City, Mo.) : T e s t i m o n y ______________________________________________________________ i, 109-123 Currency legislation, urgency o f------------------------------------------------------- i, 116 Farm loans, short-tim e lim it objectionable---------------------------------1.120-121 Federal Reserve Banks— Location____________________________________________ 1,112-113,117-118 N um b er____________________________________________________ 1,112-113 Federal R eserve Board, personnel________________________________ 1.115-118 Member Banks— Interest on subscriptions to Federal Reserve B anks-------------------- i, 119 Membership in Federal reserve system optional______________________i, 113-114 Subscription to Federal Reserve B anks--------------------------------------------i, 114 Rediscounting, compulsory by other Federal R eserve B anks_____i, 118-119 Reserves, reduction o f___________________________________________________ i, 120 Savings departm ents, elim ination of provision for________________________ i, 121 Jones, Breckenridge (president of M ississippi Valley Trust Co., St. Louis, Mo.) : T e s t i m o n y __________________________________________ i i , 998—1038.1048-1050 Country Banks— A dvantages under proposed b ill__________________________ n , 1029-1034 R eserves______________________________________________________ n , 1000 Currency bill, am endm ents_________________________ i i , 999-1003,1006,1012 Currency expansion. Federal Reserve Board to regulate---------n , 1024—1025 D iscounting, method in proposed bill commended-------------------- n , 1025-1027 Federal R eserve Banks— Number--------------------------------------------------------------------------- ii , 1034-1036 Public as stockholders________________________________________ i i , 1037 Federal Reserve Board— Powers should be restricted---------------------------------------------- i i . 1011-1012 Publicity curbs p o w er____________________________________n , 1021-1024 Suspension o f Member B anks-------------------------------------------n , 1006-1007 Federal reserve notes, securities for issu e_____________________ ii , 1048-1050 N ational Banks, present advantages__________________________ n , 1020-1021 Open-market operations, objections----------------------------------------- n , 1036-1037 Reserves, Member B anks_____________________________________n , 1037-1038 Savings departments— E lim ination from N ational B anks_________________ n , 1005.1013-1019 R egulations for conduct o f----------------------------------------------- i i , 1011-1013 R eserves__________________________________________________n , 1002-1005 State Banks, membership in Federal reserve system ___________ n . 1007-1011 IN D EX . 3233 Jones, Breckenridge— Continued. Trust companies—■ Page. Amendments to proposed b ill------------------------------------ n , 999-1003,1006 Membership in Federal reserve system ---------------------------- i i , 1007-1011 Statem ents relating to__________________________________ i i , 1015-1017 Jones, Gordon (president, United States National Bank, Denver, Colo.) : T e s t i m o n y ________________________________________ h i , 2259-2272, 2272-2281 Bonds, objections to refunding of 2 per cent------------------------- i i i , 2260-2272 Country Banks, membership in Federal reserve system op tional------------------------------- ----------------------------------------------- xn,2263-2272 Currency bill, objections------1-------------------------------------- i i t , 2260-2265, 2273 Joy, Benjamin, letter relating to Boston Clearing H ouse----------------------i ii , 3129 Kenaston, F. E. (Minneapolis, Minn.) : T e s t i m o n y ______________________________ _______________________ i, 967-998 A dvantages of present banking system ---------------------------------------------- u , 969 Country Banks, reserves------------------------------------------------------------ i i , 972-974 Credit, contraction------------------------------------------------ i, 967-969; n , 984-990 Currency bill, objections to--------------------------------------------------------- i i , 968-970 Federal R eserve Banks— Business conditions in Northwestern S tates_______ u , 982-983, 992-994 C apitalization ---------------------------------------------------------------------- i i , 980-9S2 Compulsory contributions objectionable______________________ n , 969, 982 Interest on Government deposits compulsory________________ u , 969-970 N u m b e r ------------------------------------------------------------------------------------ i i , 983 Federal Reserve Board, powers__________________________ Objections to short-time commercial paper____11 , 967-969. 971-972, 984-990 Panic of 1907, statem ents relating to__________________ 11 , 974-975, 978-980 Panics, prevention________________________________ 11 ,969, 974-976, 979-9S0 Kent, Fred I. (vice president of Bankers’ Trust Co., New York, N. Y.) : T e s t i m o n y __________________________________________________ m , 2977-3002 Banking system, Present, defects________________________________ in , 2977 Central Bank, advantages_______ i i i , 2979, 2980, 2994, 2995, 2996, 2997, 3002 Federal Reserve Banks, number____________________________ in , 2978-29S0 Open-market operations, objections______________________________ in , 2989 Kontingent. S e e Currency, Contingent. La Bar, G. D., letter opposing proposed b ill___________________________ in , 2631 Larrabee, F. S. (F arm ers’ N ational Bank, Stafford, Ivans.) : T e s t i m o n y ----------------------------------------------------------- in , 2356-2366, 3069-3071 Federal R eserve Board, personnel_______________________________ in , 2364 Open-market operations, objections___________________________ in , 2359-2362 Rediscounting, objections____________________________________in , 2356-2365 State Banks, Membership inFederal reserve system _____ in , 2357-2358 le s s e n , A lexander C. (president of the Lassen R ealty Co., New York, N. Y.) : T e s t i m o n y ------------------------------------------------------------------------------ in , 3112-3125 Banking system, Present, favorable to_________________ in , 3114, 3115, 3119 Currency bill— Merits of proposed b ill______________________________________ iit, 3116 O bjections____________________________________ in , 3114-3115,3118, 3120 I a w , F. M. (F irst N ational Bank, Beaumont, T ex.) : T e s t i m o n y ------------------------------------------------------------------------------ in , 2334-2337 Country Banks, membership in Federal reserve system optional___ in . 2334-2337 Legal tender: Circulation on June 30, 1912________________________________________ 1 , 593 S e c a l s o Bank notes— Currency—Federal reserve notes— Green backs—Treasury notes. L ie n s: Federal reserve notes, first lien upon, assets of Federal R eserve Banks— Hulbert, E. D ___________________________________________ 11,1107-1108 ,, Untermyer, S a m u e l___________________________ 1 ,8 9 2,893,894,895,896 J A -> letter opposing section in proposed bill relating to savings departm ents___________________________________________ n , 1272-1273 n , 970 3234 IN D EX . Loan companies: Tables— Page. Aggregate resources and liabilities of loan and trust companies, 1908 to 1912____________________________________________ 111,2187 Principal items of resources and liabilities. 1863 to 1912_in. 2190-2191 Loans: Banking system, Present, compared with European banks______ i, 835-837 Central Banks restricted by Federal Reserve Banks, Blinn. C. l ‘_ ti. 1189-1191 Compulsory, Wexler, Sol_________________________________________ i, 63 Contraction, to influence public prohibited. Crozier. A. O___ in . 2892-2894 ------ under proposed bill— Bucholz, W. H___________________________________ iii ,2420,2423 McCulloch, J. L________________________________________ ii 1626 Effect of proposed legislation upon— Moses, E. R_________________________________________ in . 2366-2367 Sprague, O. M. W_______________________________________ I, 510-511 Federal Reserve Banks should control— Jenks, J. W _______________________________________________ m , 3154 Sprague. O. M. W_______________________________ 1,367-368,498-501 Securities, Sprague. O. M. W_________________________ i, 513-522. 531-532 State Banks, Bolton, J. W________________________________ ii , 1576-1577 See a l s o Mortgage loans—Real estate loans—Stock-exchange loans. L o m b a r d S t r e e t , by Walter Bagehot, extracts from______________ 1,64.130-131 Long, Richard H. (Framingham, Mass.) : T e s t i m o n y _______________________________________________ in. 2835-2849 Credits, provisions under proposed bill____________________ in . 2840-2843 Currency bill, amendments____________________________________________ i,2841 Farm loans, favorable to short-time limit__________________ iii , 2S41-2842 Federal Reserve Banks— Compulsory subscription____________________________________ in , 2837 Directors____________________________________________ in , 2836, 2840 Rediscounting_______________________________________ iii . 2840-2843 McCaleb, W. F. (president. West Texas Banking & Trust Co., San Antonio, Tex.) : T e s t i m o n y ____________________________________ _____________n , 1591-1610 Central Bank, favorable to________________________________ n, 1591,1596 Checks and drafts, exchanged at par by Federal Reserve Banks__ n, 1598 Currency bill— Amendments to proposed bill__________________________ n, 1597,1598 Merits of proposed bill___________________________ n, 1591,1594.1598 Objections to proposed bill____ __________________n, 1597,1598,1603 Federal Reserve Banks, number____________________________ n , 1592-1593 Federal Reserve Board, powers_________________________________ ii , 1591 Member Banks, subscription to Federal Reserve Banks___________ n,1597 Note issue by banks and not Government________________________ n, 1605 Rediscounting, compulsory by other Federal Reserve Banks__ n , 1591,1595 McCulloch, J. L. (president, Marion National Bank, Marion, Ind.) : T e s t i m o n y __________________________________________________n, 1621-1628 Currency bill, amendments to proposed bill---------------------------- n, 1623-1624 Federal Reserve Ranks, number--------------------------------------------n. 1623,1624 Federal Reserve Board, personnel__________________________ n , 1623,1624 Loans, contraction under proposed bill__________________________ n, 1626 Member Banks— Membership in Federal reserve system optional_________ n, 1623,1627 Stock dividends increased__________________________________ n> 1024 McMorries. Edwin (president, First National Bank, Meridian. Miss.) : T e s t i m o n y --------------------------------------------------------------------------n , 1583-1591 Currency bill— Merits of proposed bill----------------------------------------------------------- 1589 O bjections.------------------------------------------------- 11,1584.1586,159(1-1591 Defects in present banking system_________________________ n, 1589,1590 Member Banks, subscription to Federal Reserve Banks op tional--------------------------n,15S4,1586 Reserves, Federal Reserve Banks___________________________________ 1589 Savings departments, elimination of provision for___________ n , 159(1-1591 IN D EX . 3235 McRae, Thomas C. (president, Bank of Prescott, Ark.) : Page. T e s t i m o n y ________________________________________________ n, 1275-1288 Currency bill, favorable to_________________________________ n , 1275-1276 Currency elasticity, Country Banks---------------------------------------n, 1279,1282 Note issue— Federal Reserve Banks_____________________________________ n , 1284 Government_____________________________________ n, 1284,1286,1287 Rediscounting, compulsory by other Federal Reserve Banks----------- n, 1281 Maddox, Robert F. (vice president, American National Bank, Atlanta, Ga.) : T e s t i m o n y ___________________________________________________________ i,192-218 Checks and drafts, exchange at par byFederalReserve Banks__ i, 192-212 Country Banks, exchange charges onchecks and drafts— i, 192-194, 203, 206 National Banks— Real-estate loans------------------------------------------------------------------- i, 217 Savings deposits-------------------------------------------------------------------------- i,212-217 Savings banks, deposits---------------------------------------------------- I, 213, 216, 218 Savings departments, elimination of provision for---------------------------i, 212 Savings deposits— Am ounts________________________________________________________ i,212-213 Investments_____________________________________________ 1,213-215 National Banks_________________________________________ 1,212-217 Reserves____________________________________________ I, 216-217, 218 Savings B an k s______________________________________ i, 213, 216, 218 Segregation________________________________________________ 213-215 Marshall, F. E. (New York, N. Y.) : T e s t i m o n y _____________________________________ i, 456-491; ii , 1175-1177 Bank examiners, appointment and duties______________________ i, 481^484 Bank notes, retirement opi>osed___________________________________ 1,465 Bonds, objections to refunding of 2 per cent___________________ 1,477-480 Central Bank, opposition to control by bankers____________________ I. 460 Checks and drafts, exchange at par by Federal Reserve Banks__ i, 475-477 Country Banks, reduction of reserves______________ _______________i, 463 Credit, contraction of_____________________________________________ i, 457 Currency bill, amendments___________________________________ 1,457-491 Farm loans, security_________________________________ 1,485-486,489-490 Federal Advisory Council unnecessary_____________ ._____________ _ i, 466 Federal Reserve Banks— D irectors_________________________________________________i, 461, 462 Note iss u e ____________________________________ ._i, 464-465, 467-472 Federal Reserve Board— Personnel, method of appointment____________________ I, 460-462, 466 Stockholders, representation___________________________________i. 458 Government deposits, interest_________________________________________ i,466-467 Note issue, requirements for retirement________________________________ i,473-474 Redemption— Rank notes___________________________________________________ i, 481 Federal reserve notes, charged against Government deposits__ i, 472-473 Five per cent fund, reduction__________________________________ i, 481 Reserve cities, number________________________________________________ i,457-458 Stockholders— D ividends__________________________________________________ I, 458 Liability for transfer of stock_____________________________________ i,484-485 M e a n i n g o f M o n e y . T h e , by Hartley Withers, extracts from__________ 1, 133-134 Member R anks: Capitalization of deposits, Ailing. N. D _______________________ 1,422-423 Commercial paper, acceptances bv National Banks, Untermyer, Sam uel---------------------------------------------------------------------------i.810-811 Currency loaned by Federal Reserve Board to, Crozier, A. O_in , 2894-2S95 Discrimination and favoritism prohibited. Crozier, A. O____ h i , 2889-2891 Federal Reserve Board, discretion regarding. Conant, C. A______ n , 14111415,1449-1450 £ unds. expenses of collecting, Hulbert. E. D ___________ n . 1101-1103,1105 Interest— Charged by Federal Reserve Banks. Scott, J. T__________ n 1647-1648 On subscription to Federal Reserve Banks. Johnston, J. T. M__ i, 119 Rate not to exceed 7 per cent, Crozier. A. O___________ in, 2891-2892 3236 IN D EX Member Banks—Continued. Membership in Federal reserve system— rage. Ailing, N. D ------------------------------------------------------------------- 1,449-450 Bucholz, W. H --------------------------------------------------- iii ,2420,2424-2425 Comstock, A. H ___________________________________________ ii , 1051 Conant, C. A------------------------------------------------ii , 1410-1415,1449-1450 Dawson, A. F _____________________________ m , 2098, 2099-2100, 2102 French, N athaniel__________________________________________h i , 2070 Harris, B. F ___________________________________ h i , 2205-2206, 2207 Jenks, J. W____________________________________ iii , 2607. 2608, 3161 Johnston, J. T. M_______________________________________ i, 113-114 McCulloch, J. L______________________________________ 11,1623,1627 Morawetz, Victor_______________________________ h i , 2650-2652, 2711 Moses, E. R__________________________________________ iii , 2367, 2368 Reynolds. G. M---------------------------------------------------------------i, 238, 239 Rogers, G. W--------------------------------------------------------------- iii , 2248-2250 Untermyer, Samuel---------------------------------------i, 817-819; n, 1320,1368 Wade, F. J _____________________________________________ 1,125-129 Wheeler, II. A _____________________________________________ in , 2527 Willis, H. P_______________________________ in , 3026-3028, 3038-3048 ------of Country Banks in Federal reserve system— Bassett, J. C________________________________________________ n, 1669 Claflin, John________________________________________ 1,543-546 Conant, C. A________________________________________________ n,1410-1414 Dawson, A. F______________________________ in, 2102, 2125, 2128 French, Nathaniel______________________________________ iii , 2070 Jones, Gordon_____________________________________ iii , 2263-2272 La w, F. M_______________________________________ iii .2334-2387 Reynolds, G. M__________________________________ i, 239-240, 241 Rogers, G. W_____________________________________n i, 2252-2259 Swinney, E. F ____________________________________ in , 2041.2049 Tilton, McLane, jr_________________________________ in. 2319. 2320 Untermyer, Samuel__________________________________ i, 817-837 Wexler, Sol_________________________________________________ I,374 Willis, H. P ______________________________________ in . 3035-3036 ------of State Banks in Federal reserve system— Conant, C. A____________________ .________________ n, 1449-1450 French, Nathaniel______________________________________ in, 2070 Larrabee, F. S___________________________________ i n , 2356-2365 Moehlenpah, H. A __________________________________________ ii ,1541 Newton, Oscar___________ -________________________ n, 1640,1641 Scudder, S. D ___________________________________ in, 2241-2246 Tilton, McLane, jr______________________________________in, 2321 Untermyer. Samuel. 1,817-819,83,8-842,937-939; n. 1315.1333-1334 Vanderlip. F. A_____________________________ in, 1976-1980, 2058 Willis, H. P_________________________________ —— in.3021-3023 ------of trust companies in Federal reserve system— Jones. Breckenridge__________________________________________ n.1007-1011 Vanderlip, F. A________________________________________ in, 2057 Rediscounting for, Forgan, J. B ---------------------------------------------- i, 279, 281 Reserves— Bolton, J. W_____________________ ii. 1574-1575,1577-1579,1580-1581 Crozier, A. O_________________________________________ in , 2887-2888 Frame, A. J ____________________________________ I, 679-680. 717-719 Jones, Breckenridge____________________________________n, 1037-1088 Morawetz, Victor_____________________________________ III, 2678-2704 Rights, Scott, J. T_________________________________________ii , 1647,1651 Stock dividends increased— French, Nathaniel__________________________________________in, 2072 McCulloch, J. L ______________________________________ J____ ii , 1624 Montgomery, S. B --------------------------------------------------------------- iii , 2194 Untermyer, Samuel---------------------------------------------------------------------- n, 1315 Subscription to Federal Reserve Banks— Ailing, N. D ____________________________________________ I, 414-415 Berry, W. H --------------------------------------------------------------------i. 612-613 Bolton, J. W--------------------------------------------------------- n.1572-1573,1575 Cannon, J. G------------------------------------------------------------------------------- ii ,2182-2184 f in d e x . 3237 Member Banks—Continued. Subscription to Federal ReserveBanks—Continued. Page. Dawson. A. F ___________________________________________________ n, 2103-2105 Forgan, J. B ________________________________________________ i, 278 Frame, A. J____________________________________ ____ i, 678, 680-681 Frenzel, J. P ____________ ________________________________ n , 1534 Gilbert, Alexander____________________________________tii, 2756, 2777 Jenks, J. W_______________ —__________________ in , 2567-2568, 3174 Johnston, J. T. M___________________________________________ i, 114 McCaleb, W. F __________ n , 1597 McMorries, Edwin_____________________________________ H, 1584,1586 Moeblenpali, H. A---------------------------------------------------------------- xi, 1541 Morawetz, V ictor_____________________________________h i , 2670-2672 Reynolds, G. M_________________________________________ 1,255-256 Scott, J. T_________________________________________________ ii ,1646 Untermyer, Sam uel____________________________________ n , 1323-1324 Vanderlip, F. A_______________________________________in , 1963-1966 Wade, F. J __________________________________________ i, 141-142,145 Wexler, Sol_________________________________________ i, 44^15, 65-66 Jones, Breckenridge______________________________________________ n , 1006-1007 Tables— Capital, deposits, cash, and amount of rediscounts for Member Banks if all National Banks immediately subscribe___ in , 2751-2752 Summary after considering net cash requirements, after discounts permissible to_________________________________________ i, 656-657 Milliken, R. C. (monetary statist, Washington, D. C.) : T e s t i m o n y _____________ i i i , 2453-2484 Central Bank, objections_______________________________________ in , 2469 Currency bill, amendments to proposed bill__________________ iii , 2470-2477 Federal Reserve Banks, control by bankers__________________ iii , 2460-2461 Moehlenpah, II. A. (president, Wisconsin Bankers’ Association, Clinton, Wis.) : T e s t i m o n y ---------------------------------------------------------------------------------------- ii ,1539-1565 Central Bank, favorable to_____________________________________ ii , 1547 Currency bill, amendments_________________ ii , 1541,1546,1550-1551,1561 Farm loans, short-time limit objectionable_______________________ ii , 1561 Federal Reserve Banks— Government control________________________________________ ii, 1549 Number------------------------------------------------- ”__________________n, 1546 Federal reserve notes, Government issue______________ ;__________ ii , 1564 Member Banks, subscription to Federal Reserve Banks compul sory--------------------------------------------------------------------------- ---------- ii ,1541 Objections to present banking system____________________________ ii , 1564 Rediscounting, Federal Reserve Banks__________________________ ii , 1561 Reserves— Country B an ks__________________________________________________ n, 1550 Federal Reserve Banks___________________________________________ ii ,1550 Savings departments, Country Banks' objections to____________________ ii ,1564 Monetary Commission. National. S e e National Monetary Commission. Monetary systems and approximate stocks of money, in aggregate and per capita, in principal countries of the world, D ec.31, 1911_________ i, 666-667 Money. S e e Currency. Montgomery, S. B. (Quincy, 111.) : T e s t i m o n y ________________________________________ m , 2192-2194, 2223-2225 Checks and drafts, exchange, at par by Federal Reserve Banks___ in , 2194 Credit, provided under proposed bill____________________________ iii , 2193 Currency bill, objections__________________________________ m , 2193-2194 Defects in present banking system_____________________________ in , 2193 Federal Reserve Banks— Number-------------------------------------------------------------------------------iii , 2194 Subscription to, by Country Banks, reduction________________ in , 2193 Federal Reserve Board, personnel_______________________________ iii , 2193 Member Banks, stock dividends increased_______________________ in , 2194 Real estate loans, limit should be increased______________________ in , 2194 Savings departments, elimination of provision for_________ iii , 2194, 2223 S. Doc. 232, 63-1—vol 3----- 83 3238 IN D E X . Morawetz, Victor (N ew York, N. Y.) : Page. T e s t i m o n y __________________________________________________ h i , 2635-2720 Canada, banking system _______________________________ in , 2639-2642, 2662 Central Bank, objections to_______ i ii , 2635, 2648-2654, 2657. 2658. 2675, 2695 Checks and drafts, exchange at par by Federal Reserve B anks- m , 2703-2704 Country Banks, re se r v e s___________________ h i , 2698. 2699, 2701, 2703-2704 » Currency bill, am en d m en ts_______________________ i i i , 2662, 2669. 2710-2711 ------ d efects-------------------------------------- -------------------------------------------- i i i , 2635 ------ objections to proposed b ill_______ ___________________________ i ii , 2683 Currency e la s tic ity __________________________________________ i i i , 2639-2643 Farm loans, objections, under proposed b ill__________________ i ii , 2705-2707 Federal Reserve Banks— D irectors_______________________________________________ i ii , 2659-2680 Number________________________________ in , 2655-2656, 2670. 2689-2691 R eserves______________________________________________________ i i i , 2692 R ed iscou n tin g----------------------------------------------- i i i , 2671-2676, 2679-2683 Subscription to, by Member B anks_______________________ h i , 2670-2672 Federal Reserve Board— P erso n n el------------------------------------------------------ ii i , 2665-2667. 2679, 2710 Pow ers________________________________________ i ii , 2654, 2655. 2669, 2710 Federal reserve notes— Issue o f________________________________ 111,2635-2644.2662.2678.2684 R ed em p tion _______________________________________ h i . 2645-2649, 2710 Member Banks, membership in Federal reserve s y s te m ., i i i , 2650-2652, 2711 N ational Banks, savings departm ents_________________________ h i , 2707-2710 Note issue by banks_______________________________________________ i i i , 2692 Panic o f 1907______________________________________________________ill, 2717 P a n ic s_______________________________________________________ in , 2717-2720 Rediscounting, compulsory by other Federal R eserve B a n k s., in , 2693-2696, 2710-2711 Reserves, Member Banks___________________________________in , 2698-2704 Mortgage loans: Investment by banks in— Jenks, J. W____________________________________________________ in , 2622 Sprague, O. M. W___________________ 1,514-515,522.529-530.531,532 Moses, E. R. (president, Citizens’ National Bank, Great Bend, Kpns.) : T e s t i m o n y _______________________________________________ in , 2366-2368 Currency b i l l , objections_____________________________________________ h i , 2368 Federal Reserve Banks, capitalization________________________________ in , 2368 Loans, effect of proposed legislation upon____________________ in , 2366-2367 National Banks, membership in Federal reserve system optional___ i i i , 2367, 2368 Reserves, reduction of_______________________________________________ in , 2368 Savings departments, elimination of provision for_____________________ i i i ,236S Mosher, Curtis L. (secretary Citizen’s League of Minnesota, Minneapolis. Minn.) : T e s t i m o n y _________________________________________________________ ii ,1091-1094 Federal Reserve Banks, business conditions in Northwestern States i i , 1091-1094 National Association of Credit Men, brief presented to Senate committee h i , 2550-2551 National-bank notes. S e e Bank notes. National B an ks: Advantages— Jones, Breckenridge----------------------------------------------------- n , 1020-1021 Wade, F. J -----------------------------------------------------------------------i, 137-138 Bond-secured currency, Berry, W. H ---------------------------------------------- i, 568 Capitalization— Cannon, J. G-------------------------------------------------------------- i i i , 2182-2184' Forgan, F. J ------------------------------------------------------------------------------- i,154 Frame, A. J -------------------------------------------------------------------------------- i,684 Wade, F. J ---------------------------------------------------------------------- 1, 142-146 Wexler, Sol--------------------------------------------------------------------------i, 45 Charters dissolved— Bassett, J. C------------------------------------------------------------------------------------------------------- i i , 1669 Reynolds, G. M--------------------------------------------------------------------------- I,240 IN D EX . 3239 National Banks—Continued. Page. Commercial paper, acceptances by, Untermyer, Samuel_________ i, 810-811 Defined, Dawson, A. F _______________________________________________ m , 2101 Membership in Federal reserve system— Ailing, N. D -------------------------------------------------------------------- 1,449-450 Bucholz, W. H ------------------------------------------------------ xii,2420,2424-2425 Comstock, A. H __________________________________________________ II)1051 Conant, C. A------------------------------------------------ ii , 1410-1415,1449-1450 Dawson, A. F -------------------------------------------------------------m , 2098, 2102 French, Nathaniel______________________________________________2070 Harris, B. F------------------------------------------------------- 111,2205-2206, 2207 Jenks, J. W---------------------------------------------------------h i , 2607, 2608, 3161 Johnston, J. T. M_________________________________________ i, 113-114 McCulloch, J. L--------------------------------------------------------------xx, 1623,1627 Moses, E. It----------------------------------------------------------------- iii , 2367, 2368 Reynolds, G. M------------------------------------------------------------------ i, 238, 239 Rogers, G. W--------------------------------------------------------------- in , 2248-2250 Untermyer, Samuel------------------------------------- i, 817-819; i i , 1320,1368 Wade, F. J-----------------------------------------------------------------------i, 125-129 Wheeler, H. A--------------------------------------------------------------------- in , 2527 Question sent out to bankers relating to joining Federal Reserve Banks, Frame, A. J ________________________________________ I, 680-681 Real estate loans— Maddox, R. F________________________________________________ i, 217 Rhodes, Bradford--------------------------------------------------------- i i i , 3007-3008 Untermyer, Samuel------------------------------------------------------------------ i, 841 II gsgi' vgs_ Berry, W. H ________________________________ 1,570,575-576,599,600 Wade, F. J__________________________________________________ i, 150 Resolutions of Wisconsin banks amending proposed bill, Frame, A. J------------------------------------------------------------------------------------------ i,684 Savings departments— McCulloch, J. L-------------------------------------------------------------------- i i , 1624 Morawetz, V ictor--------------------------------------------------------- in , 2707-2710 -------- amendment to proposed bill, Frenzel, J. P----------------------- i i , 1612-1613 ------approved— Clark, H. C__________________________________ i i , 1059-1061,1064 Jenks, J. W____________________________________________ in , 3164 Rhodes, Bradford___________________________ iii , 3006-3007, 3008 ------elimination of— Jones, Breckenridge__________________________ ii , 1005,1013-1019 Tregoe, J. H ____________________________________________ i i , 1041 ------objections. White, W. C______________________________in , 2225-2227 Savings deposits, Maddox, R. F ------------------------------------------------i, 212-217 Subscription to Federal Reserve Banks— Gilbert, Alexander________ in , 2756, 2777 Jenks, J. W______________________________________m ,2567-2568,3174 Tables— Abstract of reports of earnings and dividends in United States year ended July 1, 1912________________________________ i, 662-665 Aggregate capital, deposits, and borrowings of National Bank groups--------------------------------------------------------------------in , 2748-2749 Aggregate resources and liabilities of national and other report ing banks, 1908 to 1912_____________________________ in , 2185, 2188 Bonds held in trust for, Sept. 13, 1913_________________________ i, 657 Circulation, dei>osits, coin reserves compared with European b a n k s_____________________________________________________i, 725 S e e a l s o Capitalization—Member Banks. National Monetary Commission, recommendations of 1912, Berry, W. H _i, 601 Netherlands, Bank of: Tables— Interest ___________________________________________ 1,536,538-542 Reserves of actual gold versus notes only, versus notes and dex . v po sits a£ainst deposits only________________________________ i, 456 Ne" v ° lk' Sce Concentration of money. A ^ lork Bankers’ Association, amendments to proposed bill, suggested i n , 2338-2349 3240 INDEX, New York banks: Page. List of banks having out-of-town depositors_______________________ i, 810 Tables— Capital, surplus, and undivided profits of larger New York banks___________________________________________________ m , 2754 Distribution of loans and discounts made by 30 of largest banks and trust companies inNew York City_____________________ in , 2774 New York Credit Men’s Association, letter offering amendments to pro posed bill__________________________________________________ 111,3089-3090 Newton, Oscar (president, Jackson Bank, Jackson, Miss.) : T e s t i m o n y _______________________________________________ n, 1639-1645 Currency bill, amendments to proposed bill_________________ n. 1640-1642 Federal Reserve Banks,directors-------------------------------------------------------- n , 1644 Reserves, impounding of, under proposed bill_______________ ri, 1640,1641 State Banks, membership in Federal reserve system_________ ii , 1640,1641 Northwestern States: Federal Reserve Banks, business conditions to be met— Kenaston, F. E_________________________________ n , 982-983, 992-994 Mosher, C. L_________________________ !_______________ n, 1091-1094 Note issu e: Aldrich-Vreeland Act, Ailing, N. D _______________________________ i, 419 By bank associations— Berry, W. H _______________________________________________ i, 594 Claflin, John____________________________________________ 1,547,548 Sprague, O. M. W_______________________________________ i, 553, 554 By banks— Berry, W. H ________________________________________________ I, 594 Conant, C. A______________________________________________ i i , 1386 Fowler, C. N____________________________________________________ i i ,1905-1906 Morawetz, Victor_________________________________________ h i . 2692 Willis, H. P __________________________________________ in . 3056-3057 Canada, Sprague, O. M. W___________________________________ i, 506-507 Central Bank— Ailing, N. D ________________________________________________ 1,419 i. 39 Forgan, J. B________________________________________________ Hill. E. J ___________________________________________________ i,287 Jenks. J. W___________________________________________ h i , 3163-3164 Wade, F. J __________________________________________________ i, 155 England, Bank of, Reynolds, G. M____________________________ i, 292, 294 Federal Reserve Banks— Ailing, N. D ________________________________________ 1,408,417-418 Crozier, A. O__________________________________________h i , 2902-2903 Dawson, A. F _____________________________ 111,2090-2093,2094-2095 Fisher, E. D _________________________________ „______in. 2502-2513 Flannagan, W. W___________________________________________ i, 747 Gilbert, Alexander_________________________ in. 2781-2782. 2817-2819 Hill, E. J______________________ in , 263-265, 267-269. 271. 273, 274. 284 Jenks, J. W_____________________ in , 2553, 2557, 2601, 2620-2621, 3179 Jones, Breekenridge_____________________________________________ n. 1048-1050 McRae, T.‘ C----------------------------------------------------------------------- n, 1284 Marshall, F. E_________________________________________ n , 464—465 Morawetz, Victor---------------------------------in, 2635-2644, 2662, 2678, 2684 Simmons, W. D------------------------------------------- in, 2486, 2513, 2515, 2516 Syme, F. J ------------------------------------------------------------------ in, 2872-2875 Tregoe, J. H ------------------------------------------------------- n. 1040,1045-1048 Untermyer. Sam uel------------------------------- 1,888,889.890; n. 1320-1321 Wade, F. J ________________________________________________ j \ 2 d France, Bank of, Sprague, O. M. W______________________________ i.’ 297 Germany, Reichsbank of, Sprague, O. M. W______________________ j’ 297 Government— Berry, W. H ------------568 Bowman, H. H _________________________________________ 1226.1227 Cannon, J. G________________________________________________ 2140 Conant, C. A-------------------------------------------------------- 11,1386.1416^1436 Fowler, C. N-----------------------------------------------------------------------n, 1898 Hill, E. J ------------------------------------------------------------------ 1,263.264,268 Johnston, J. T. M_____________________________________________ 121 IN D EX . 3241 Note issue—Continued. Government—Continued. Page. McCaleb, W. F _____________________________________________ i, 1605 McRae, T. C_____________________________________ 11,1284,1286,1287 Scudder, S. D ________________________________________ n, 2235-2239 Sprague, O. M. W_______________________________ i, 369-373, 505-506 Yanderlip, F. A_______ _________________________ in , 2001-2005, 2068 Wade, F. J_____________________________________________ 1,147-150 Individual Banks— Flannagan, W. W_______________________________ 1,749,751,752,753 Reynolds, G. M______________________________________________ i, 298 Wexler, Sol_______________________________ ________________i, 71-72 National Banks, Flannagan, W. W------------------------------ 1,746-747,748,750 Retirement— Flannagan, W. W------------------------------------------------------------------ I, 765 Marshall, F. E___________________________________________________ i, 473-474 Securities— Flannagan, W. W------------------------------------------------------------------ i, 749 Frame, A. J _____________________________________________________ i,697-698 Marshall, F. E__________________________________________ 1,467-472 Sprague, O. M. W_______________________________ I, 501-504, 523-524 Untermyer, Samuel------------------------------------------------------------------------i, 903-919 Supervision by reserve associations, Conant, C. A---------------------------- i, 1384 S e e a l s o Redemption. Ohio, free banking act______________________________________________ i, 147 Open-market operations: Discount to be charged, Jenks, J. W---------------------------------- m , 3162-3163 Explanation, Blinn, C. P _____________________________________________ II,1198-1200 Favorable to, Untermyer, Samuel_____________________ n , 1316-1317,1338 Objections— Hulbert, E. D __________________ 11,1097,1098,1100,1101 Jones, Breckenridge ________________________________________________________________ i i , 1036-1037 Kent, F. I--------------------------------------------------------------------------iii , 2989 Uarrabee, F. S--------------------------------------------------------------in , 2359-2362 Varney, J. E --------------------------------------------------------------------------------------------------------------------i i , 1252-1253 Winston, F. G--------------------------------------------------------------------------------------------------- i i , 1087 Price-level, explanation, Shibley, G. H -------------------------------------i i ,1724-1827 Statements relating to— Gilbert, Alexander---------------------------------------------- h i , 2745, 2780-2787 Untermyer, Samuel------------------------- i, 808, 809, 810, 812; i i , 1367-1368 Vanderlip, F. A ________________________________________ h i , 1938-1939,1998-2001 Owen-Glass Bill. S e e Currency bill (Owen-Glass). Palen, R. J.. letter stating objections to proposed bill ________________ i i i , 3128-3129 Panic of 1873, statements relating to, Berry, W. H______________________ I,564 Panic of 1893, statements relating to, Berry,W. H _______________________ i, 564 Panic of 1907: Causes— Hallock, J. C---------------------------------------- 11,1686,1689-1696,1709-1714 Newspaper articles ___________________________________________________________________ i i ,1714-1723 Effects of. Winston,F. G_____________________________________________ n, 1068-1076 Method of checking, Untermyer, Samuel_____________________ i, 836-837 Statements relating to— Allen, W H ________________________________________ 1,377,381-382 Berry, W. H ---------------------------------------------------------------------------- i, 565 Blinn, C. P _____________________________________________________________________________ i i ,1191-1198 Claflin, John__________________________________________________i, 545 Dawson, A. F ________________________________________________________________ i i i , 2131 Kenaston, F. E ________________________________________________i i , 974-975, 978-980 Morawetz, V ictor ___________________________________________________________ i i i , 2717 Reynolds, G. M _____________________ 1,226-227,229,230-232,234-236 Sprague, O. M. W____________________________________________ I,534 Treman, Robert________________________________________________________ i i i , 2351, 2352 P anics: Causes— Dawson, A. F _________________________________________m , 2085, 2089 Reynolds, G. M __________________________________________i, 227-229 Wexler, Sol_____________________________________________i, 87-88, 224 3242 IN D EX . Panics—Continued. Page. Clearing-house certificates allowed in time of. Gilbert. Alex ander ____________________________________________ h i , 2739, 2743-2745 Exchanges during, Sprague, O. M. TV_______________________________ i, 365 Prevention— Frame. A. J ____________________________________________ i, 677-678 » Kenaston, F. E_____________________________ ii , 969, 974-976, 979-980 Reserves loaned to prevent, French, Nathaniel_____________ iii , 2074—2075 Statements relating to, Morawetz, Victor___________________ in , 2717-2720 Paper money. See Currency. Peck, L. T. (cashier, First National Bank of Hawaii, Honolulu) : T e s t i m o n y _______________________________________________ m , 2875-2883 Currency bill should apply only to continental United States, n i, 2878-2882 Hawaii, legislation should not affect present status of banks, m . 2875, 2882 Insular possessions, proposed bill does not include_____ in , 2875. 2881-2882 Perkins. James H. (president, National Commercial Bank. Albany, N. Y.) : T e s t i m o n y _________ in, 2338-2349 Currency bill, amendments suggested by New York Bankers’ Asso ciation________________________________________________ in . 2338-2349 Postal Savings Banks, Savings Banks, including Postal Savings Banks, number of depositors, amount of deposits, average deposits per deposit account and per inhabitant by specified countries________________ i, 660-661 Pratt, Sereno S. (secretary, Chamber of Commerce of the State of New York) : Report on Federal reserve act_____________________________ in . 2722-2726 Present banking system. S e e Banking system, Present. Price le v el: Statements relating to— Berrv, TV. H ________________________________________ 1,640.641,642 Shibley, G. H ____________________________________________________ n, 1724-1827 Untermyer, Sam uel_________________________________________ i, 863 Prices, currency expansion increases, Jenks. J. TV___________________ in, 2578 Private B an ks: Tables— Aggregate resources and liabilities, 1908 to 1912_____________ in , 2187 Principal items of resources and liabilities. 1863 to 1912.. in . 2190-2191 Quebedeaux, T. M.. letter requesting that exchange charges shall not be eliminated by proposed bill_________________________________ iii , 3127-3128 Real estate loan s: Basis for currency issue, opposed— Bassett, J. C____________________________________________________ n. 1668 Vanderlip, F. A______________________________________ in . 2055-2056 National Banks— Maddox, R. F _______________________________________________ 1.217 Rhodes. Bradford____________________________________ m , 3007-3008 Untermyer, Samuel__________________________________________ i. 841 Short-time limit objectionable— Banfield, N. F _______________________________________ iii , 2449-2450 Bassett, J. C_______ __________________________________ n. 1667,1668 Montgomeiy, S. B -----------------------------------------------------------------in. 2194 State Banks. Untermyer, Samuel_________________________________ I, 939 Statements relating to— Wade, F. J -----------------------------------------------------------------------i, 170-171 TVexler. Sol_________________________________________________ 1, 172 S e e a l s o Farm loans—Mortgage loans. Redemption: Bank notes— Berry, W. H -------------------------------------------------------------------- 1.575-576 Flannagan. W. W------------------------------------------------------------ i, 781. 782 Fowler, C. N---------------------------------------------------------------------------------n . 1914 Hill, E. J ------------------------------------------------------------------ i. 258-268. 273 Marshall, F. E-----------------------------------------------------------------------i, 481 Reynolds. G. M-----------------------------------------------------------------i. 295-296 Rhodes. Bradford-----------------------------------------------------------------in . 3011 Untermyer, Samuel---------------------------------------------------------- i. 881-898 INDEX. 3243 Redemption—Continued. Page. Explained, Berry, W. H ______________________________________ I, 575-585 Federal reserve notes— Ailing, N. D _______________________________ _________________ i, 413 Bowman, H. H ___________________________________ ___ ii , 1240-1247 Cannon, J. G______________________________ h i , 2140-2141. 2163-2165 French, N athaniel___________________________________ in , 2075-2080 Ingle, William_____________________________ h i , 2371-2372, 2416-2417 Jenks, J. W______________________________________________ h i , 2559, 2579-2580, 2586, 25S9, 2593, 2617-2619. 3163, 3179-3183 Marshall, F. E __________________________________________ 1,472-473 Morawetz, V ictor_______________________________ in , 2645-2649, 2710 i, 72 Wexler, Sol_________________________________ _______________ Willis, H. P _______________________________ 111,3030-3032.3034-3035 Five per cent fund— Berry, W. II_______________________ 1____________________i, 576-577 Hill, E. J_______________________________________________ 1,258-263 Ingle, W illiam ____________ in , 2373, 2378, 2381, 2382, 2383, 2384, 2396 Marshall, F. E _________________________________________________ i,481 Willis, H. P ______________________________________________ iii ,3034 Government reserve fund— Claflin, John____________________________________________ i, 548, 549 Untermyer, Samuel______________________________________ i, 885, 886 Suffolk banking system of Massachusetts, Sprague, O. M. W----------- i, 559 Rediscounting: Amendments to proposed bill— American Bankers’ Association____________________________________ i, 450 Fisher, E. D_________________________________________ h i , 2500-2502 Bank associations, Claflin, John______________________________ I, 546, 547 Banking system, Present. Fowler, C. X-------------------------------- ii , 1888-1890 Compulsory by other Federal Reserve Banks— Chapman. Joseph________________________________________ i, 187-189 Conant, C. A____________________________________ n, 1408,1409,1438 Johnston, J. T. M_______________________________________ 1,118-119 McCaleb, W. F _______________________________________ ii , 1591,1595 McRae, T. C______________________________________________ ii , 1281 Morawetz, Victor__________________________ m , 2693-2696, 2710-2711 Untermyer, Samuel______________________________________ i, 378, 379 Vanderlip, F. A_____________________________ ii , 1934-1935,1937,1985 Wexler, Sol------------------------------------------------------------------- i. 54, 68-69 Country Banks— Dawson, A. F _____________________________ in, 2106-2107. 2112-2114 Law, F. M __________________________________________ h i , 2336-2337 Untermyer, Sam uel_________________________________ i, 826, 827, 828 Wexler, Sol_______________________________________________ 1,66-67 Effect on discount rates, Sprague, O. M. W____________________ i, 507-509 Explained, Wexler, Sol________________________________________ i, 66-67 Farm loans as a basis— Berry, W. II________________________________________ 1,571,572,573 Vanderlip, F. A________________ ______________________h i , 1961-1963 Federal Reserve Banks— Conant, C. A________________ n, 1383.1388,1391.1395,1412,1436,1451 Forgan, J. B ________________________________________ 1.279,281,282 Fowler, C. N ____________________________________________________ n , 1902 Harrington, C. M--------------------------------------------------------------i, 962, 966 Jenks, J. W_______________________________________________ in , 2598 Long, R. II__________________________________________ in. 2840-2843 Moehlenpah, H. A_______________________________________________ n, 1561 Morawetz, Victor__________________________ in , 2671-2676, 2679-2683 Rhodes, Bradford____________________________________ in , 3005-3006 Sprague, O. M. W___________________________________ i. 364-368, 532 Untermyer, Samuel_________________ i, 810, 868 , 880, 891, 892; n , 13,14 Vinson, Taylor________________________________________m , 2866-2867 Wexler, Sol_____________________________________________ 1,338-340 Willis, H. P_________________________________________ ni,3056-3078 Federal Reserve Board, supervision, Untermyer, Samuel___________ i, 868 Member Banks, Forgan, J. B_________________________________ i, 279, 281 Mobilization of reserves, added basis for, Berry, W. H _____________ i, 613 3244 IN D E X . Rediscounting—Continued. Objections— Page. Banfield, N. F ____________________________________________ iii , 2452 Ingle, William________________________________________ iii , 2410-2414 Larrabee, F. S________________________________________ iii , 2356-2365 Varney, J. E____________________________________________________ n , 1260-1262 Wells, E. B_&.__________________________________________ 1,947-948 Provisions of proposed bill approved— Dawson, A. F_____________________________________________ ill, 2088 Sprague, O. M. W_____ ._____________________________________ i, 529 Queries relating to, memorial, Brandt, T. R ________________ iii , 2883-2886 Revolution in American banking methods, Wexler, Sol_________ i, 106-107 Statements relating to— Vanderlip, F. A_______________________________________ iii , 2065-2067 Vinson, Taylor________________________ in , 2854, 2855, 2861, 2866-2867 Tables, statement showing, by States, money borrowed by National Banks, Sept. 6 , 1904, etc____________________________________________ ii ,1888-1890 Regional Banks. S e e Federal Reserve Banks. Reichsbank of Germany. S e e Germany, Reichsbank of. R e s e r v e a n d C u r r e n c y P r o b l e m s , S u b s t i t u t e f o r C e n t r a l B a n k s , by Newton D. A ilin g________________________________________________ : ____i, 426-446 Reserve associations: Government deposits in, Berry, W. H ______________________________ i, 596 Note issue, no tax on, Berry, W. H _______________________________ i, 595 ------supervised by, Conant, C. A_________________________________ ii , 1384 Opposition to, Berry, W. H ______________________________________ I, 600 Reserve Bank Organization Committee, powers, Willis, H. P____ in , 3061, 3063 Reserve c itie s: Federal Reserve Board to designate, Wexler, Sol______________ i, 373-374 Number under proposed bill, Marshall, F. E___________________ i, 457^58 Reserves under present banking system— Berry, W. H ________________________________________________ i, 600 Dawson, A. F _____________________________________________ ill, 2111 Reserve cities, Central: Amount of deposits under proposed bill, Claflin, John______________ i, 545 Federal Reserve Board to designate, Wexler, Sol______________ I, 373-374 Location of present, Wexler, Sol__________________________________ i, 89 Reserves in present, Wexler, Sol__________________________________ I, 90 Reserves required against demand liabilities. Untermyer, Samuel__ i, 822 Reserves under present banking system, Berry, W. H ______________ i, 600 R eserves: Amount, left to judgment of banks, Reynolds, G. M_______________ i, 233 ------under proposed bill, Conant, C. A______________________ n , 1415-1416 Banking system, Present, McMorries, Edwin________________ ii , 1589,1590 Banks of United States— Berry. W. H ____________________________________________ 1,562-566 Wexler, Sol____________________ ,___________________________ .. 1, 105 Central Bank— Ailing, N. D ____________________________________________ i, 454—455 Blinn, C. P______________ ^____________________________ ii , 1187-1188 Hill, E. J ------------------------------------------------------------------------------ I, 286 Central reserve cities, present, Wexler, Sol_______________________ i, 90 Comparison under present and proposed bills. Wells. E. B _________ I, 952 Comparison under Sherman Act of July 14, 1890. and under proposed bill, Ailing, N. D ------------------------------------------------------------------ 1,412^113 Control should be unified, Jenks, J. W_________________________ n i, 3154 Country Banks— Barry, David________ ^_______________________________n i, 2321-2334 Claflin. John_________________________________________________ i, 543 Dawson, A. F ------------------------------------------------------------- iii , 2105-2112 Forgan, J. B --------------------------------------------------------------------------- 1, 281 Frame, A. J ---------------------------------------------------------------------------------- 1,687-688 Harrington, C. M-------------- ----------------------------------------- 1,962,964-966 Hill, E. J________________________________________________________ 1.261-262 Jones, Breckenridge------------------------------------------------------------ u, 1000 Kenaston, F. E---------------------------------------------------------------- n, 972-974 Marshall, F. E ------------------------------------------------------------------------ 1, 463 IN D EX . 3245 Reserves—Continued. Country Banks—Continued. Page. Moehlenpah, H. A_________________________________________ n , 1550 Morawetz, V ictor-------------------------------- in , 2698, 2699, 2701, 2703-2704 Rogers, G. W------------------------------------------------------------- in , 2252-2259 Sprague, O. M. W------------------------------------------------------ 1,521,524-525 Untermyer, Sam uel___________________________________ n , 1341-1344 Credit insufficient for, Reynolds, G. M______________________________ 229 Currency bill, objections, Moses, E. R___________________________ III) 2368 Federal Reserve Banks— Ailing, N. D --------------------------------------------------------------------1,406-456 Barry, David--------------------------------------------------------------- in , 2321-2334 Cannon, J. G---------------------------------------------------------------- in , 2148-2150 Conant, C. A -----------------------------------------------------------------n , 1419-1454 Fisher, Irving------------------------------------------------- 1.---------- 11,1137-1141 Forgan, J. B --------------------------------------------------------------------------- i t 37 Fowler, C. N-------------------------------- n , 1881,1885,1898,1903,1907,1908 Frame. A. J--------------------------------------------------------------- 1. 693, 726-728 Gilbert, Alexander--------------------------------------------------------in , 2740, 2782 Hill, E. J___ 1,260,261,264,265-266,267,268,269-271,272,273,275-276 Ingle, William--------------------------------------------------------------in , 2378-2404 Jenks, J. W___________ i n , 2553, 2557-2558, 2565-2566, 2594-2596, 3176 McMorries, Edwin__________________________________________ n , 1589 Moeblenpah, H. A__________________________________________ n , 1550 Morawetz, V ictor__________________________________________ h i , 2692 Perkins, J. H --------------------------------------------------------------- in , 2338-2349 Reynolds, G. M -------------------------------------------------------------- 1, 29S-301 Rhodes, Bradford_____________________________________ h i , 3005,3007 Scudder, S. D --------------------------------------------------------------in , 2237-2241 Treman, Robert_________________________________ in , 2350-2352, 2354 Untermyer, Samuel_________________________________________ 1, 815816, 877, 881, 882, 883, 884, 885, 887, 888 , 889, 890, 891, 892 Vanderlip, F. A------------------------------------------------------------ h i , 1997-1998 Wade, F. J ______________________________________________ 1,148,151 Willis, H. P___________________________________________iii ,3042-3050 Federal reserve notes, Jenks, J. W-----------------------------in , 3163-3164 France, Bank of, Hulbert, E. D ----------------------------- -------------------- .11,1125 Germany, Reichsbank of— Reynolds, G. M ----------------------------------------------------------------------- 1, 295 Sprague, O. M. W____________________________________________ 1, 506 Government— Forgan, J. B_________________________________________________ 1, 304 Sprague, O. M. W ______________________________________ 1, 306-307 Wade, F. J _______________________________________________1,149-150 Wexler, Sol___________________________________________________1, 321 Impounding of. in time of emergency, Reynolds, G. M_____________ 1, 233 ------under proposed bill, Newton, Oscar_____________________ 11, 1640,1641 Insufficient, credit declined because of. Reynolds, G. M_____________ 1, 229 Invested in short-time commercial paper. Untermyer, Samuel- n, 1340-1341 Loaned to prevent panics, French, Nathaniel______________ 111, 2074-2075 Managers of bank to use judgment, Reynolds, G. M_______________ 1, 289 Member Banks— Bolton. J. W_____________________ 11,1574-1575,1577-1579,1580-1581 Crozier, A. O________________________________________ in , 2887-2888 Frame, A. J ____________________________________ 1, 679-6S0. 717-719 Jones, Breekenridge____________________________________11,1037-1038 Morawetz, Victor____________________________________ in , 2678-2704 Mobilization of, meaning, Ailing, N. D _____________________________ 1, 407 ------under proposed bill— Dawson, A. F _____________________________________ in , 2087, 2089 Frame, A. J_________________________________________ 1, 688 , 689 French, Nathaniel_____________________________________ in , 2070 Reynolds, G. M____________________________________________1, 290 Scott, J. T______________________________________________ 11,1647 Untermyer. Samuel______________________________ 1, 872-874. 934 ' Vanderlip, F. A_________________________ _________in , 1933. 2063 — -will furnish added basis for rediscounting. Berry, W. H _______ 1, 613 Modification of section of bill relating to, Reynolds, G. M_______ 1, 249-250 3246 IN D E X . Reserves—Continued. National Banks— Page. Berry, W. H ____________________________________ I, 570-571, 599, 600 Reynolds. G. M_____________________________________________ I, 313 Wade, F. J_________________________________________________ i,150 Present system, Wexler, Sol________________________________ i, 80, 88-95 Provided under proposed bill— French, N athaniel___________________________________ h i . 2073-2074 Sprague, O. M. W_______________________________________ i, 524-525 Wexler, S o l_______________________________ ____________i. 71, 72. SO R ed u ction Hill, E. J _______________________________________________ 1,260,261 Johnston, J. T. M--------------------------------------------------------------- i, 120 Wells, E. B ________________________________________________ 1,946 Reserve cities, under present banking system— Berry, W. H _____________________________________ ._________ i, 600 Dawson. A. F --------------------------------------------------------------------- m , 2111 Restoring by bank-note redemption, Berry, W. II_____________ i, 575-576 Result under proposed bill, Reynolds, G. M___________________ i, 248-249 Savings departments, Jones, Breckenridge__________________ ii . 1002-1005 Savings deposits, Maddox, R. F __________________________ i, 216-217, 218 State Banks— Bolton, J. W_____________________ ii . 1574-1575,1577-1579.1580-1581 Hill, E. J__________________________________________________ 1,262 Jones, Breckenridge__________________________________ ii , 1001-1002 Wade, F. J _________________________________________________ i, 150 Statements relating to— Frame. A. J __________ ______________________________________ i, 693 Vinson, Taylor______________ in , 2850, 2854-2855, 2857-2859. 2860-2861 Wexler, Sol____________________________________________ i, 72, 84,85 Tables— Comparison under present and proposed law _____________ i, 247-248 Condition three years after operation of proposed bill_____ i. 251-252 Memorandum indicating probable changes under H. R. 7837------- i, 656 Reserves of actual gold versus notes only, versus notes and de posits against deposits only, carried by Bank of England, Reichsbank. Bank of France, Bank of Netherlands, and Bank of Belgium______________________________________________ i, 456 Trust companies. Jones, Breckenridge______________________ n, 1001-1002 Reynolds, George M. (president, Continental and Commercial National Bank, Chicago, 111.) : T e s t i m o n y ______ i, 169,198,199, 200, 206. 224-257, 288-296. 297-306, 311-315 Bank notes, security________________________________________________ I,298 Checks ahd drafts— Exchange at par by Federal Reserve Banks______ i, 198.199. 200, 206 Medium of exchange____________________________________ i. 252-253 Country Banks, membership in Federalreservesystem optional______ i. 239 Credit— 240.241 Extension of, by banks_________________________ i. 229-230, 233-234 Reserves insufficient for-------------------------------------------------------------- i,229 Currency bill, merits------------------------------------------------------------------------- i, 290 ------objections_______________________________________________ i. 233, 243 Currency expansion, provision for------------------------------------------------------- i,169 Currency legislation, urgency of------------------------------------------------------------i,236-237 England. Bank of. note issue, legal tender---------------------------------- i, 292, 294 Federal Reserve Banks— Number________________________________________________________ I,240 R eserves_________________________________________________ ii , 298-301 Federal reserve notes as legal tender, objections to_i. 291-292. 293. 294, 295 Germany, Reichsbank of, mobilization of reserves________________________ i,295 Gold certificates, retirement_________________________________________ i.302 Greenbacks— Legal tender, benefit or detriment_________________________________ i.292-293 Objectionable as currency___________________________ i. 297. 301-302 Interest, not paid to banks upon deposits______________________ 1.224-225 IN D EX . 3247 Reynolds, George M.—Continued. Member Banks— Page. Membership in Federal reserve system optional____________ i, 238, 239 Subscription to Federal Reserve Banks___________________ i, 255-256 National-bank notes as legal tender, benefit or detriment_______ i, 293-294 National Banks, charters dissolved_______________________________ i, 240 Note issue, Individual Banks_____________________________________ i, 298 Panic of 1907________________ ___________ i, 220-227, 229, 230-232, 234-236 Panics, causes_______________________________________________ i, 227-229 Redemption, bank notes______________________________________ i, 295-296 Reserves— Amounts to be left to judgment of banks----------------------------- i, 233, 289 Impounding of, in time of emergency--------------------------------------- i, 233 Mobilization of, under proposed bill---------------------------------------- i, 290 Modification of section of bill relating to---------------------------- i, 249-250 National Banks_____________________________________________ i, 313 Result under proposed bill------------------------------------------------x, 248-249 Short-time commercial paper, in France and London------------------i, 289-290 ------value of_____________________________________________________ i, 289 Stock-exchange loans, investment by banks in---------------------------- i, 225-226 Reynolds. Jefferson, letter stating objections to proposed bill____ ur, 3126-3127 Rhodes, Bradford (president, First National Bank, Mamaroneck, N. Y.) : T e s t i m o n y _____________________________________ in , 3003-3013 Bank notes, retirement________________________________________ m , 3008 Capitalization, Federal Reserve Banks----------------------------------------in , 3007 Currency bill— Amendments to proposed bill---------------------------------------h i , 3005, 3007 Merits of proposed bill------------------------- h i , 3004, 3005, 3007, 3008, 3013 Defects of present banking system--------------------------------------------- h i , 3004 Federal Reserve Board, personnel---------------------------------------------- in , 3007 Redemption— Bank notes_______________________________________________ in , 3011 Federal reserve notes--------------------------------------------------- in , 3005, 3007 Rediscounting, Federal Reserve Banks---------------------------------in , 3005-3006 Reserves, Federal Reserve Ranks---------------------------------------- nr, 3005, 3007 Savings departments, National Banks________________ iii , 3006-3007, 3008 Richmond Chamber of Commerce, letter offering amendments to proposed' bill______________________________________________________________ m ,3090 Rogers, George W. (Bank of Commerce, Little Rock, Ark.) : T e s t i m o n y ___________________________________ i i , 1565-1571; in , 2247-2259 Bank notes, retirement_____________________ in , 2248-2250 Bonds, objections to refunding of 2 per cent________________ iii , 2248-2250 Checks and drafts, exchanged at par by Federal Reserve Banks_i i , 15651567; iii , 2251-2252 Clearing centers. Federal Reserve Banks______________________________ ii ,1566-1567 Country Banks— Membership in Federal reserve system, optional________ in , 2252-2259 R eserves______________________________________________in , 2252-2259 Savings departments, objections_______________________ h i , 2250-2251 Currency bill— Amendments to proposed bill________ n , 1570: iii , 2248, 2250. 2251, 2252 Objections_______________________________________________________ ii ,1565-1566 Federal reserve notes first lien upon assets of Federal Reserve B an k s_____________________________________________________ iii , 2252 Member Banks, membership in Federal reserve system optional, in , 2248-2250 Rutter, Andrew L., brief of______________ - ________________________I, 388-403 Savings Banks: Savings deposits, Maddox, R. F _________________________ i, 213, 216, 218 Tables— Aggregate resources and liabilities, 1907-8 to 1912___________in , 2186 Principal items of resources and liabilities, 1863 to 1912_in , 2190-2191 Savings Banks, including Postal Savings Banks, number of de positors. amount of deposits, average deposits per deposit ac count and per inhabitant by specified countries__________ 1. 66 0 -6 6 1 Tabular summary of State legislation______________ ii , facing p. 1724 3248 IN D E X . Savings departments: Country Banks, objections— Pago. Frame, A. J __________________________________________________ I, 684 Moehlenpah, H. A_________________________________________ n, 1564 Rogers, G. W____________________________ ___________ h i , 2250-2251 Tilton, Me Lane, jr___________________________________ in , 2313-2316 Elimination of provision for— Cannon, J. G______________________________________________ m , 2154 Hulbert, E. D ___________________________________________________ n, 1114-1117 Jenks, J. W__________________________________________ iii , 2622, 2626 Johnston, J. T. M___________________________________________ i, 121 McMorries, Edwin----------------------------------------------------------------------- n, 1590-1591 Maddox, R. F________________________________________________ I, 212 Montgomery, S. B------------------------------------------------------m , 2194. 2223 Moses, E. R_______________________________________________ in , 2368 Sexton, H. D ----------------------------------------------------------------------- iii , 2222 Tilton. McLane, jr------------------------------------------------------m , 2316, 2318 Treman, R obert___________________________________________ in . 2355 Willis, H. P __________________________________________ iii ,3021.3023 Letter opposing section in proposed bill, Linn, W. A_________ n , 1272-1273 National Banks— Morawetz, Victor______________________________________in , 2707-2710 ------amendment to proposed bill, Frenzel, J. P_______________ ii , 1612-1613 ------approved— Clark, II. C___________________________________ n , 1059-1061,1064 Jenks. J. W ________________________________________________ in, 3164 Rhodes, Bradford____________________________ in, 3006-3007, 3008 Sprague. O.M. W__________________________________________i, 530 ------elimination from— Jones. Breckenridge------------------------------------------n , 1005.1013-1019 Tregoe, J. H -------------------------------------------------------------------------- n , 1041 ------objections, White, W. C_______________________________ in , 2225-2227 Objections to proposed bill— Dawson, A. F _______________________________________ III, 2116-2118 Foster. F. H ________________________________________ iii , 2632-2634 Regulations for conduct of. Jones, Breckenridge___________ n , 1011-1013 Reserves, Jones, Breckenridge_____________________________ n , 1002-1005 Savings deposits: Amounts, Maddox, R. F _____________________________________ I, 212-213 Investments, Maddox, R. F __________________________________ i, 213-215 National Banks, Maddox, R. F______________________________ i, 212-217 Reserves, Maddox, R. F _________________________________ 1,216-217.218 Savings Banks, Maddox. R. F____________________________ I, 213, 216, 218 Segregation, Maddox, R. F __________________________________ i. 213-215 Unavailable for commercial purposes under proposed bill— Clark, H. C________________________________ 11,1059-1062,1064-1065 Harrington, C. M___________________________________ i. 962, 963-964 Scott. J. T. (vice president. First National Bank. Houston, Tex.) : T e s t i m o n y __________ _________________________ ______________n , 1646-1656 Bank examiners, appointment and duties___________________ n , 1648-1649 Banking system, Present, defects of___________________________________ n. 1649 Central Bank, advantages------------------------------------------------------------------- n, 1652 Checks and drafts, exchange at par by Federal Reserve Banks___ n, 1646 Currency bill, amendments to proposed bill-------------------------- n, 1646-1647 Federal Reserve Banks— Directors, powers of------------------------------------- n, 1647,1648,1655-1656 Number--------------------------------------------------------------------------------------- n, 1647 Member Banks— Interest charged byFederal ReserveBanks_________________________ n, 1647-1648 R ights_________________________________________________ ii, 1647. 1651 Subscription to Federal Reserve Banks---------------------------------- n , 1646 Reserves, mobilization of. under proposed bill------------------------------n, 1647 Scudder, S. D. (vice president, Richmond Trust & Savings Co., Rich mond, Va.) : T e s t i m o n y _________________________________________________ iii , 2232-2247 Central Bank, control by bankers------------------------------------------------ iii , 2235 Currency bill, amendments toproposed bill-----------------------------in, 2720-2721 in d e x . 3249 Scudder, S. D.—Continued. Page. Federal Reserve Banks, reserves__________________________ in , 2237-2240 Federal Reserve Board, powers---------------------------------------------------h i , 2241 Note issue, Government___________________________________ m , 2235-2230 State Banks, membership in Federal reserve system-------------in, 2241-2246 Securities: Commercial paper preferable, Sprague, O. M. W----------------------- i, 531-532 Farm loans— Conant, C. A____________________________________ n, 1396,1397,1398 Jewett, II. C_________________________________________ ii ,1683-1684 Marshal], F. E __________________________________ 1,485-486,489-490 Wells, E. B _________________________________________________ i, 951 Federal Reserve Banks, Untermyer, Samuel------------------------------------i, 885 889, 890, 891, 892, 894,895,896 Federal reserve notes, secured by Government bonds, Berry, W. H _________________________________________________ i, 5S9-590, 593 Government bonds as collateral security, Frame, A. J ---------------------- i, 697 Movement of, Conant, C. A------------------------------------------------------- ii , 1385 Note issue, Federal Reserve Banks, Dawson, A. F__ n , 2090-2093, 2094-2095 Flannagan, W. W----------------.------------------------------------------------- i, 749 Frame, A. J------------------------------------------------------------------- I, 697-698 Marshall, F. E__________________________________________ i, 467-472 Sprague, O. M. W------------------------------------------------I, 501-504, 523-524 Syme, F. J-----------------------------------------------------------------in , 2872-2875 Untermyer, Samuel----------------------------- ---------------------------- i, 909-919 ------Individual Banks, Untermyer, Samuel_____________________ i, 903-909 Stability of, Sprague, O. M. W______________________________ i, 513-522 Sexton. Henry D. (president, Southern Illinois National Bank, East St. Louis, 111.) : T e s t i m o n y _______________________________________________ in , 2215-2223 Checks and drafts, exchange at par by Federal Reserve Banks__ i n , 22152220 Currency bill, merits of proposed bill------------------------------------------in . 2221 Federal Reserve Banks, number------------------------------------------------- in , 2221 Savings departments, elimination of provision for_______________ m , 2222 Shafroth bill: Bank notes, retirement, Conant, C. A____________________________ ft, 1419 Statements relating to— Berry, W. H --------------------------------------------------------------------------i, 605 Sprague, O. M. W------------------------------------------------------------ i, 551-552 Untermyer, Samuel---------------------------------------------------------- i, 939-941 Text o f ----------------------------------------------------------------------------------- in , 2178 Sherman Act of July 14. 1890, reserves compared with those under pro posed law. Ailing, N. D _________________________________________ 1,412-413 Sliibley, George H. (director, American Bureau of Political Research, Washington, D. C.) : T e s t i m o n y ------------------------------------------------------------- i, 1724-1827 ii , 2534 Bank notes, retirement_______________________________________________ n , 1762 Currency bill, amendments to proposed bill___ n , 1835-1837 ; m , 2535-2548 Federal Reserve Banks, stock issue____________ ____________n , 1833-1860 Price level, explanation______________________________________ n 1724-1827 Shields. Edward E. (secretary, group 2. Pennsylvania Bankers’ Asso ciation, West Chester, Pa.) : T e s t i m o n y ------------------------------------------------------------------------ in , 3092-3111 Simmons. W. D. (chairman, banking and commerce committee of Chamber of Commerce of United States. St. Louis, Mo.) : T e s t i m o n y ------------------------------------- ----------------- in , 2484-2486, 2513-2519 Banking system. Present, defects of______________________________ in , 2484 Currency bill, amendments_____________________ in , 2485-2486, 2513-2516 Federal Advisory Council, amendments to proposed bill_________ h i , 2486 Federal Reserve Banks— Automatic continuance of system _______________________ in , 2514-2515 Dealings with other FederalReserve Banks______________ in , 2513-2514 N u m b er-------------------------------------------------------------------------------------- n, 2486 federal Reserve Board— Personnel_____________________________________________ in , 2485-2486 P o w e r s___________________________________________________iii ,2516 3250 INDEX. Simmons, W. D — Continued. Federal reserve notes— Page. Amendments to proposed bill______________________________ m , 2486 Securities for issue---------------------------------------------in , 2486, 2515, 2516 South Dakota, bankers’ objections to proposed bill, letter from N. E. F ranklin------------------------------------------------------------------------------ ii , 1723-1724 Sprague, O. M. W. (Harvard University) : T e s t i m o n y ---------------------------------i , 297, 306-310, 358-373, 497-534. 551-560 Aldrick-Vreeland Act— Objections to------------------------------------------------------------- i, 510, 512-513 Obstacles, largely sentimental __________________________ i, 552-553 Bank associations, power to issue and rediscount notes________ i, 553, 554 Bank notes— Retirement under proposed bill______________________________ i, 558 Substitution for legal-tender notes___________________________ i, 558 B a n k i n g R e f o r m i n t h e U n i t e d S t a t e s ____________________________ i, 555 Banking system, Present, defects of__________________ i, 358-361, 512-513 Canada, note issue___________________________________________ i, 506-507 Central Bank, objections to______________________________________ i, 363 Checks and drafts— Exchange at par by Federal Banks___________________________ i , 360 . Medium of exchange____________________________________ i, 358-359 Commercial paper, advantages of use_____________ i, 514, 520-522, 531-532 Country Banks, reserves_________________________________ i, 521, 524-525 Credit, contraction______________________________________________ i, 369 ------expansion----------------------------------------------- i, 360-361, 367-368, 498-501 Currency bill— Compulsory feature approved__________________________________i, 527 Merits of proposed bill------------------------------------------------i, 498, 529-531 Currency contraction--------------------------------------------i, 509. 511-512, 532-533 ------expansion----------------------------------------- i, 309-310, 509, 511-512, 532-533 Discounting rates-------------------------- ._________________________ i, 507-509 European banks, credit expansion_________________________________ i, 361 Federal Advisory Council, representation on Federal Reserve Board_i, 525 Federal Reserve Banks— Business increase not apparent to public______________________ i, 552 Capitalization___________________________________________ i, 527-529 Clearing centers_______________________________________________i, 360 Directors, removal by Federal Reserve Board______________ i, 525-526 Discount rates should not be uniform______________________ i, 363-364 Interest not to be paid on deposits_________________________ i, 504-505 N um ber______________________________________________________i, 526 Stock, subscription by public___________________________________i, 559 Federal Reserve Board— Bank assets, dissipation impossible_____________________________i, 531 P erson n el____________________________________________________ I, 525 Powers _____________________________________________________ i, 525 Publicity curbs power_____________________________________ i, 361-362 France, Bank of, note issue________________________________________i, 297 Germany, Reichsbank of— Note issue, legal tender________________________________________I, 297 R ese rv e s_____________________________________________ Doans— Effect of proposed legislation upon------------------------------------- i, 510-511 Restricted by Federal Reserve Banks--------------------- 1,360-361.367-368 Securities------------------------------------------------------------ i, 513-522, 531-532 Mortgage loans, investment by banks in___ i, 514-515, 522, 529-530, 531, 532 Note issue__________________________ 1,369-373,501-504,505-506,523-524 Panic of 1907------------------------------------------------------------------------------- I,534 Panics, exchanges during-------------------------------------------------------------- i,365 Redemption, Suffolk banking system of Massachusetts_______________ i,559 Rediscounting— Federal Reserve Banks---------------------------------------------- 1,364-368,532 Provisions under proposed bill approved_______________________ i,529 Reserves— Government----------------------------------------------------------------------- i, 306-307 Provided under proposed bill-----------------------------------------------i, 524-525 i,506 INDEX. 3251 Sprague, O. M. W . —Continued. Page. Savings departments, provision under proposed bill approved-------— i, 530 Securities— Commercial paper preferable_____________________________ i, 531-532 Stability _______________________________________________ I, 513-521 Shafrotb bill________________________________________________ i, 551-552 Stock-exchange loans, investment by banks in-------- i, 498, 510,514, 517-520 Suggestions for a banking system____________________________ x, 555-558 State B anks: Advantages, Wade, F. J ---------------------------------------------------------- 1. 138-139 Bank notes held as reserves----------------------------------------- ---------------- i, 129 Loans— Bolton, J. W____________________________________________________ ii ,1576-1577 Untermyer, Samuel---------------------------------------------------------------- i, 939 Membership in Federal reserve system— Conant, C. A____________________________________________________ n, 1449-3450 French, Natheniel-----------------------------------------------------------------in , 2070 Jones, Breckenridge---------------------------------------------------------------------n, 1007-1011 Larrabee, F. S _______________________________________ iii , 2357-2358 Moehlenpah, H. A--------------------------------------------------------------- ii , 1541 Newton, Oscar--------------------------------------------------------------- n, 1640,1641 Scudder, S. D ------------------------------------------------------------- in , 2241-2246 Tilton, McLane, jr__________________________________________ in , 2321 Untermyer, Samuel____ i, 817-819, 838-S42, 937-939; ii , 1315,1333-1334 Vanderlip, F. A---------------------------------------------------h i . 1976-1980, 2058 Willis, II. P__________________________________________ iii ,3021-3022 Permission to borrow from Federal Reserve Banks, Frame, A. J _____ i, 689 Reserves— Bolton. J. W______________________ ii , 1574-1575,1577-1579,1580-1581 Hill, E. J___________________________________________________ 1,262 Jones, Breckenridge__________________________ __________n, 1001-1002 Wade, F. J __________________________________________________ i, 150 Statements relating to— Hulbert, E. D ________________ ii, 1094-1096.1112-1113,1114-1115,1117 Wexler, Sol---------------------------------•-------------------------------------- i, 44-45 Tables— Aggregate resources and liabilities. 1908 to 1912______________ ill, 2186 Principal items of resources and liabilities. 1863 to 1912_in, 2190-2191 Stock-exchange loan s: Investment by banks in— Jenks, J. W________________________________________________ iii , 2624 Reynolds, G. M__________________________________________ I, 225-226 Sprague, O. M. W____________________________ 1,498,510,514,517-520 Stock exchanges. R e l a t i o n o f S t o c k E x c h a n g e s t o C u r r e n c y Q u e s t i o n , by J. R. Dos Passos_______________________________________________ i, 493-497 Stock issue: Central Bank, Jenks, J. W___________________________ in , 3159, 3160. 3165 Federal Reserve Banks— Untermyer, Samuel__________________________________________ i, 829 Willis, H. P______________________________________m ,3038-3039.3060 Stockholders: Dividends, Marshall, F. E________________________________ :_______ I, 458 Federal Reserve Board, representation on, Marshall, F. E__________ i, 458 Liability, Marshall, F. E_____________________________________ i, 484^85 National Banks, Wade, F. J _________________________________ i, 146-147 Suffolk banking system______________________________________________ I, 559 Swinney, Edward F. (president of First National Bank, Kansas City, Mo.) : T e s t i m o n y ------------------------------------------------------------------------ iii , 2037-2052 Aldrich-Vreelaml Act__________________________________________ iii , 2050 Banking system, Present, defects o f____________________________ in , 2041 Checks and drafts, exchange at par bv Federal Reserve Banks___ iii , 2043 Country Banks— Membership in Federal reserve system compulsory_____ iii , 2041, 2049 Objections to proi>osed bill___________________________ iii , 2041, 2045 3252 INDEX. Swinney, Edward F.—Continued. Page. Currency bill, amendments to proposed bill______ in , 2047-2049, 2051-2052 Federal Reserve Banks— Capital------------------------------------------------------------------------------ in , 2041 Clearing-houses for Country Banks_________ ______________ in , 2038 Number_________________________________________________ _ m , 2042 Syme, F. J. (New York, N. Y.) : T e s t i m o n y _______________________________________________ in , 2872-2875 Federal reserve notes, security for issue___________________ in , 2872-2875 Tables: Abstract of reports of earnings and dividends of National Banks in United States, year ended July 1, 1912______________________ i, 662-665 Aggregate capital, deposits, and borrowings of National Bank groups h i , 2748-2749 Aggregate loans, resources, capital, and deposits for fiscal years 1908 to 1912, of banks reporting to Comptroller of Currency_________ in , 2189 Aggregate resources and liabilities of loan and trust companies, 1908 to 1912_____________________________________________________ ni,2187 ------National and other reporting banks, 1908 to 1912_______ in, 2185, 2188 ------of private banks, 1908 to 1912_______________________________ in , 2187 ------of Savings Banks, 1907-8 to 1912____________________________ in , 2186 ------of State Banks, 1908 to 1912_________________________________ in, 2186 Bank statistics___________________________________________ h i , 3009-3010 Bonds held in trust for National Banks, Sept. 13, 1913_____________ I, 657 Capital, deposits, cash, and amount of rediscounts for Member Banks if all NationalBanks immediately subscribe_______________ in . 2751-2752 Capital, surplus, and undivided profits of larger New York banks, in , 2754 Checks handled Dec. 18, 1912, by First National Bank, Kansas City, M o___________________________________________________ in, 2039-2040 Classification of cash in banks June 14, 1912------------------------------------I, 659 Classification of deposits in each class of banks as of June 14.1912. n, 13711377 Comparison of earning capacity of a Country Bank under present law and under proposed bill__________________________________m , 3131-3132 Comparison of Owen bill and present law ---------------------------------i, 613-617 Comparison of reserves under present and proposed law ----------- i. 247-248 Comparison of typical central reserve city bank as to earning capacity under present law and under proposed bill----------------------- h i , 3130-3131 Condensed summary of reports as of June 4, 1913. and changes that will be made under Federal reserve act-------------------------- in , 2179-2182 Condition of banks, June 30, 1912--------------------------------------------------- I, 563 Condition of reserves three years after operation of proposed b ill, i, 251-252 Currency in existence in 1913_____________________________________ i, 591 Currency shipments by First National Bank. Kansas City. Mo----- in , 2044 Daily statement of United States Treasury at close of business Sept. 16, 1913_______________________________________________________1,658 Distribution of loans and discounts made by 30 of largest banks and trust companies in New York City___________________________ n i, 2774 Distribution of money in United States------------------------------------------I, 659 Estimated effect of provisions of proposed bill upon banking interests m , 3132-3138 European banks, capital, specie, circulation, etc., compared with National Banks of United States------------------------------------------------i, 725 Interest-bearing and noninterest-bearing deposits of Country Banks of New Jersey--------------------------------------------------------------------------- n, 1129 Interest, reserve banks of Europe------------------------------------------i, 534-542 Legal tender in circulation on June 30. 1912____________________ _ i, 593 Memorandum indicating probable changes in reserves under H. R. 7837____ '--------------------------------------------------------------------------------- 1,656 Monetary systems and approximate stocks of money, in aggregate and per capita, in principal countries of the world. Dec. 31. 1911.. i. 666-667 Money in circulation, stock of gold coin and bullion, consumption of gold and silver bars------------------------------------------------------------ i, 403-405 New' York banks having out-of-town depositors___________________ i, 819 Paper currency of United States, denominations outstanding June 30, 1912_____________________________________________________ _ I, 655 I INDEX. 3253 Tables—Continued. Page. Principal items of resources and liabilities of State, Savings, and Private Banks, Loan and Trust Companies, and National Banks, 1803 to 1912___________________________________________ nr, 2190-2191 Reserves of actual gold versus notes only, versus notes and deposits against deposits only, carried by Bank of England, Reichsbauk, Bank of France, Bank of Netherlands, and Bank of Belgium_____ i, 456. Savings Banks, including Postal Savings Banks, number of depositors, amount of deposits, average deposits per deposit account and per inhabitant by specified countries____________________________ i, 660-661 Statement of vote on approval of report of standing committee on banking and currency of Chamber of Commerce of United States of America upon Owen-Glass currency bill (S. 2639, H. R. 6454, 63d Cong., 1st sess.) ___________________________ ______________ 1,2792-2797 Statement showing, by States, money borrowed by National Banks. Sept. 6 . 1904. etc__ 1____________________________________ ii , 1888-1890 Statement showing money in circulation from 1860 to 1912_ m , facing p. 2184 Summary after considering net cash requirements, after discounts permissible to Member Banks---------------------------------------------- i, 656-657 Summary of reports of condition of 25,195 banks in the United States, etc., June 14. 1912------------------------------------------------111,2188-2180 Tabular summary of State legislation governing Commercial Banks i i , facing p. 1724 Tabular summary of State legislation governing Savings Banks i i , facing p. 1724 Tabular summary of State legislation governing trust companies i i , facing p. 1724 Tentative income and expense. Federal Reserve Bank, New York__ h i , 2153 Thomas, Charles Spalding (Senator from Colorado) : T e s t i m o n y _______________________________________________nr, 2432-2449 Bonds, objections to refunding of 2 per cent---------------------------------h i , 2433 Currency bill— Amendments to proposed bill------------------------------------------ h i . 2435-2449 Objections____________________________________________ h i , 2433, 2434 Tilton, McLane, jr. (president. First National Bank, Pell City, Ala.) : T e s t i m o n y _________________________________________ ,_____ in , 2306-2321 Checks and drafts, exchange at par by Federal Reserve Banks- in , 2308-2310 Country Banks, membership in Federal reserve system_____ in , 2319-2320 Currency bill, objections of Country Banks to proposed bill_______ in, 2308 Savings departments— Country Banks, objections_____________________________ in , 2313-2316 Elimination of provision for___________________________ in, 2316, 2318 State Banks, membership in Federal reserve system______________ h i , 2321 Treasurv Bank, suggestions for organization of, Vinson, Taylor-------- h i , 28502861.2867-2871 Treasury notes, issue of. Hill. E. J _______________________________ 1.283-284 Treasury, United States, daily statement at close of business Sept. 16. 1913______________________________________________________________ 1,658 Tregoe, J. H. (secretary, National Association of Credit Men, New York, N. Y.) : T e s t i m o n y __________________________________________________________ ii ,1038-1048 Currency bill, amendments___________________________________________ ii ,1039-1041 Federal Reserve Banks— Interest ____________________________________________________ ii , 1040 N u m b er___________________________________ n, 1039-1040,1041-1043 Federal Reserve Board, personnel_____________________ ii , 1040,1043-1045 Federal reserve notes, obligation of issuing bank_______ ii , 1040,1045-1048 Savings departments, elimination from National Banks_________________n, 1041 Treman, Robert (president. Tompkins Countv National Bank, Ithaca, N. Y.) : T e s t i m o n y ------------------------------------------------------------------------- h i , 2350-2356 Country Banks, favorable to proposed bill_____________ m , 2353, 2355-2356 Federal Reserve Banks— Number ---------------------------------------------------------------------------- in , 2353 R eserves_______________________________________ in , 2350-2352, 2354 S. Doc. 232, 63-1— vol 3------ 84 3254 INDEX. Treman, Robert—Continued. Page. Panic of 1907_____________________________________________ in , 2351, 2352 Savings departments, elimination of provision for_______________ m , 2355 Trust companies: Amendments to proposed bill, Jones. Breckenridge______ 11,999-1003,1006 t Membership in Federal reserve system— Jones, Breckenridge_____________________________________________ n, 1007-1011 Vanderlip, F. A___________________________________________ in, 2057 Wade. F. J _________________________________________________ i, 168 Privileges— Wade, F. J _________________________________________ i, 158-161,168 Wexler. F. J _______________________________________________ i, 172 Reserves, Jones, Breckenridge________________________________________ n , 1001-1002 Statements relating to, Jones, Breckenridge___________________________ n, 1015-1017 Tables— Aggregate resources and liabilities of loan and trust com panies, 1908 to 1912_____________________________________ h i , 2187 Principal items of resources and liabilities, 1863 to 1912_ in. 2190-2191 Tabular summary of State legislation________________ ii , facing p.1724 Two per cent bonds. S e e Bonds, Refunding of. Untermyer, Samuel (New York City) : T e s t i m o n y ______________________________________ I, SOS-942; n, 1288-1369 Aldrich-Vree’and Act, mobilization of reserves under__________ i, 872, S73 Bank examinations, defects under proposed bill____________ n, 1321-1322 Banking system, Present— Competition under, compared with European banks________ i. 834-837 Relation of financial interests to banks_______________________ i. S30 Central Bank, objections_____________________________ n , 1335-1336,1337 Commercial paper— Acceptances by National Banks___________________________ i, 810.811 Character of____________________ i, 844-861. 891. 892. 919-920. n, 13071 3 1 2 .1 3 1 4 -1 3 1 5 ,1 3 2 0 -1 3 3 1 ,1 3 6 5 County Banks— Membership in Federal reserve system___ I, 817, 818, 823. 824, 825. 827 Reserves_____________________________________________ n, 1341-1344 Currency bill— Amendments to proposed bill________________________ I, 841; it, 1322 D efects_________________________________________________ 1, 888. 889 M erits_________________________________________________ n. 808-900 Currency, elasticity_______________________________________ ii , 1298-1306 ------expansion____________________________________________________ i, 933 ------expansion and contraction measured by commercial paper--------- 1.932 Discounting ra te s_______________________________________ 1.809-812.814 England, Bank of, directors______________________________________ 1,902 Farm loans, opposed as basis of extended currency--------- :-------------- i, 861 Federal Advisory Council,objections to______________________ n , 1318-1319 Federal Reserve Agents, election___________________________ n, 1319-1320 Federal Reserve Banks— Control________________________________________ ii , 812-813. 833. 834 D irectors____________________________________i, 834. 921-923; n, 1319 Number________________________________________________ ii , 1326-1327 Reserves____________ i, 815, 816-877, 881, 882. 883, 884. 885, 887. 888. 889 Securities___________________________ i, 885. 889. 890, 891. 892. 895, $96 Stock issue__________________________________________________ i, 829 Federal Reserve Board— Controller! by interests__________________________________n. 1336-1337 Personnel_____ ________________ _________________________ i. 813, 815 Powers-------------------- 1,861-867.868.869; u, 1295-1298,1337-1338.1359 Federal reserve n o t e s . . . . . . __ ___________________________ ; i, 888. 889. 890 ------ first h en upon a s s e ts o f F ed eral R eserve B a n k s , i. 892. S93, 894, 895, 896 F ran ce, B ank of. d i r e c t o r s . . . ----------------------------------------------------------------i, 813 G overn m en t d ep osits. F ederal R eserve B a n k s__________ _ ii. 1322-1323,1324 G overnm ent in ban k in g b u sin ess, u n favorab le to proposed b ill, n , 1294-1295 In d iv id u a l B an k s, benefited under proposed b ill_____________ i, 934-937 L oan s under presen t b an k in g system com pared w ith European b a n k s--------------------------------------------------------------------------------------------- I, 835-837 INDEX. 3255 Untermyer, Samuel—Continued. Member Banks— Page Membership in Federal reserve system----------- i, 817-837 ; u, 1320,1368 Stock dividends increased__________________________________ ix, 1315 Subscription to Federal Reserve Banks_________________ n, 1323-1324 Note issue, Federal Reserve Banks_________________ _______ ir, 1320-1321 Open-market operations— i, 80S, 800, 810, 812; n, 1316-1317,1338,1367,1368 Panic of 1907, method of checking___________________________ 1.836-837 Price level----------------- :_____________ .______________ ______________i, 863 Real estate and farm loans, opposed______________________ i, 841, 842-843 Redemption, Government reserve fund_______________________ i, 885, 886 Rediscounting— Country Banks---------------------------------------------------------- i, 826, 827, 828 Federal Reserve Banks---------------------- 1,810,868,880,801.802; n. 1314 Reserve cities, Central, reserves required against demand liabilities_i, 822 Reserves— Invested in short-time commercial paper----------------------- ii , 1340-1341 Mobilization under proposed bill----------------------------i, 872-874, 934 Securities— Note issue, Federal Reserve Banks-----------------------------------i, 000-919 ------Individual Banks------------------------------------------------------- 1,903-009 Sliafroth bill---------------------------------------------------------------- i, 939-941 State Banks— Membership in Federal reserve system_______________________ i, 817, 838-842,937-939; n. 1315,1333-1334 Real estate loans and farm loans opposed_____________________ i, 939 Utica (N. Y.) Credit Men’s Association, Report of currency commit tee-------------------------------------------------------------------------------------- 111,2548-2550 Vanderlip, Frank A. (president. National Citv Bank. New York, N. Y.) : T e s t i m o n y ___________________________ in , 1933-2037, 2052-2069, 2911-2967 Bank system, Present, defects of_________________________ n , 1947 Bonds, refunding of____________________________ in , 1939-1943,1999-2001 Central Bank— Advantages o f ______________ h i . 1933-1936,1946-1947,1950,1969, 2059 Favorable t o ________________________________________ h i , 2911-2967 Checks and drafts, exchange at par by Federal Reserve Banks___ h i , 1998 Commercial paper, short-time_____________________________ h i , 1970-1974 Credit, expansion___________________________________ h i , 1942-1947, 2065 Currency bill— Defects________________________________________ h i , 1933. 1950-1954 Merits of proposed bill_______________________________ h i , 2068-2069 Objections to------------------------------------------------------------------------------in , 1963 Currency elasticity, need for____________________ in, 1933,1934. 2063-2064 Farm loans, basis for rediscounting_______________________ m. 1961-1963 Federal Reserve Banks— Directors______________________________________ in , 2060-2061, 2067 Division of earnings_______________________ 111,1937-1939,1974-1975 Number____________________________________________ in , 1933, 1963 Rediscounting, compulsory__________________ in , 1934-1935,1937,1985 Reserves based upon gross deposits______________________________ in , 1997-1998 Subscription to, by Member Banks_______________________________ in, 1963-1966 Federal Reserve Board— Directors of Federal Reserve Banks removed by_______ in . 1960-1967 Personnel_____________________________in , 1980-1984, 2060-2061, 2065 P ow ers_______________________________h i , 1935,1936,1939,1984-1996 Government Bank, plan for_________________________________________ in, 2911-2967 Note issue, government_____________________________ h i , 2001-2005, 2068 Open-market operations________________________ in , 1938-1939,1998-2001 Real-estate loans, basis for currency, opposed_________________________ in , 205,5-2056 Rediscounting______________________________________________________ m , 2065-2067 Reserves, mobilization of, under proposed bill_____________ in, 1933. 2063 State Banks, membership in Federal reserve system___ in. 1976-1980, 2058 Trust companies, membership in Federal reserve system_________ in, 2057 3256 INDEX. Varney, Justin E. (vice president and cashier, Bay State National Bank, Lawrence, Mass.) : . . Page. T e s t i m o n y _________________________________________________ n , 1248-1204 Country Banks, benefits not received under proposed bill______ n. 1250-1251 Currency bill, amendments to proposed bill______________________ n, 1262 » Federal Reserve Banks, directors_____________________________________ u, 1253-1254 Open-market operations, objections____________________________________ n. 1252-1253 Rediscounting, objections_____________________________________________ n, 1260-1262 Vinson, Taylor (Huntington, W. Va.) : T e s t i m o n y _________________________________________________h i . 2849-2871 Central Bank, control by bankers______________________________ in , 2850 Currency bill, substitute for proposed bill__________________h i , 2849-2871 Currency, public v s . private control_____________________________ in , 2849 Discounting ra tes____________________________________________ in, 2804 Federal Reserve Banks— C apitalization________________________________________ in , 2865-2860 Control, by bankers_______________________________________ in , 2850 Directors_____________________________________________ in, 2862-2864 Num ber__________________________________________________ in. 2886 Rediscounting__________________________________ ’____ in, 2866-2867 Rediscounting— Statements relating to_________________ in. 2854, 2855 2861, 2866-2867 Reserves, statements relating to__ in, 2850, 2854-2855, 2857-2859, 2860-2861 Treasury Bank, suggestions for organization of__ in. 2850-2861, 2867-2871 Virginia Banking Association, letter offering amendments to promised b ill_________ _____________________________________________ in. 3091-3092 Vreeland Act. See Aldrich-Vreeland Act. Wade. Festus J. ( president. Mercantile Trust Co., St. Louis. Mo.) : T e s t i m o n y __________________________________________________ 1, 125-187 Aldrich-Vreeland Act, objection to________________________________ i, 177 Central Bank— Advantages_____________________________________________ i, 156,157 Note issu e ____________________________________________________i,.155 Commercial paper, notes based on__________________________ ______i, 174 Country Banks, character of commercial paper------------------------------- i, 128 Currency expansion,checks on__________________________________i,J 5 1 ,153 England. Bank of, directors__________________________i_130,133-136 Federal Reserve Banks, note issue________________________________ i, 129 Number_____________________________________ 1,127,132, 156-157,169 Reserves________________________________________________ i, 148.151 Subscription to, by the public________________________________ i, 131 France. Bank of_____________________________________________ i, 136,137 Government in banking business______________________________ — 1.131 Inflation, checks on__________________________________________ 1,151,153 Member Banks— Membership in Federal reserve system optional____________ i, 125-129 Subscription to Federal Reserve Banks___ I..141-142.145.157,184-186 National Banks— Advantages_______________________________________________ I.J37-138 C a p itil_________________________________________________ 1.142-146 Effect on. by subscribing to FederalReserve Banks_____________ i, 145 Reserves____________________________________________________ 1, 150 Stockholders, liability o f__________________________________ ___i, 146-147 Note issue, by Government________________________________ ___i, 148-150 Real estate loans________________________ 1. 158,159.160,161,162,170-171 Reserves____________________________________________________ 1. 148-153 State Banks— Advantages--------------------------------------------------------------------- i, 138-139 Bank notes held as reserves_________________________________ i, 129 R eserves------------------------------------------------------------------------------ 1.150 Telegram opposing proposed bill------------------------------------------------m . 3092 Trust companies— Membership in Federal reserve system________________________ i, 168 Privileges________________ ^--------------------------------------- i, 158-161.16S ■ INDEX. 3257 Wells, Edward R. (Minneapolis. Minn.) : Page. T e s t i m o n y __________________________________________________ i, 942-960 Country Banks— Compulsory subscription to Federal Reserve Banks objection able__________________________________________________ 1,948,959 Objection to proposed bill_____________________________________ I, 954 Currency elasticity, need for.;_________________________________i, 954-955 Currency expansion, checks o n _________________________________ i, 80-83 Farm loans, value of farm mortgages as security---------------------------- i, 951 Federal Advisory Council, personnel__________________ i, 942-943, 949. 950 Federal Reserve Banks, directors__________________ i, 957-958 Rediscounting, objections--------------------------------------------------------- i, 947-948 Reserves— Comparison underpresent and proposed bill____________________ i, 952 Reduction-------------- ------------------------------------------------------------ t, 946 Wexler, Sol. (vice president. Whitney Central National Bank, New Or leans, La.) : T e s t i m o n y _________________ __________I, 42-109. 171-173, 315-358, 373-374 Aldrich-Vreelaud Act— Interest rates____________________________________________ i, 329-330 Objections to---------------------------------------------------------------i, 57, 337-338 Bank notes, elasticity------------------------------------------------------------- 1 ___i, 335 Banking system, present— Amendments________________________________________________ i, 336 Defects--------------------------------------------------------------------- i, 71, 74-75, 77 Capital of banks in United States__________________________ _______ 1, 4 s Central Bank— Advantages______________________ 1, 49-51, 54-55, 58, 60, 85-86. 99-1U2 Control, by bankers__________________________________ ________1, 355 ------by Government__________________________________________ 1. 58 Central reserve cities— Location of_________________________________________________ 1, 89 Reserves in_________________________________________________ 1, 90 Country banks •— Checks and drafts, exchange charges--------------------------------- 1, 201-212 Membership in Federal reserve system optional--______________ 1, 374 Objection to proposed b ill------------------------------------------------------- 1. 68 Credit— Extension of, by Central Bank______________________________ 1, 61 ------passed upon by Federal Reserve Board_____________________ 1. 46 Currency bill— Merits of proposed bill______________________________________ 1, 223 Objections to proposed bill_______________________________ 1, 222-223 Currency contraction____________________________________________ 1,83 Currency elasticity, how obtained________________________________ 1, 75-SO Currency legislation, urgency o f_________________________________ 1, 73 Discount rates________________________________________________ 1.69-79 England, Bank of. directors_____________________________________ 1,43 European banks, capital owned outside of banks__________________ 1.153 Federal Reserve Agents, duties__________________________________ 1, 47. 51 Federal Reserve Banks— Capital____________________________________________________ 1,44-15 Directors, control___________________________________________ 1, 53 ------removal by Federal Reserve Board__________________ 1,46-47,222 Loans_______________________________________________________ 1, 63 Number____________________________________________ _________ 1. 49 Federal Reserve Board— Compulsory loans____________________________________________ i,63 D irectors___________________________________________________ ^ 1, 61 Personnel____________________________________ 1, 42, 43, 59. 61, 64, 222 Reserve cities and central reserve cities to be designated___ 1,373-374 France, Bank o f _________________________________________________1. 103 Government Bank, objection to___________________________________ 1, 354 Government in banking business_____________________ 1, 55-56, 59, 221 . 355 interest rates in different sections of country____________________ 1.96-99 3258 IN D EX . Wexler, Sol.—Continued. Page. Member Banks, subscription to Federal Reserve Banks_____ i, 44^15, 65-66 National Banks, cap ital__________________________________________ i, 45 Note issue, Individual Banks__________________________________________ I,71-72 Panics, causes of__________________________________________i, 87-88, 224 •Real estate loans_____________________________________________________ i,172 Redemption, Federal reserve notes________________________________ i, 72 Rediscounting— Compulsory, by other Federal Reserve Banks_____ i, 54, 66-69, 338, 340 Revolution of American banking methods_________________ 1. 106-107 R eserves__________________________________________________ i, 72. 84, 85 Banks of United States___________________________________________ i,105 Government, opposition t o ________________________________________ i,321 Present system___________________________________________________ i,88-95 Provided under proposed law____________________________ i. 71, 72, 80 State Banks________________________________________________________ i.44-45 Trust companies, privileges___________________________________________ i,172 Wheeler, Harry A. (vice president, Union Trust Co., Chicago, 111.) : T e s t i m o n y ------------------------------------------------------------------------ in , 2519-2534 Central Bank, advantages______________________________________ in , 2525 Federal Advisory Council, objections____________________________ in, 2533 Federal Reserve Banks— Directors______________________________________________ h i . 2525, 2526 Number_______________________________________________in, 2522-2524 Federal Reserve Board, powers______________________ in, 2525, 2526, 2531 Member Banks, membership in Federal reserve system optional__ in, 2527 White, William C. (president, Illinois National Bank, Peoria, 111.) : T e s t i m o n y _______________________________________________ in, 2225-2229 Savings departments in National Banks, objections to_______ in. 2225-2227 Willis, Henry Parker (New York. N. Y.) : T e s t i m o n y _____________________________________ in, 3013-3068. 3071-308S Bonds— Objections to refunding of 2 per cent_______________________ in, 3068 Value of 2 per cent____________________________________ in. 3024, 3026 <Central Bank, objections to_____________________ in, 3064-3068. 3074-3076 Checks and drafts, exchange at par by Federal Reserve Banks, in , 3053-3055 Commercial paper, character of_____________________________in. 3035-3037 Country Banks, membership in Federal reserve system_______ in, 3035-3036 Currency bill— Amendments to proposed bill-----------------------------------------in , 3021,3023 Defects in proposed bill_________________________ in, 3019-3021. 3034 Development of proposed bill___________________________in. 3013-3019 Merits of proposed bill__________________________ in, 3080. 3087. 3088 Defects in present banking system_________________________ in. 3084-3085 Federal Reserve Banks— Control, Government_______________________ in, 3078-3080. 3084-3085 Directors_________________________________________________ in , 305? Number___________________________________ in, 3001-30<>4, 3072-3075 Stock issue----------- ------------------------------------------------------in . 3038-3039 Federal Reserve Board— Personnel___________________________________________ in. 3U29. 3051 P ow ers_____________________________ in, 3051-3* »52, 3076, 3080. 3087 Government in banking business, objections----------------------- in. 3050-3051 Member Banks, membership in Federal reserve system_____ __ in . 30263028, 3038-3048 National Banks, elimination of savings departments_______ in . 3021. 3023 Note issue, by banks---------------------------------------------------------in , 3056-3057 Redemption— Federal reserve notes---------------------------------- h i , 3030-3032. 3034-3035 Five per cent fund--------------------------------------------------------------in, 3034 Rediscounting. Federal Reserve Banks------------------------------- in , 3056-3078 Reserve Bank Organization Committee, powers------------------- in, 3001, 3063 Reserves, Federal Reserve Banks----------------------- in, 3042-3050. 3057-3058 State Banks, membership in Federal reserve system________ m . 3021-3022 INDEX. 3 259 Winston, Fendall G. (Minneapolis, Minn.) : Page. T e s t i m o n y _______________________________________________ n, 1068-1076 Currency bill, objections to__________________________ n, 1087,1088,10S9 Currency contraction, effects of proposed bill__________ n , 1076-1078,1088 ------fear of business men under proposed bill___________ ii , 1074-1075,1088 1075,1088 Currency elasticity, needed only for emergency cases_______ n , 1068-1076 Currency expansion, increase under proposed bill________________ n, 1074 Open-market operations.________________________________________ n , 1087 Panic of 1907, effects o f____________________________________ i i , 1071-1072 Wisconsin National Banks, resolutions passed amending proposed bill, Frame, A. J -----------------------------------------------------------------------------------i, 684 Withers, Hartley, T h e m e a n i n g o f m o n e y , extracts from____________ i, 133-134 Woodruff, George (president, First National Bank, Joliet, 111.) : T e s t i m o n y ---------------------------------------------- -------------------------h i , 2281-2306 Checks and drafts, exchange at par by Federal Reserve Banks, in , 2282-2300 Currency bill, amendments------------------------------------------------in , 2300-2301
@FedFRASER