THE WALL STREET SPECULATOR AFTER EMERGENCY CURRENCY

Mr. Politician: Good morning, Mr. Speculator; what brought you to Washington again and at such a time as this? I thought when we gave you your Federal Reserve Banking System that that would satisfy you forever.

Mr. Speculator: Good morning, Mr. Politician. Don’t twit me of the past. I wish to see you in private so we can talk over the most important business that ever was on this earth.

Mr. Politician: You evidently think me high up in the political councils here. I pretend to no such great importance. If you have such important business, there should be more of us in conference. No man is big enough to tackle the most important business ever, but I will listen to what you have to say.

Mr. Speculator: Of course we understand each other, but even at that it may be well for you to practice your modesty—to keep on the safe side. I know the importance of your help. We may as well be perfectly frank with each other. Even the greatest of things must begin somewhere and with someone. There is absolutely no time to waste. You know I am a product of Wall Street and “big business.” I represent it. It is in danger this very minute—unfortunately so, for in spite of its danger, it also has its greatest opportunity. We must have help immediately from Congress, for this sudden war, no one can tell when or where it will end, or who or which nations it will involve. Our business was always on a great scale, but this sudden war burst upon us and we have not, the capacity to take advantage of it unless Congress helps us. Financial help we demand. We now control $20,000,000,000 of bank deposits to run the business of the country, including our promoting enterprises. We have some deposits of our own, but who knows when the depositors might start a run, lick up the deposits and prevent our taking advantage of speculating on the war business? War business offers the greatest and the most rapid means of building immense fortunes, something worth while to us Americans. We must act quickly, for now is our opportunity to make America the financial center of the world, and our friends to dominate. Germany is pushing out in every direction her vast armies for invasion. Russia is mobilizing and moving her great forces for action. France is rapidly mobilizing and marching her armies to hold the Germans in check. England, too, will immediately be in the whirl. The world may soon be at it, and I must inform my people that, Congress will extend the unlimited credit of the Government to our banks. Without that immediate assurance, we would be forced to precipitate a panic tomorrow, the like of which in its trail of financial ruin never has been equaled. What, Mr. Politician, have you to offer by way of suggestion for immediate action?

Mr. Politician: Fine proposition this is, that you make—too big for me this morning. We shall have to get more of us together in order to figure out a plan of action and draft some bill to be enacted to give the relief. I am not for placing the financial credit of the Government behind those whom you represent, but we must meet the emergency. We must prepare some bill that will meet it.

Mr. Speculator: “Some bill!” No need to talk about “some bill.” We have the plan and the bill prepared already. It is only a question of getting it enacted into law in the least time possible.

Mr. Politician: We must to some extent prepare our constituents to understand the situation—the danger, and what might happen if we do not legislate to meet the emergency. They will not take kindly to our lending Wall Street the credit of the Government again, and it will be up to us to show good reason if we do.

Mr. Speculator: Old as you are at this game, Mr. Politician, and many times as we have talked of these matters, you know very well that we make it our business to take care of the constituencies in all cases where that becomes necessary. That has already been cared for through the press, a part of which we control, and through news agencies which we control. We also have several civic organizations whose business it is to mold public opinion, and are organizing more. All that will be, in fact has already been, taken care of, for this is only the first of a series of great and important, acts that Congress will be forced to pass before the end of this war. All our plans have been organized, and were even before the war began. Before every important act that we shall require, we will conduct a campaign to teach the people and prepare them to approve of your action whatever it may be, and they will even willingly demand it of you, for we have our agents out among them. They, that is the people, have no plan, and no organization to finance any. They do not take care of themselves. They think that, you are here to do that, and give mighty little thought to it any way.

Mr. Politician: Well, you seem to be prepared, so you better see the other fellows. We can all have a conference today and work something out to save the country from ruin. We can use the telephone to arrange a meeting. So good-bye till the meeting.

The Conference

Mr. Speculator: Mr. Politician, you have all been advised of the purposes of this conference. We have all consulted more or less with each other, and now that a few of us are together, I wish to say that I have seen enough of the other “high-ups” to know that an emergency currency act can be passed without delay. It only requires slight amendments in the old Vreeland Aldrich Act which we had Congress pass in 1908, and an extension of time to merge into our new Federal Reserve Act under which we will soon be able to work. These amendments I brought with me, and you can put them right through. Arrangements have been made with the U. S. Treasury Department to anticipate the action of Congress and a great sum of emergency money is already on its way to the Subtreasury in New York where the banks can get it as soon as the law is passed.

Mr. Politician: There doesn’t seem to be much for us to do except to get the Senate and House Banking Committees each to meet and report the bill.

Mr. Speculator: That is all. The rest is arranged and there will be no trouble about passing the bill, for this is the most exciting time financially that has ever been. You can assure both Senators and Representatives that our press agents and civic leagues and the various Chambers of Commerce will see to it that the Act of Congress will get the publicity in a form that will be satisfactory. Every man who votes, for it will get unstinted praise, and any obstreperous Senator or Representative who votes against it, will be shown up in a ridiculous light to the public.

Mr. Second Politician: But, Mr. Speculator, what are you going to do with the money? What about the regular every-day common business, what will it get? The bill, if it passes, will enable you to secure from Uncle Sam over a billion dollars with no check as to whom, for what, and at what rates of interest it will be loaned. Will it be used for speculation; will you reopen the stock exchange and when; will you let the business interests in on this or what? Give us some idea about all that, for we will be asked many questions when the bill comes up on the floor for discussion and vote.

Mr. Third Politician: I will undertake to answer. The bill will have to be brought out by special rule. We can limit the debate so no one will have a chance to make inquiries other than those we consent to. This is a time when we can force things right along. I live in New York City, and I know conditions there. If any one tries in any way to block this legislation, he can be charged with disloyalty and the press will back it up. Shut everybody off by pressing the urgency for immediate action. So far as handling the funds, you can trust the banks. You have done so before, so why balk at that now? Even the new Federal Reserve Act places the entire financial control in the banks. We all knew that we were successful in putting that over with a long debate—surely we can this which does not give the banks even so much, for we have the best excuse now.

Mr. Fourth Politician: I am satisfied that the case is so urgent that we must protect the banks immediately so we may as well convene the two Banking and Currency Committees, report the bill to both houses, pass it and be ready to act on other emergency measures sure to be required. There is really nothing further for this conference. I move we adjourn.