n would be a slow
remedy, but it would improve present conditions.

National banks should redeem their own notes. They should be allowed to
issue circulation to the par value of bonds deposited as security for
its redemption and the tax on their circulation should be reduced to
one-fourth of 1 per cent.

In considering projects for the retirement of United States notes and
Treasury notes issued under the law of 1890, I am of the opinion that we
have placed too much stress upon the danger of contracting the currency
and have calculated too little upon the gold that would be added to our
circulation if invited to us by better and safer financial methods. It
is not so much a contraction of our currency that should be avoided as
its unequal distribution.

This might be obviated and any fear of harmful contraction at the same
time removed by allowing the organization of smaller banks and in less
populous communities than are now permitted, and also authorizing
existing banks to establish branches in small communities under proper
restrictions.

The entire case may be presented by the statement that the day of
sensible and sound financial methods will not dawn upon us until our
Government abandons the banking business and the accumulation of funds
and confines its monetary operations to the receipt of the money
contributed by the people for its support and to the expenditure of such
money for the people's benefit.

Our business interests and all good citizens long for rest from feverish
agitation and the inauguration by the Government of a reformed financial
policy which will encourage enterprise and make certain the rewards of
labor and industry.

Another topic in which our people rightfully take a deep interest
may be here briefly considered. I refer to the existence of trusts and
other huge aggregations of capital the object of which is to secure the
monopoly of some particular branch of trade, industry, or commerce and
to stifle wholesome competition. When these are defended, it is usually
on the ground that though they increase profits they also reduce prices,
and thus may benefit the public. It must be remembered, however, that
a reduction of prices to the people is not one of the real objects
of these organizations, nor is their tendency necessarily in that
direction. If it occurs in a particular case it is only because it
accords with the purposes or interests of those managing the scheme.

Such occasional re