EX-SEC. GAGE ON BANKING

Hon. Lyman J. Gage, LL.D., will deliver an address on "The Proposed Changes in our Banking Laws," this afternoon at 4 o'clock in the Lecture Room of the Fogg Art Museum, under the auspices of the Department of Economics.

Owing to a lifetime spent in finance, Mr. Gage is particularly well qualified to discuss this question. For five years he served as Secretary of the Treasury under President McKinley and President Roosevelt, and during that time repeatedly proposed alternations in the banking laws that would make currency more elastic and better able to respond to the periodic fluctuations and sudden emergencies in the money market. Mr. Gage has also been president of the largest bank in Chicago, three times president of the American Bankers' Association, and is now president of the United States Trust Company in New York.

From an article by Mr. Gage in the current issue of Moody's Magazine, it appears that the United States currency system is built on an artificial and unscientific basis, by which credit, which governs 80 per cent of the world's trade, may be broken down before a sudden demand for cash. This the banks cannot satisfy on account of their obligation to deposit in the treasury of the United States bonds to the amount of the notes they propose to issue.